Revolution Medicines draws $250M loan tranche after FDA approves RASONQUE
The FDA approval of daraxonrasib for pancreatic cancer triggered a $250 million Royalty Pharma loan draw, while the company passed on a separate $250 million royalty sale option.
Revolution Medicines disclosed in an 8-K dated October 8, 2026 that the FDA's approval of RASONQUE (daraxonrasib) for adult patients with metastatic pancreatic adenocarcinoma who have received at least one prior systemic therapy or who are not candidates for multiagent systemic therapy triggered the advance of a Tranche A Loan in an aggregate principal amount of $250.0 million1 from Royalty Pharma Development Funding, LLC.
The loan is part of a larger facility. The company had entered a loan agreement on June 23, 2025 with Wilmington Trust, National Association as administrative agent and Royalty Pharma Development Funding, LLC as lender, providing for a senior secured term loan facility of up to $750.0 million across three tranches of up to $250.0 million each.1 Upon drawing Tranche A, the company paid the Lender a $5.0 million draw fee.1
Terms of the loan include a floating interest rate equal to three-month Term SOFR, subject to a 3.50% floor, plus 5.75%, payable quarterly, with the loan interest-only and principal due on October 8, 2032.1 Prepayment carries penalties: any prepayment before the second anniversary requires a make-whole payment plus a 3.0% premium, a prepayment between the second and third anniversary requires a 3.0% premium, and a prepayment between the third anniversary and maturity requires a 1.0% premium.1 Up to an additional $500.0 million remains potentially available, subject to milestones and conditions in the agreement.1
Separately, under a June 23, 2025 Revenue Participation Right Purchase and Sale Agreement, the FDA approval also triggered a "Tranche 3 Trigger," giving the company the option, through October 10, 2026, to require Royalty Pharma to pay up to $250.0 million for a corresponding revenue participation right.1 The company elected not to exercise this option and will not receive the Tranche 3 Purchase Price.1 An additional $500.0 million in potential purchase price payments remains available under future milestones.1
Written by readthrough’s AI from the linked primary sources and fact-checked against them automatically before publishing. Not investment advice.