Candel Therapeutics secures $130 million term loan facility with Trinity Capital

Candel Therapeutics Inc. (NASDAQ: CADL) entered into a five-year, $130 million term loan facility with Trinity Capital Inc. (NASDAQ: TRIN), the clinical-stage biopharmaceutical company announced.

The loan facility consists of four tranches, with $50 million drawn upon closing. The second and third tranches totaling $50 million are available subject to achieving certain regulatory, clinical and operational milestones. A fourth tranche of $30 million is available at the lender's discretion.

Interest is payable at a fixed or floating rate at the company's option, initially 10.25% per annum. The facility has a five-year term with an interest-only period of 36 months, extendable for an additional 12 months upon achieving a certain commercial milestone.

Proceeds from the first tranche will refinance an existing loan agreement with First-Citizens Bank & Trust Company dated February 24, 2022, and fund working capital, general corporate purposes, and initiation of a phase 3 clinical trial of CAN-2409 in non-small cell lung cancer. The company also plans to prepare for a Biologics License Application submission for CAN-2409 in prostate cancer in the fourth quarter of 2026.

Charles Schoch, CFO of Candel Therapeutics, stated the financing combined with the company's $87.2 million in cash and cash equivalents as of September 30, 2025, positions the company for the initiation of the phase 3 clinical trial of CAN-2409 in NSCLC in the second quarter of 2026.

The company announced it will seek externally funded partnerships for clinical development of CAN-2409 in pancreatic ductal adenocarcinoma to focus resources on early localized prostate cancer and NSCLC indications.

Jefferies LLC served as the company's exclusive financial advisor on the transaction.

You May Also Be Interested In