Valneva SE, a leading pure play vaccine company, and the European Investment Bank (EIB), the world’s largest multilateral bank, announced on July 12, 2016, that the EIB granted Valneva a €25 million loan facility to support its vaccine R&D activities.
Valneva plans to use the EIB financing to support the research and development of vaccines including its Lyme Borreliosis vaccine candidate (the only active development program for Lyme Disease in the vaccine industry) which is due to enter Phase I in 2016, and amongst others, further pre-clinical R&D on Zika virus.
Valneva recently announced the successful generation of a highly purified Zika vaccine candidate, which can now be further tested in animals and potential human studies.
The €25 million loan, which is offered on favorable terms, may be utilized by Valneva in one or several tranches within a 24-month period. Each credit tranche is repayable at the end of a five-year period starting from the drawing date. The loan will be secured by collateral over Valneva’s material subsidiaries, mainly ranking behind securities in connection with Valneva’s existing asset-based financing.
The EIB loan granted to Valneva is part of the European Horizon 2020 initiative, in particular the "InnovFin MidCap Growth Finance (MGF) - EU Finance for Innovators" programme - which provides customized products for supporting the development of innovative SMEs and midcaps.