Indivior Extends Its Debt Maturity With Refinancing of Term Loan

November 6, 2024

Source: Bloomberg

Indivior Plc has entered into a refinancing agreement that would allow it to push back the maturity on its existing term loan with new six-year debt facilities.

The British drugmaker’s unit RBP Global Holdings Ltd. signed up with Piper Sandler Finance LLC and certain buyers for $400 million of senior secured notes, Indivior said in a statement to exchanges on Tuesday.

“Proceeds from the new term notes will be used to fully repay the existing term loan and pay related transaction fees and expenses,” according to the statement. Excess proceeds from the notes, along with the variable notes, will be used for working capital.

The refinancing improves Indivior’s liquidity position by more than $250 million to support operating and strategic initiatives — from upsizing its term debt to $350 million, adding a new $50 million revolver in the form of variable notes and removing the existing minimum liquidity covenant.

The London and New York-listed company recently lowered its sales guidance for the year due to increasing competition to treat opioid addiction. It also no longer expects to hit its goal of a $1 billion net revenue run rate for opioid addiction drug Sublocade by the end of next year.