Collegium Announces the Closing of $980 Million Syndicated Credit Facility

Collegium (Nasdaq: COLL) closed a five-year, $980 million inaugural syndicated credit facility maturing in 2030.

Rhea-AI Summary

Collegium (Nasdaq: COLL) closed a five-year, $980 million inaugural syndicated credit facility maturing in 2030. The facility includes a $580M initial term loan, a $300M delayed draw term loan (undrawn at closing), and a $100M revolving credit facility (undrawn at closing).

Collegium used the initial term loan to repay approximately $581M of principal on its prior $646M term loan. Interest is set at SOFR plus 2.75%–3.75% based on first lien net leverage, with the closing rate at SOFR+2.75%. The company expects this refinancing to produce meaningful annualized interest savings and provide capital flexibility for general corporate purposes and business development. Truist Bank acted as administrative agent; a syndicate of banks served as arrangers and agents.

Positive

• $980M five-year syndicated credit facility maturing 2030
• $580M initial term loan used to repay ~$581M prior principal
• Interest spread reset to SOFR+2.75%–3.75%, closing rate SOFR+2.75%
• Undrawn $300M delayed draw and $100M revolver for corporate uses

Negative

• None.

Argus Dec 30 session

-4.75% close to close Open Argus

Details

News Market Reaction – COLL

On Dec 30, the day this news came out, COLL closed 4.75% below the previous close.

Data tracked by StockTitan Argus for the Dec 30 session.

Market Context

This announcement details a balance-sheet refinancing via a new $980M syndicated credit facility mat...

Analysis

This announcement details a balance-sheet refinancing via a new $980M syndicated credit facility maturing in 2030, including a $580M initial Term Loan, $300M Delayed Draw Term Loan, and $100M revolver. The company repaid about $581M of a prior $646M term loan and set interest at SOFR plus 2.75%–3.75% based on leverage. Investors may track how interest savings, debt levels, and any business-development use of the undrawn tranches interact with the already strong Q3 2025 financial profile.

Key Figures

Total credit facility: $980 million Initial Term Loan: $580 million Delayed Draw Term Loan: $300 million +5 more

Total credit facility

$980 million

Aggregate size of new syndicated credit facility maturing in 2030

Initial Term Loan

$580 million

Initial Term Loan under new Credit Facility

Delayed Draw Term Loan

$300 million

Undrawn Delayed Draw Term Loan for general corporate purposes

Revolving credit facility

$100 million

Undrawn revolver component of the Credit Facility

Prior principal repaid

$581 million

Principal of previous term loan repaid using initial Term Loan

Previous term loan size

$646 million

Size of prior term loan from funds managed by Pharmakon Advisors

Interest spread range

2.75%–3.75%

Spread over SOFR based on First Lien Net Leverage Ratio

Initial interest rate

SOFR + 2.75%

Interest rate on loans under Credit Facility upon closing

Historical Context

5 past events · Latest: Nov 12

5 events

1. Nov 12

   Investor conferences

   24h Move

   +5.6%

   Management participation in three late-2025 healthcare investor conferences.

2. Nov 06

   Earnings, guidance

   24h Move

   +13.4%

   Record Q3 2025 revenue and raised full-year revenue and EBITDA guidance.

3. Oct 29

   Marketing partnership

   24h Move

   -1.7%

   Paris Hilton collaboration to highlight ADHD journey and JORNAY PM treatment.

4. Oct 23

   Earnings notice

   24h Move

   -0.5%

   Announcement of Q3 2025 results release date and related conference call details.

5. Oct 22

   Medical posters

   24h Move

   +1.0%

   Real-world Jornay PM data posters at AACAP and NEI conferences with safety reminders.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

syndicated credit facility, term loan, revolving credit facility, secured overnight financing rate (SOFR), +3 more

7 terms

syndicated credit facility financial

"announced the closing of its inaugural syndicated credit facility."

