TORONTO--(BUSINESS WIRE)--Sagard Healthcare – a biopharmaceutical royalty and credit investor – today announced several developments and milestones for the strategy, including the closing of a $250 million permanent credit facility and the completion of nearly $250 million of new investments. 'We believe that royalties are an attractive asset class for investors, providing uncorrelated returns, inflation protection, and stable income generation'
Sagard Healthcare invests in approved and medically-necessary biopharmaceuticals, medical devices, and diagnostics through royalty monetization, revenue interest financing and secured credit investments. The continued growth in global pharmaceutical spending - irrespective of the macroeconomic environment - is increasingly serviced by such forms of alternative financing. The strategy provides investors with attractive yields underpinned by long duration, uncorrelated cash flows, which can be a diversifying complement to an existing credit portfolio. Closing of Credit Facility
Sagard is pleased to announce that in December 2023, it closed a $250 million revolving credit facility with a syndicate of lenders. The facility is expected to grow in size as Sagard continues to expand its portfolio of royalty and credit investments. Recent Investment Activity
Over the last month, Sagard has also completed nearly $250 million of new royalty and credit investments, highlighted below: “We believe that royalties are an attractive asset class for investors, providing uncorrelated returns, inflation protection, and stable income generation,” said David MacNaughtan, Partner & Head of Sagard Healthcare. “Since inception just four years ago, the team has delivered on its investment objectives and has built a diversified portfolio of these long-dated, cash-generating, biopharmaceutical royalties. The closing of our credit facility, combined with the first close of our next equity series, will allow us to continuously grow and diversify this asset base over time and deliver attractive absolute and relative returns to our investors.” Since inception in December 2019, Sagard Healthcare has invested over a billion dollars of capital (inclusive of co-investments), acquiring royalties on innovative drugs including Jemperli, Voquezna, Tibsovo, Hemgenix, and Tyvaso DPI. Sagard is a multi-strategy alternative asset management firm with over US$15B under management, 125 portfolio companies, and 350 professionals. We invest in venture capital, private equity, private credit, real estate, and royalties. We deliver flexible capital, an entrepreneurial culture, and a global network of investors, commercial partners, advisors, and value-creation experts. Our firm has offices in Canada, the United States, Europe and the Middle East. For more information, visit www.sagard.com or follow us on LinkedIn @Sagard.