Rocket Pharmaceuticals has entered into a Loan and Security Agreement with Hercules Capital, Inc., providing access to up to $150.0 million in senior secured term loans. The financing is structured in five tranches to support working capital and general corporate purposes, including research and development. An initial tranche of $35.0 million was funded on September 30, 2026.
Key Details
- Financing Structure: The agreement provides up to $150.0 million in term loans, with an initial $35.0 million funded at closing. Four additional tranches totaling up to $115.0 million are available upon the company's option and the achievement of certain milestones.
- Loan Terms: The loans mature on October 1, 2030, and bear a floating interest rate equal to the greater of prime or 6.75%, plus 2.40%. The agreement includes an interest-only period through at least April 1, 2029.
- Warrants Issued: In connection with the loan, Rocket issued warrants to lenders to purchase up to 1,755,853 shares of common stock at an exercise price of $2.99 per share. Warrants for 409,699 shares became exercisable upon the initial funding.
- Security: The obligations under the loan agreement are secured by a first-priority security interest in substantially all of Rocket Pharmaceuticals' assets, including its intellectual property.