HLS Therapeutics Inc. Secures New Credit Agreement
TORONTO, Aug. 20, 2025 — HLS Therapeutics Inc. (“HLS” or the “Company”), a specialty pharmaceutical company operating in the health care sector, has announced the establishment of a new Credit Agreement with National Bank of Canada (“National Bank”) as the administrative agent. This agreement provides HLS with committed credit facilities denominated in Canadian dollars, totaling up to CAD $107 million (approximately USD $77.5 million).
The new credit facility replaces HLS’s previous agreement with JP Morgan Chase Bank, N.A., which was set to mature on August 11, 2026. The proceeds from the new term loan were utilized to fully repay the existing credit agreement. The new Agreement, which has a maturity date of August 19, 2029, consists of a CAD $79 million term credit facility, a CAD $14 million delayed draw facility, and a CAD $14 million revolving credit facility.
The transition to a CAD-denominated facility is a strategic move by HLS to reduce foreign exchange exposure and lower interest rates. This financial restructuring is expected to enhance the company’s financial flexibility, allowing it to better support its operations and strategic initiatives in the health care sector, particularly in the treatment of psychiatric disorders and cardiovascular disease.
National Bank serves as the administrative agent and lead arranger for the new credit facility, with the Toronto-Dominion Bank, Royal Bank of Canada, and Innovation Federal Credit Union acting as syndicate members.
As of August 18, 2025, HLS Therapeutics Inc. had a close price of CAD 5.47 on the Toronto Stock Exchange, with a market capitalization of CAD 160,460,000. The company’s financial performance has been reflected in a price-to-earnings ratio of -6.799, indicating its current financial challenges. Despite these challenges, the new credit agreement is a positive step towards strengthening HLS’s financial position and supporting its mission to address unmet needs in the treatment of central nervous system and cardiovascular specialties.