Skyepharma will repay 12.7 million euros ahead of Exparel milestone

UK-based Skyepharma (LSE: SKP), an oral and inhalation drug delivery company, has given notice to CRC European Loan Origination Platform Limited of its intention to repay the entire outstanding euro principal of the CRC Finance facility worth 12.7 million euros ($16.3 million).

The amount will be repaid on October 2 including accrued interest and a make-whole amount of 5.2%. The early settlement of this part of the facility will save the Skyepharma Group £1.8 million ($2.9 million) of finance costs (net of the make-whole amount) compared with the amounts which would otherwise be payable based on current interest rates, through to the normal maturity date of December 31, 2016.

The early repayment is being funded out of the group’s general cash resources allowing for the expected receipt of the $8 million milestone for Exparel (bupivacaine liposome injectable suspension) recognized in June and due to be received by September 30.