A syndicated credit facility is a large loan provided to a company by multiple lenders working together, rather than just one. It’s like a group of friends pooling their money to lend to someone, making it easier and safer for everyone involved. This arrangement helps companies access bigger amounts of money quickly when they need it.

term loan financial

"consists of a $580 million initial Term Loan, $300 million Delayed Draw Term Loan"

A term loan is a type of loan that is borrowed for a set period of time, with a fixed schedule for repaying the money, usually in regular payments. It matters to investors because it represents a company's borrowing costs and financial stability; reliable repayment of these loans can indicate strong financial health, while difficulties may signal potential risks.

revolving credit facility financial

"and $100 million revolving credit facility (collectively the “Credit Facility”)."

A revolving credit facility is a type of loan that a business can borrow from whenever it needs money, up to a set limit. It’s like having a credit card for companies—allowing them to borrow, pay back, and borrow again as needed, providing flexibility for managing cash flow or funding short-term expenses.

secured overnight financing rate (SOFR) financial

"bear interest at an annual rate equal to the term Secured Overnight Financing Rate (SOFR)"

A secured overnight financing rate (SOFR) is the interest rate on very short, one‑day loans that are backed by high‑quality collateral (like government bonds), so lenders face less risk. Investors care because SOFR is a widely used benchmark that sets the cost of borrowing and the pricing of loans, bonds and derivatives; think of it as a trusted yardstick for short‑term interest costs that influences returns and valuations across markets.

first lien net leverage ratio financial

"plus a spread based on the Company’s First Lien Net Leverage Ratio"

First lien net leverage ratio measures how much of a company’s top-priority secured debt remains after using available cash, compared with the company’s recurring cash earnings. Think of it like the size of a primary mortgage relative to your annual take-home pay after you count money in your savings account. Investors use it to judge credit risk and borrowing capacity: a higher ratio suggests greater default risk, tighter financing terms, or covenant pressure.

joint bookrunners financial

"served as joint bookrunners and joint lead arrangers for the syndicate of banks"

Joint bookrunners are the lead banks or brokers who share responsibility for organizing and selling a new offering of securities, like shares or bonds. Think of them as co-hosts of a big sale who coordinate pricing, gather investor interest (the “order book”), and split the work and risk—investors watch who the joint bookrunners are because their reputation and effort influence how smoothly the deal is priced, how widely it’s distributed, and how likely it is to succeed.

administrative agent financial

"Truist Bank acted as administrative agent."

An administrative agent is a bank or financial firm appointed to handle the day-to-day paperwork and communication for a group of lenders on a loan or credit agreement, acting as the central point for collecting payments, distributing funds, monitoring covenants, and sharing information. For investors, the administrative agent matters because it influences how quickly lenders receive updates, how smoothly repayments and waivers are handled, and how effectively the lending group enforces terms — think of it as a property manager coordinating tasks for multiple owners.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Five-Year Financing with Favorable Terms that Significantly Reduce Interest Rate

STOUGHTON, Mass., Dec. 30, 2025 (GLOBE NEWSWIRE) -- Collegium Pharmaceutical, Inc. (Nasdaq: COLL), today announced the closing of its inaugural syndicated credit facility. The new aggregate $980 million credit facility will mature in 2030 and consists of a $580 million initial Term Loan, $300 million Delayed Draw Term Loan, and $100 million revolving credit facility (collectively the “Credit Facility”). The initial Term Loan was used to repay approximately $581 million of principal representing the entire remaining balance of the Company’s previous $646 million term loan secured from funds managed by Pharmakon Advisors, LP. The Delayed Draw Term Loan and revolving credit facility, both of which were undrawn at the time of closing, are expected to be used for general corporate purposes, including to partially fund future business development opportunities.

“We are pleased to have successfully closed our inaugural syndicated credit facility which significantly improves our debt terms and underscores the strength of our financial outlook,” said Colleen Tupper, Chief Financial Officer of Collegium. “This additional capital also provides us with flexibility to further drive long-term value as we continue to evaluate opportunities to expand and diversify our product portfolio through business development.”

Loans under the Credit Facility will bear interest at an annual rate equal to the term Secured Overnight Financing Rate (SOFR) plus a spread based on the Company’s First Lien Net Leverage Ratio (as defined in the Credit Agreement) ranging from 2.75% to 3.75%. The interest rate upon closing was SOFR plus 2.75%. The reduced rate on the new Credit Facility is expected to result in meaningful annualized interest savings. Truist Bank acted as administrative agent. Truist Securities, Inc., Citizens Bank, N.A., MUFG Bank, Ltd., Fifth Third Bank, National Association, The Huntington National Bank, and U.S. Bank National Association served as joint bookrunners and joint lead arrangers for the syndicate of banks and Flagstar Bank, N.A., PNC Bank, National Association and Synovus Bank served as co-documentation agents.

