Harrow Health announces new $100M secured credit facility with Oaktree

Harrow (HROW) announced that it has entered into a $100M secured credit financing agreement with funds managed by Oaktree Capital Management. The interest-only secured credit facility carries an interest rate equal to the three-month secured overnight financing rate, SOFR, plus 6.50%, includes flexible terms and covenants, and is expected to mature in approximately three years. A portion of the proceeds from the new facility was used to pay off indebtedness under Harrow’s existing secured loan with an affiliate of B. Riley Financial (RILY), with the remainder to be used for future milestone payments related to a recently announced acquisition and for general corporate purposes. In commenting on the announcement, Mark L. Baum, Chairman and Chief Executive Officer of Harrow, said, "We are pleased to enter into this credit facility, which strengthens our balance sheet and provides us the flexibility needed to pursue additional acquisitions – in alignment with our growth strategy. We are grateful for the confidence and support of Oaktree, and we look forward to working closely with them as a strong financial partner."