Syros Pharmaceuticals Enters Fifth Amendment to Loan Agreement with Oxford Finance

Syros Pharmaceuticals, Inc. (NASDAQ: SYRS) recently disclosed in an 8-K filing with the Securities and Exchange Commission an event involving a default under the Loan and Security Agreement. The default arose on November 12, 2024, due to the failure of the Company’s SELECT-MDS-1 Phase 3 trial, which was evaluating tamibarotene, to meet the primary endpoint of a complete response rate. This event triggered a notice from Oxford Finance LLC, the lender under the Loan Agreement, demanding the immediate repayment of approximately $43.7 million.

In response to this default, Syros Pharmaceuticals paid $33.5 million to Oxford on November 15, 2024, in partial satisfaction of its obligations. Subsequently, on December 4, 2024, Syros Pharmaceuticals and Oxford entered into a Fifth Amendment to the Loan and Security Agreement. This amendment specifies that Oxford will refrain from enforcing remedies against Syros in relation to the Trial Results Default and other specified events of default until a defined period.

As part of this forbearance agreement, Syros Pharmaceuticals has consented to several stipulations. These include granting Oxford a first-priority security interest in all intellectual property, adhering to deadlines for asset sales generating sufficient proceeds for repayment by February 28, 2025, operating within a budget approved by Oxford, using refunds to prepay obligations to Oxford, and agreeing to pay a success fee to Oxford in certain liquidity events involving the company.

The specifics of the Fifth Loan Amendment can be found in Exhibit 10.1 attached to the 8-K filing. This agreement provides a detailed framework for the ongoing relationship between Syros Pharmaceuticals and Oxford Finance LLC.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Syros Pharmaceuticals’s 8K filing here.

Syros Pharmaceuticals Company Profile

Syros Pharmaceuticals, Inc, a biopharmaceutical company, focuses on the development of treatment for hematologic malignancies. The company's lead product candidates are Tamibarotene, a selective retinoic acid receptor alpha agonist, which is in Phase III clinical trial for genomically defined subset of patients with myelodysplastic syndrome and Phase II clinical trial for patients with acute myeloid leukemia; SY-2101, a novel oral form of arsenic trioxide for treating patients with acute promyelocytic leukemia; and SY-5609, a cyclin-dependent kinase 7 inhibitor, which is in a Phase I clinical trial in patients with select advanced solid tumors.