Medexus Announces US$51.0 million in New Credit Facilities and Intention to Commence Normal Course Issuer Bid, or NCIB, for its Common Shares

Executive Summary

• Medexus Pharmaceuticals entered into a senior secured credit agreement with National Bank of Canada for a US$21 million term loan and a US$5 million revolving facility.
• The term loan includes a US$10 million delayed‑draw feature for future licensing/acquisition transactions and a US$15 million uncommitted accordion option; all facilities mature on 17 Nov 2029.
• Medexus announced its intention to commence a normal course issuer bid (NCIB) to repurchase up to 10 % of the public float, subject to TSX approval.

Key Details

• Facilities:
• Term loan – US$21 million; revolving loan – US$5 million.
• Delayed‑draw feature: additional US$10 million available for future licensing/acquisition deals.
• Uncommitted accordion: up to US$15 million may be added at Medexus’s discretion.
• Maturity: All facilities mature on 17 Nov 2029 (four‑year term).
• Interest Rate: Weighted average rate initially 6.74% (adjusted term SOFR plus a leverage‑based margin, reset quarterly).
• Use of Proceeds: Net proceeds used to satisfy obligations under existing senior secured credit facilities that would have matured in March 2026.
• NCIB Intent:
• Plan to seek TSX approval for a normal course issuer bid allowing repurchase and cancellation of up to 10 % of Medexus’s public float within 12 months of approval.
• Purchases to be made at prevailing market prices or as permitted under TSX rules; timing and exact share count remain discretionary.
• Strategic Rationale: CFO Brendon Buschman highlighted the financing as “non‑dilutive” and a demonstration of access to capital on competitive terms, supporting Medexus’s growth after the February 2025 launch of GRAFAPEX™ (treosulfan).

Notable Quotes

"We are pleased to announce this long term, non-dilutive financing, which demonstrates our access to capital on competitive terms," – Brendon Buschman, CFO.

"An NCIB adds an important lever to our capital allocation strategy," – Brendon Buschman, CFO.