Ocugen Obtains $30 Million Debt Financing

MALVERN, Pa., Nov. 07, 2024 – Ocugen, Inc., a biotechnology company specializing in innovative gene and cell therapies, biologics, and vaccines, has announced its entry into a new $30 million credit arrangement with Avenue Venture Opportunities Fund, L.P., a part of Avenue Capital Group. This credit facility, signed on November 6, 2024, will provide Ocugen with funds for various corporate needs, including capital expenditures, working capital, and administrative expenses. The four-year term facility was fully funded at the time of closing.

Dr. Shankar Musunuri, Ocugen’s Chairman, CEO, and Co-founder, expressed satisfaction with the new financial partnership, highlighting its potential to benefit shareholders. He noted that the infusion of working capital is crucial for advancing the clinical development of Ocugen’s innovative modifier gene therapies. The funding is expected to support the completion of the OCU400 Phase 3 clinical trial and assist in preparing the necessary regulatory submissions.

Chad Norman, Senior Portfolio Manager at Avenue Capital, shared his enthusiasm for the partnership. He emphasized that the financing would help Ocugen in its growth phase, driven by its scientific advancements and commitment to combating blindness diseases.

With the proceeds from this credit facility and existing cash reserves, Ocugen anticipates having sufficient funds to sustain operations through the first quarter of 2026. Chardan and Titan Partners Group, a division of American Capital Partners, served as financial advisors to Ocugen for this transaction.

Ocugen, Inc. is dedicated to the discovery, development, and commercialization of novel therapies that enhance health and bring hope to patients worldwide. The company leverages its unique intellectual and human capital to embark on new scientific ventures. Its breakthrough gene therapy platform shows promise in treating multiple retinal diseases with a single product. Additionally, Ocugen is advancing research in infectious diseases to bolster public health and addressing unmet needs in orthopedic diseases.

Avenue Venture Opportunities Fund focuses on providing creative financing solutions to high-growth technology and life science companies, particularly those in the underserved market segment between commercial banks and larger debt funds. This fund is part of Avenue Capital Group, which manages approximately $12.2 billion in assets.