diaDexus, Inc., a commercial stage developer of proprietary cardiovascular diagnostic products, today announced it has entered into a $15 million senior secured term loan with Oxford Finance. The Company will use the funding to refinance its existing $8.1 million debt from Comerica and advance the company’s development and commercialization of additional diagnostic testing solutions.
"We are pleased to have secured this financing from Oxford,” said Lori Rafield, Ph.D., interim executive chair and chairman of the board for diaDexus. “This loan solidifies our balance sheet and provides the growth capital needed to diversify our portfolio, expand our customer base and support the needs of our established customers. We now have the foundation in place to enable future growth by maximizing sales and marketing efforts directed at our anticipated U.S. launch of the PLAC® Test for Lp-PLA2 Activity and to explore additional partnership and license opportunities.”
“We strongly believe in the strategic direction that diaDexus is taking and its potential for future growth,” said Christopher A. Herr, managing director for Oxford Finance. “We are pleased to offer financial support to a dynamic company such as diaDexus as it grows its product revenues and broadens its pipeline.”
Select terms of the loan include:
- Interest rate equal to 6.95% per annum
- Interest-only payments through August 31, 2015, followed by 36 equal monthly principal and interest payments
- diaDexus will issue warrants to Oxford for the right to purchase an aggregate of 909,090 shares of the company’s common stock at an exercise price of $0.66 per share
diaDexus, Inc., based in South San Francisco, California, develops and commercializes proprietary cardiovascular diagnostic products addressing unmet needs in cardiovascular disease. The company's PLAC® Test ELISA Kit is the only blood test cleared by the FDA to aid in predicting risk for both coronary heart disease and ischemic stroke associated with atherosclerosis, the #1 and #3 causes of death, respectively, in the United States.
Oxford Finance is a specialty finance firm providing senior secured loans to public and private life science and healthcare services companies worldwide. For over 20 years, Oxford has delivered flexible financing solutions to its clients, enabling these companies to maximize their equity by leveraging their assets. In recent years, Oxford has originated over $2 billion in loans, with lines of credit ranging from $500 thousand to $75 million. Oxford is headquartered in Alexandria, Virginia, with additional offices in California, Illinois, Massachusetts and North Carolina.