Company: HROW
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0001493152-25-021562
Chunk: 85

Company: HARROW, INC.
Filing Date: 2025-11-10
Form: 10-Q
Item: Item 2
Chunk 85
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 commercialization opportunities for certain of our ophthalmology and other assets that we have not yet made
commercially available. We believe we have built a tangible and intangible infrastructure that will allow us to scale revenues efficiently
in the near and long-term. All of these activities may require significant costs and other resources, which we may not have or be able
to obtain from operations or other sources. See “Liquidity and Capital Resources” below.

Recent
Developments

The
following describes certain developments in 2025 to date that are important to understand our financial condition and results of operations.
See the notes to our unaudited condensed consolidated financial statements included in this Quarterly Report for additional information
about each of these developments.

Fifth
Third Revolving Credit Facility

In
September 2025, we entered into a Credit Agreement (the “5/3 Revolver”) with Fifth Third Bank, National Association, as administrative
agent for itself and the other lenders (collectively, “Fifth Third”) providing for a senior secured revolving credit facility
in the initial principal amount of $40,000,000, together with an uncommitted incremental revolving line of credit in the principal amount
of up to $20,000,000. The 5/3 Revolver will mature on September 26, 2030, or, if earlier, the date that is 91 days prior to the earliest
maturity date of the Company’s 2030 Notes (as defined below).

Borrowings
under the 5/3 Revolver bear interest at a floating rate equal to, at the Company’s option, either (i) a base rate plus a margin
ranging from 0.25% to 0.75%, or (ii) a Secured Overnight Financing Rate (“SOFR”) based rate plus a margin ranging from 1.25%
to 1.75%. In addition, an unused fee of 0.25% per annum is payable monthly in arrears based on the undrawn portion of the commitments
in respect of the 5/3 Revolver. Borrowings under the 5/3 Revolver are secured by a first priority lien in substantially all of the present
and future property and assets, real and personal, of the Company, subject to customary exceptions.

Under
the 5/3 Revolver, we are subject to certain customary affirmative and negative covenants. In addition, the 5/3 Revolver contains certain
financial coven