Gemphire Therapeutics shares were down over 5% Tuesday morning after the clinical-stage biopharmaceutical company said it obtained a term loan of up to $15 million from Silicon Valley Bank. Gemphire immediately drew $10 million upon execution of the loan agreement on July 24.
Gemphire will use the capital to support the ongoing development of its product candidate, gemcabene, and for general corporate purposes. The remaining $5 million under the term loan may be drawn, at Gemphire’s option, prior to July 31, 2018. The term loan will mature on Feb. 1, 2021.