Date: Sep 28, 2010 Source: bizjournals (
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Titan Pharmaceuticals Inc. borrowed $5 million from Oxford Finance Corp.
South San Francisco-based Titan (OTCBB: TTNP) will pay only interest on the loan for the first nine months. It will pay back the loan over 39 months.
The loan, secured by all the company's assets, has a 13 percent annual interest rate.
Titan paid Oxford $125,000 to set up the loan and owes $300,000 more, though that could be cut to $175,000 "under certain circumstances" which it didn't elaborate.
Oxford also got warrants to buy 287,356 shares of Titan's stock over the next five years for 87 cents each.
Titan needs the money for Phase III testing of Probuphine, a treatment for opioid addiction.
At the end of the June quarter, Titan had run up a deficit of $275,062,000.
Read more: Titan Pharmaceuticals borrows $5M - San Francisco Business Times
