Company: SWKH
Filing Date: 2025-03-20
Form Type: 8-K
Source: 0001628280-25-013999
Chunk: 0

Company: SWK Holdings Corp
Filing Date: 2025-03-20
Form: 8-K
Item: Item 1.01
Chunk 0
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Item 1.01 Entry into a Material Definitive Agreement

On March 19, 2025, SWK Holdings Corporation (the “ Company”) and SWK Funding LLC, a wholly owned subsidiary (“ SWK Funding” together with the Company, the “ Seller Parties”) entered into a purchase and sale agreement (the “ Purchase and Sale Agreement”) with SCOF SPV I, L. P., a Delaware limited partnership and an entity affiliated with Soleus Capital Management L. P. (the “ Purchaser”). Upon the terms and subject to the conditions of the Purchase Agreement, the Seller Parties have agreed to sell and assign to Purchaser (the “ Royalty Sale”) the Company’s rights to receive royalties and other amounts payable or that may become payable under certain contracts to which SWK Funding is a party, comprising all of the Company’s performing royalty portfolio for an aggregate purchase price of approximately $34.0 million. The Company expects to use a portion of the proceeds of the Royalty Sale to declare a cash dividend to the Company’s stockholders. The specific amount and record date of the dividend will be declared in connection with the Closing.

The Purchase Agreement contains customary representations, warranties and covenants of each of the Seller Parties and the Purchaser. The Purchase Agreement further provides that, subject to certain limitations, the Seller Parties and the Purchaser will each indemnify the other for certain losses arising from such breaches of representations, warranties and covenants and liabilities allocated to such party pursuant to the terms of the Purchase Agreement.

The foregoing descriptions of the terms of the Purchase Agreement and the Royalty Sale do not purport to be complete and are qualified in their entirety by reference to the terms and conditions of the Purchase Agreement, which the Company intends to file as an exhibit to its Quarterly Report on Form 10-Q for the quarter ending March 31, 2025.

Item 7.01 Regulation FD Disclosure.