About Collegium Pharmaceutical, Inc.

Collegium is building a leading, diversified biopharmaceutical company committed to improving the lives of people living with serious medical conditions. The Company has a leading portfolio of responsible pain management medications and a rapidly growing neuropsychiatry business driven by Jornay PM^®, a differentiated treatment for ADHD. Collegium’s strategy includes growing its commercial portfolio, with Jornay PM as the lead growth driver, and deploying capital in a disciplined manner. Collegium’s headquarters are located in Stoughton, Massachusetts. For more information, please visit the Company’s website at www.collegiumpharma.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. We may, in some cases, use terms such as "predicts," "forecasts," "believes," "potential," "proposed," "continue," "estimates," "anticipates," "expects," "plans," "intends," "may," "could," "might," "should" or other words that convey uncertainty of future events or outcomes to identify these forward-looking statements. Examples of forward-looking statements contained in this press release include, among others, statements regarding the expected benefits of the new credit facility, including anticipated interest savings, statements related to the intended use of proceeds from the credit facility, statements regarding our capital structure, financial position, and future financial performance, and other statements that are not historical facts. Such statements are subject to numerous important factors, risks and uncertainties that may cause actual events or results, performance, or achievements to differ materially from the company's current expectations, including risks relating to, among others: unknown liabilities; risks related to future opportunities and plans for our products, including uncertainty of the expected financial performance of such products; our ability to commercialize and grow sales of our products; our ability to manage our relationships with licensors; the success of competing products that are or become available; our ability to maintain regulatory approval of our products, and any related restrictions, limitations, and/or warnings in the label of our products; the size of the markets for our products, and our ability to service those markets; our ability to obtain reimbursement and third-party payor contracts for our products; the rate and degree of market acceptance of our products; the costs of commercialization activities, including marketing, sales and distribution; changing market conditions for our products; the outcome of any patent infringement or other litigation that may be brought by or against us; the outcome of any governmental investigation related to our business; our ability to secure adequate supplies of active pharmaceutical ingredient for each of our products and manufacture adequate supplies of commercially saleable inventory; our ability to obtain funding for our operations and business development; regulatory developments in the U.S.; our expectations regarding our ability to obtain and maintain sufficient intellectual property protection for our products; our ability to comply with stringent U.S. and foreign government regulation in the manufacture of pharmaceutical products, including U.S. Drug Enforcement Agency compliance; our customer concentration; and the accuracy of our estimates regarding expenses, revenue, capital requirements and need for additional financing. These and other risks are described under the heading "Risk Factors" in our Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q and other filings with the SEC. Any forward-looking statements that we make in this press release speak only as of the date of this press release. We assume no obligation to update our forward-looking statements whether as a result of new information, future events or otherwise, after the date of this press release.

Investor Contacts:
Ian Karp
Head of Investor Relations
ir@collegiumpharma.com

Danielle Jesse
Director, Investor Relations
ir@collegiumpharma.com

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What is the size and maturity of Collegium's new credit facility (COLL)?

Collegium closed a $980 million syndicated credit facility that matures in 2030.

How is Collegium's $980M credit facility structured for COLL?

The facility consists of a $580M initial term loan, a $300M delayed draw term loan (undrawn), and a $100M revolving credit facility (undrawn).

How did Collegium use the initial term loan from the new facility (COLL)?

The initial $580M term loan was used to repay approximately $581M of principal on the company's prior term loan.

What interest rate will Collegium pay under the new credit facility (COLL)?

Loans bear interest at SOFR plus a spread of 2.75%–3.75% tied to first lien net leverage; the rate at closing was SOFR+2.75%.

What will Collegium use the undrawn portions of the credit facility for (COLL)?

The $300M delayed draw and $100M revolver are expected to fund general corporate purposes, including partial funding of business development opportunities.