On May 14, 2024, Apellis Pharmaceuticals, Inc. (Nasdaq: APLS), announced that it has entered into a non-dilutive, senior secured credit facility with Sixth Street, a leading global investment firm, of up to $475 million, with approximately $375 million funded at close. Apellis can draw down an additional $100 million under the facility at the company’s option prior to September 2025, subject to the satisfaction of certain conditions.

Additionally, the Sixth Street agreement also permits Apellis to access $100 million through a separate third-party working capital facility. Apellis used the majority of the net proceeds to buy out the existing SFJ Pharmaceuticals development liability for approximately $326 million. This buy out eliminates $366 million in payments owed to SFJ through 2027, including approximately $200 million through 2025. Net proceeds to Apellis at closing will be approximately $32 million following the buy out of the SFJ Pharmaceuticals development liability, and fees and expenses associated with the transaction.

The WilmerHale team advising Apellis was led by George Shuster, Nathan Moore and Jana Lama, with assistance from Craig Hilts, Stuart Falber, Fred Adam, Alex Dean, Katharine Patterson and Jane Cha.