Peregrine Pharmaceuticals secured a $30 million term loan from Oxford Finance, MidCap Financial and Silicon Valley Bank. Under the loan facility, the company received initial funding of $15 million and has an option to receive an additional $15 million.

"Peregrine has been an innovator and leader in the development of PS-targeting monoclonal antibodies for the treatment of cancer," said Christopher A. Herr, managing director for Oxford Finance. "Oxford is pleased to provide capital to Peregrine, and is confident that the company's experienced management team and robust pipeline will ensure its continued success."

The loan agreement provides for monthly interest only payments through March 2013, or upon our satisfaction of certain conditions enabling us to draw upon the second tranche, through September 2013, and thereafter Peregrine will repay the principal and interest on a monthly basis through the maturity date of September 2015 (or March 2016 if tranche two is funded). The interest rate for borrowings under the loan facility will be fixed upon drawdown at a rate per annum equal to the greater of (i) 7.95% or (ii) the sum of (a) 7.5% and (b) the three month LIBOR rate. The loan is secured by a first priority security interest in all of the company's assets, other than its intellectual property and its rights under license agreements granting it rights to intellectual property. Pursuant to the loan facility, we are to issue to the lenders six-year warrants to purchase shares of the company's common stock equal to 4.50% of the amount funded at a price per share equal to the lower of the 10-day average share price prior to the applicable funding date or the price per share on the day prior to such funding date. In connection with the initial funding, the company issued warrants to purchase an aggregate of 273,280 shares of common stock at an exercise price of $2.47.

Peregrine Pharmaceuticals is a biopharmaceutical company with a portfolio of innovative monoclonal antibodies in clinical trials for the treatment of cancer and serious viral infections.

Oxford Finance is a specialty finance firm providing senior secured loans to public and private life sciences and healthcare services companies worldwide.

Behtesda, MD-based MidCap Financial is a commercial finance company focused on middle-market lending in the broad national healthcare industry.