Exhibit 99.1
Allena Pharmaceuticals Announces $25 Million Strategic Convertible Debt Financing Agreement
with Pontifax Ventures
— Extends Allena’s Cash Runway into 4Q 2021 —
— Debt Can be Converted into Equity at a Price of $4.10 Per Share —
Newton, Mass. – September 30, 2020 – Allena Pharmaceuticals, Inc. (NASDAQ:ALNA), a late-stage, biopharmaceutical company dedicated to developing and commercializing first-in-class, oral enzyme therapeutics to treat patients with rare and severe metabolic and kidney disorders, today announced that it has entered into a $25 million convertible debt financing agreement with Pontifax Medison Finance, the healthcare-dedicated venture and debt fund of the Pontifax life science funds.
“We are pleased to announce this financing agreement and excited to partner with Pontifax, a leading life-science investment firm. Throughout the diligence process, the Pontifax team developed a deep understanding of our oral enzyme platform and an appreciation for the substantial potential of both reloxaliase and ALLN-346,” said Louis Brenner, M.D, President and Chief Executive Officer of Allena Pharmaceuticals. “If fully utilized, this financing vehicle would extend Allena’s cash runway into the fourth quarter of 2021, providing significant financial flexibility as we continue to advance our pipeline with the goal of delivering novel therapeutics to patients with rare and severe metabolic and kidney diseases.”
“Allena has made impressive progress developing reloxaliase as the first potential medicine designed specifically for people living with enteric hyperoxaluria, a debilitating metabolic condition, which causes recurrent kidney stones and may progress to chronic kidney disease (CKD) and end stage renal disease. We are very encouraged by the reloxaliase clinical trial data generated to-date. We believe that URIROX-2 is a landmark trial for patients with enteric hyperoxaluria and is well-positioned for success,” said Momi Karako, Partner at Pontifax. “We look forward to partnering with Allena in support of the company’s vision of delivering reloxaliase, as well as ALLN-346 for the treatment of hyperuricemia in patients with gout and advanced CKD, and ultimately a broader pipeline of therapeutics that leverage its oral enzyme platform technology.”
Under the terms of the agreement with Pontifax, Allena will have access to up to $25 million in convertible debt financing in three tranches, which will mature over a four year period and have an interest-only period for the first two years. Upon the closing of this transaction, the company has accessed the first tranche of $10 million, and has the option to draw the second tranche of $5 million at any time over the next 12 months and the third tranche of $10 million by December 29, 2021, subject to certain conditions.
Pontifax may elect to convert the outstanding loan drawn under the first two tranches into shares of Allena’s common stock at any time prior to repayment at a conversion price of $4.10 per share. Allena also has the ability to convert the loan into shares of its common stock, at the same conversion price, if the company’s stock price reaches a pre-determined threshold.
About Allena Pharmaceuticals
Allena Pharmaceuticals, Inc. is a late-stage biopharmaceutical company dedicated to developing and commercializing first-in-class, oral enzyme therapeutics to treat patients with rare and severe metabolic and kidney disorders. Allena’s lead product candidate, reloxaliase, is currently being evaluated in a pivotal Phase 3 clinical program for the treatment of enteric hyperoxaluria, a metabolic disorder characterized by markedly elevated urinary oxalate levels and commonly associated with kidney stones, chronic kidney disease and other serious kidney disorders. Allena is also developing ALLN-346, currently being evaluated in a Phase 1 clinical trial, for the treatment of hyperuricemia in the setting of gout and advanced chronic kidney disease.
