4D Molecular Therapeutics (FDMT) signs up to $200M secured loan with Hercules

Rhea-AI Filing Summary

4D Molecular Therapeutics, Inc. entered into a new senior secured Loan and Security Agreement with Hercules Capital providing term loans in an aggregate principal amount of up to $200.0 million. The facility matures on June 1, 2031 and is structured in multiple tranches, including a Tranche 1A Loan of $20.0 million drawn at closing, a Tranche 1B Loan of $30.0 million available at the company’s election until June 15, 2027, and additional milestone-based tranches totaling $100.0 million plus a discretionary $50.0 million tranche.

Tranche 1A bears interest at the greater of the prime rate plus 2.00% or 8.75%, while the other tranches bear the greater of the prime rate plus 2.50% or 9.25%, all payable monthly in arrears and capped at 0.75% above the rate in effect on funding. The company must pay a $500,000 Initial Facility Charge and a 1.00% Tranche Facility Charge on advances from Tranche 2 through Tranche 5.

The agreement includes minimum cash covenants tied to outstanding obligations and company market capitalization, a performance covenant triggered after FDA approval of the lead product candidate and borrowings of at least $75.0 million, and events of default that can accelerate all obligations. The loans are secured by substantially all company assets, including intellectual property, and certain future subsidiaries may be required to guarantee and pledge their assets.

Insights

Biotech capital structure analyst

FDMT adds a sizeable, flexible debt facility with tight covenants.

4D Molecular Therapeutics has arranged up to $200.0 million in senior secured term loans maturing in 2031. Only $20.0 million is drawn immediately, with the rest accessible through milestone-based and discretionary tranches, which can align funding with clinical and commercial progress.

Interest rates are floating with floors of 8.75% for Tranche 1A and 9.25% for later tranches, plus facility and prepayment fees, making this a relatively expensive but non-dilutive capital source. The loans are secured by substantially all assets, including intellectual property, increasing creditor priority.

Financial and performance covenants require maintaining significant cash relative to outstanding obligations and, after FDA approval and at least $75.0 million in borrowings, meeting either market cap, cash, or revenue thresholds. These terms support liquidity but may constrain flexibility if milestones or forecasts are not met. Overall, the arrangement is structurally important but its ultimate impact depends on how much of the facility is utilized over time.

8-K Event Classification

2 items: 1.01, 2.03

2 items

Item 1.01 Entry into a Material Definitive Agreement Business

The company signed a significant contract such as a merger agreement, credit facility, or major partnership.

Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement Financial

The company incurred a new significant debt or off-balance-sheet obligation.

Key Figures

Total facility size: $200.0 million Initial draw (Tranche 1A): $20.0 million Additional elected tranche (1B): $30.0 million +5 more

8 metrics

Total facility size $200.0 million Aggregate principal amount of term loans under Loan and Security Agreement

Initial draw (Tranche 1A) $20.0 million Drawn on the June 24, 2026 Closing Date

Additional elected tranche (1B) $30.0 million Available at company’s election until June 15, 2027

Interest floor Tranche 1A Prime + 2.00% or 8.75% Floating rate with minimum annual interest, payable monthly

Interest floor other tranches Prime + 2.50% or 9.25% Floating rate for Tranche 1B and Tranches 2–5, payable monthly

Initial Facility Charge $500,000 Upfront fee payable under the Loan and Security Agreement

Tranche Facility Charge 1.00% of advance Applies to advances from Tranche 2 through Tranche 5

Maturity Date June 1, 2031 Scheduled maturity of senior secured term loans

Key Terms

Material Definitive Agreement, senior secured term loan, Initial Facility Charge, minimum cash covenant, +2 more

6 terms

Material Definitive Agreement regulatory

"Item 1.01 Entry into a Material Definitive Agreement."

A material definitive agreement is a legally binding contract that creates major, long‑term obligations or rights for a company, such as loans, asset sales, mergers, or supplier deals. Think of it like a mortgage or lease for a business: it can change future cash flow, risk and control, so investors watch these agreements closely because they can materially affect a company’s value, financial health and stock price.

senior secured term loan financial

"The Agreement provides for a senior secured term loan which matures on June 1, 2031"

A senior secured term loan is a type of borrowing where a company borrows money and promises to pay it back over a fixed period, with the loan secured by the company's assets as collateral. Because it is "senior," it has priority over other debts if the company faces financial trouble, and being "secured" means lenders have a claim on specific assets. For investors, this makes the loan a safer and more predictable investment compared to unsecured or subordinate debts.

