EIB Supports Medincell by Waiving Financial Covenants

The European Investment Bank (EIB) has demonstrated confidence in Medincell by waiving two financial covenants from its €40 million credit facility agreement. Initially, these covenants were set to begin on April 1, 2025. However, they are now regarded as unnecessary for the agreement to proceed.

This credit facility was fully drawn by July 2023, replacing an earlier €20 million loan from 2018. It comprises three tranches of €20 million, €10 million, and €10 million, each with a five-year maturity from their respective draw dates. As part of the agreement, Medincell pays annual cash interest, capitalized interest at maturity, and potential capital gains through warrants.

Existing covenants requiring Medincell to maintain a minimum of €8 million in cash and twelve months of cash visibility remain in effect. Legal documentation finalization will make the removal of the financial covenants official within weeks.