Mind Medicine Inc. (MindMed), a clinical stage biopharmaceutical company developing novel product candidates to treat brain health disorders, has announced it has entered into a senior secured credit facility with K2 HealthVentures LLC, a healthcare-focused specialty finance company. Upon closing, US$15 million of the US$50 million loan facility was funded. Additional funding amounts of up to an aggregate of US$20 million may be drawn over the course of the loan term, in each case subject to certain milestones being achieved. An additional tranche of US$15 million is also available, subject to the mutual discretion of MindMed and lender. Even if such additional funds become available, the Company is under no obligation to draw such funds in the future.
Latham & Watkins LLP advised MindMed in the transaction with a finance team led by partner Haim Zaltzman, with associates Benjamin Gelfand and Michael Basist. Advice was also provided on corporate matters by partners Ian Nussbaum, Eric Rice, and Reza Mojtabaee-Zamani, with associate Ariel Robbins-Rothman; on tax matters by partner Eric Cho, with associate Kevin Bagnall; and on healthcare/FDA matters by partners Ben Haas and Betty Pang and counsel Chad Jennings.