MannKind Corp. on Thursday announced it has agreed to extend the due date of a $10 million loan owed to Deerfield Management Co. from July 2017 to October 2017.
Under the amendment, Deerfield will extend the due date as long as MannKind does not experience a material adverse event, maintains at least $10 million of cash and receives approximately $19.4 million from Mann Group.
This agreement follows MannKind’s request for final loan disbursement of $30.1 million from the Mann Group, which was announced Wednesday.
“The extension of the July 2017 principal payment to Deerfield and the amendment affords us flexibility and time to explore additional measures to strengthen our financial position,” MannKind Chief Executive Michael Castagna said in a statement.
Shares of MannKind (MKND) on Thursday closed down 10 cents, or 6 percent at $1.45 on the Nasdaq.