Idorsia restructures its financial position and raises CHF 150 million

Based in Allschwil, Idorsia is a biopharmaceutical company specializing in the discovery, development, and commercialization of innovative drugs, primarily in neuroscience, cardiovascular, and immunology, has recently reached a major milestone. The company has successfully negotiated a restructuring of its outstanding CHF 800 million convertible bond debt with significant bondholders, significantly easing its financial burden. This restructuring is designed to provide Idorsia with improved financial flexibility, enabling the company to continue its critical R&D work and bring key pipeline products closer to commercialization.

“We were not able to close the envisaged out-licensing agreement for aprocitentan, but we will now pivot to potential alternative partners. Despite this unexpected setback, we were able to agree to a holistic restructuring of our convertible bond debt and secure additional funding for future operations,” explains André C. Muller, Chief Executive Officer of Idorsia.

As part of the restructuring, Idorsia has raised CHF 150 million to extend its financial runway into 2026. Additionally, the company will issue 5.0 million shares to certain bondholders, further reinforcing its equity story and providing essential capital to meet its obligations.

Looking ahead: Positive projections for 2025
Key financial figures for 2024 show net revenue of CHF 113 million, operating expenses of CHF 351 million, and an operating loss of CHF 232 million, with a net loss of CHF 264 million. Sales of QUVIVIQ (daridorexant) reached CHF 61 million. Additionally, Idorsia entered into a collaboration with Viatris, reducing its cash needs for 2025. Looking ahead, the company projects net sales of QUVIVIQ at approximately CHF 110 million and non-GAAP operating expenses of CHF 325 million in 2025. These steps align with Idorsia's broader strategy of stabilizing its financial position and focusing on the growth of its key products.

“With so much attention going to the financial situation of the company during the past six months, it’s easy to lose sight of how well the company was performing in other areas. We exceeded our sales target for QUVIVIQ, with a particularly strong performance in France and Germany. Our next potential blockbuster, TRYVIO, was made available for prescription in the US, approved as JERAYGO in the EU and UK, and submitted for review in Switzerland and Canada. We closed a great deal with Viatris for our Phase 3 assets, selatogrel and cenerimod, and we have advanced our early-stage pipeline of potentially first- or best-in-class discoveries. With commercial profitability forecast in 2026, and overall profitability forecast for 2027, we have a lot to be excited about,” he adds.