Company: BLRX
Filing Date: 2025-01-07
Form Type: 424B5
Source: 0001178913-25-000045
Chunk: 6

Company: BioLineRx Ltd.
Filing Date: 2025-01-07
Form: 424B5
Chunk 6
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 services agreement pursuant to which we will provide Licensee with certain services related to the development and commercialization of motixafortide within the Territory during a defined transition period, on a cost basis. The License Agreement will continue on a country-by-country basis in the Territory until the expiration or early termination of the royalty term. In addition, the License Agreement may be terminated by either party in the case of a material breach or bankruptcy. Further, if our license agreement with Biokine Therapeutics Ltd., or the Upstream License, is terminated in whole or in part, the License Agreement will immediately terminate. In such event, the Licensee will have the right to enter into a direct license agreement with the licensor of such Upstream License on substantially similar terms. Following the License Agreement, we shut down our commercial operations in the United States and undertook certain cost-cutting and workforce reduction measures. These measures are expected to reduce our annual cash burn, effective January 1, 2025, by approximately 70%. Our independent auditors do not express an opinion with respect to this prospective financial information. In connection with the License Agreement, we entered into an amendment, or the Amendment, to the loan agreement, or the Loan Agreement, that we previously entered into in September 2022 with BlackRock EMEA Venture and Growth Lending (previously Kreos Capital VII Aggregator SCSP), or BlackRock. Pursuant to the Amendment, (i) we will make aggregate payments of $16.5 million, as partial repayment of the loan to BlackRock and in lieu of future revenue-based payments, which will be fully cancelled, (ii) effective December 1, 2024, we agreed to pay the remaining amounts outstanding under the loan (in principal and interest) over a three year period ending December 1, 2027, and (iii) our minimum cash balance requirement under the Loan Agreement has been reduced to $4 million. All other terms of the Loan Agreement remain the same. The effectiveness of the Amendment is subject to the satisfaction of certain conditions, including, but not limited to, our receipt of the upfront payment under the License Agreement and the closing of this offering. MTS Health Partners, L.P. (“MTS”) served as the exclusive financial advisor to the Company in connection with the License Agreement, pursuant to which the Company paid MTS a fee of $2 million. On November 20, 2024, we also entered into a securities purchase agreement, or the Purchase Agreement, with certain funds