Initial Facility Charge financial

"The Company is required to pay an Initial Facility Charge of $500,000"

minimum cash covenant financial

"The Agreement contains the following financial covenants: (i) a minimum cash covenant"

A minimum cash covenant is a loan agreement clause that requires a company to keep at least a specified amount of cash or liquid assets on hand, like a bank requiring you to maintain a minimum balance. It matters to investors because it limits how management can spend or return cash, reduces the risk of surprise default by ensuring a short-term safety buffer, and can signal lender concern about the company’s liquidity.

performance covenant financial

"Additionally, the Agreement contains a performance covenant that is tested beginning nine months after"

event of default financial

"Upon the occurrence of an event of default, the lenders may, among other things, accelerate"

An event of default is a specific breach of a loan or bond agreement—such as missed payments or breaking agreed rules—that gives lenders the legal right to act, for example by demanding immediate repayment, seizing collateral, or accelerating other obligations. For investors, it’s a red flag because it can sharply reduce a company’s ability to operate or raise money, like a car lender repossessing a vehicle after missed payments, and often leads to falling share or bond prices.

See more from StockTitan in Google Search and AI answers. Adds StockTitan as a preferred source · opens Google

Add on Google Not now

Understanding 8-K Material Events →

Available on EDGAR 06/29/2026 - 08:05 AM Accepted by SEC EDGAR 06/29/2026 - 08:05 AM Learn about SEC filing dates

false 0001650648 0001650648 2026-06-24 2026-06-24

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): June 24, 2026

4D Molecular Therapeutics, Inc.

(Exact name of Registrant as Specified in Its Charter)

Delaware		001-39782		47-3506994
(State or Other Jurisdiction of Incorporation)		(Commission File Number)		(IRS Employer Identification No.)

5858 Horton Street #455
Emeryville, California		94608
(Address of Principal Executive Offices)		(Zip Code)

Registrant’s Telephone Number, Including Area Code: (510) 505-2680

N/A

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
Common Stock, $0.0001 par value per share		FDMT		Nasdaq Global Select Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 1.01 Entry into a Material Definitive Agreement.

On June 24, 2026 (the “Closing Date”), 4D Molecular Therapeutics, Inc. (the “Company”) entered into a Loan and Security Agreement (the “Agreement”) with Hercules Capital, Inc. (“Hercules”), providing for term loans in an aggregate principal amount of up to $200.0 million, subject to the terms and conditions set forth therein.

The Agreement provides for a senior secured term loan which matures on June 1, 2031 (the “Maturity Date”), for up to $200.0 million in term loans and consists of the following tranches (collectively, the “Term Loans”): (1) a Tranche 1A Loan of $20.0 million drawn on the Closing Date, (2) a Tranche 1B Loan of $30.0 million, which will be available at the Company’s election until June 15, 2027, (3) a Tranche 2A Loan of $12.5 million, subject to the occurrence of certain milestones, (4) a Tranche 2B Loan of $12.5 million, subject to the occurrence of certain milestones, (5) a Tranche 3 Loan of $50.0 million, subject to the occurrence of certain milestones, (6) a Tranche 4 Loan of $25.0 million, subject to the occurrence of certain milestones and (7) a Tranche 5 Loan of $50.0 million, available in the sole discretion of Hercules.

The Tranche 1A Loan bears interest at a floating rate based upon an annual interest rate of the greater of (i) the prime rate as reported in The Wall Street Journal plus 2.00% and (ii) 8.75%, payable monthly in arrears. All other tranches bear interest at a floating rate based upon an annual interest rate of the greater of (i) the prime rate as reported in The Wall Street Journal plus 2.50% and (ii) 9.25%, payable monthly in arrears. In no event shall the interest rate with respect to any advance exceed the annual interest rate that is 0.75% greater than the annual interest rate in effect on the date such advance was funded. The Company is required to pay an Initial Facility Charge of $500,000 and a Tranche Facility Charge equal to 1.00% of any advance for Tranche 2 through Tranche 5. The Company may elect to prepay the Term Loans in whole or, subject to certain conditions, in part prior to the Maturity Date with such prepayments being subject to certain prepayment and exit fees.

The Agreement contains customary affirmative and restrictive covenants, representations and warranties and events of default. The Agreement contains the following financial covenants: (i) a minimum cash covenant, which is tested beginning on the earlier of (x) January 1, 2028 (if aggregate borrowings exceed $25 million prior to such date) or (y) otherwise, the date on which aggregate borrowings exceed $25 million (or, if certain milestones are achieved, beginning on the earlier of July 1, 2028 if aggregate borrowings exceed $50 million prior to such date, or otherwise, the date aggregate borrowings exceed $50 million), requiring the Company to maintain cash equal to a specified percentage of outstanding obligations under the Agreement; provided that the minimum cash covenant is not tested on any day on which the Company’s market capitalization exceeds seven times the outstanding obligations under the Agreement; and (ii) if the Company makes a cash redemption of any permitted convertible debt, the Company must maintain cash equal to at least 125% of the outstanding obligations under the Agreement. Additionally, the Agreement contains a performance covenant that is tested beginning nine months after (x) FDA approval of the Company’s lead product candidate and (y) aggregate borrowings equal or exceed $75 million, requiring the Company to satisfy at least one of the following: (A) the Company’s market capitalization exceeds $750 million and the Company maintains cash in an amount equal to at least 50% of outstanding obligations under the Agreement; (B) the Company maintains cash in an amount equal to at least 125% of outstanding obligations under the Agreement; or (C) trailing six-month net product revenue from the Company’s lead product candidate is at least 70% of forecasted revenue for such period. Upon the occurrence of an event of default, the lenders may, among other things, accelerate the Company’s obligations under the Agreement (including all obligations for principal, interest and any applicable prepayment charges and end of term charges); provided that upon an event of default relating to certain insolvency, liquidation, bankruptcy or similar events, all outstanding obligations will be automatically accelerated.

The Company’s obligations under the Agreement are secured by substantially all of its assets, including its intellectual property. Certain of the Company’s future subsidiaries may, from time to time after the Closing Date, be required to guarantee the Company’s obligations under the Agreement and, in connection with such guarantee, pledge substantially all of their assets, including intellectual property, to secure such guarantee.

The foregoing description of the Agreement does not purport to be complete and is qualified in its entirety by reference to the full text of the Agreement, a copy of which will be filed as an exhibit to the Company’s Quarterly Report on Form 10-Q for the quarter ending June 30, 2026.

Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant

The information set forth under Item 1.01 of this Current Report on Form 8-K is incorporated by reference into this Item 2.03.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

						4D MOLECULAR THERAPEUTICS, INC.
Date: June 29, 2026				By:		/s/ Kristian Humer
						Kristian Humer Chief Financial Officer

FAQ

What financing agreement did 4D Molecular Therapeutics (FDMT) enter on June 24, 2026?

4D Molecular Therapeutics entered a senior secured Loan and Security Agreement with Hercules Capital providing term loans of up to $200.0 million. The facility is structured in multiple tranches and is secured by substantially all company assets, including intellectual property.

How large is the new Hercules loan facility for 4D Molecular Therapeutics (FDMT)?

The agreement allows term loans in an aggregate principal amount of up to $200.0 million. This includes an initial $20.0 million draw, additional milestone-based tranches totaling $100.0 million, and a discretionary $50.0 million tranche.

What interest rates apply to the new FDMT term loans with Hercules Capital?

The Tranche 1A Loan bears the greater of prime plus 2.00% or 8.75%. All other tranches bear the greater of prime plus 2.50% or 9.25%, with interest payable monthly and a cap of 0.75% above the rate at funding.

When does the 4D Molecular Therapeutics (FDMT) Hercules loan mature and what fees apply?

The senior secured term loan facility matures on June 1, 2031. FDMT must pay an Initial Facility Charge of $500,000 and a Tranche Facility Charge equal to 1.00% of any advance from Tranche 2 through Tranche 5, plus potential prepayment and exit fees.

What key covenants are included in FDMT’s new Hercules loan agreement?

The agreement includes minimum cash covenants tied to outstanding obligations and market capitalization, and a performance covenant after FDA approval and borrowings of at least $75.0 million. FDMT must then meet specified market cap, cash, or trailing six‑month revenue thresholds to remain compliant.

What collateral secures the new 4D Molecular Therapeutics (FDMT) loan facility?

FDMT’s obligations are secured by substantially all of its assets, including intellectual property. Certain future subsidiaries may also be required to guarantee the obligations and pledge substantially all of their assets, providing strong collateral protection to the lender.

Filing Exhibits & Attachments

3 documents

Other Documents

• EX-101 XBRL TAXONOMY EXTENSION SCHEMA 3.2 KB
• EX-101 XBRL TAXONOMY EXTENSION LABEL LINKBASE 16.8 KB
• EX-101 XBRL TAXONOMY EXTENSION PRESENTATION LINKBASE 10.6 KB