8-KMaterial AgreementsFinancial EventsExhibits & Filings

ALNYLAM PHARMACEUTICALS, INC. 8-K Report, Material Agreement (Apr 6, 2006)

Filed April 6, 2006For Securities:ALNY

Summary

Alnylam Pharmaceuticals, Inc. (ALNY) has entered into a Master Security Agreement with Oxford Finance Corporation, establishing a framework for potential future borrowings. As of March 31, 2006, the company has utilized this agreement to secure an initial loan of approximately $387,700. This debt is divided into two tranches with distinct fixed interest rates and repayment schedules. The first tranche of approximately $240,500 carries a fixed interest rate of 10.07% and is repayable over 48 months, commencing immediately. The second tranche, amounting to approximately $147,200, has a slightly higher fixed interest rate of 10.09% and a repayment term of 36 months, also beginning immediately. The agreement grants Oxford Finance Corporation a security interest in all property financed by Oxford. Investors should note that this filing establishes a new debt obligation for Alnylam.

Key Highlights

  • 1Alnylam Pharmaceuticals entered into a Master Security Agreement with Oxford Finance Corporation on March 31, 2006.
  • 2The agreement allows for Oxford Finance Corporation to lend money to Alnylam, with Alnylam granting a security interest in financed property.
  • 3Alnylam has already borrowed approximately $387,700 under this agreement.
  • 4The loan is split into two tranches with different fixed interest rates and repayment periods.
  • 5A portion of approximately $240,500 is at a fixed 10.07% interest rate, repayable over 48 months.
  • 6Another portion of approximately $147,200 is at a fixed 10.09% interest rate, repayable over 36 months.
  • 7The agreement defines events of default that could lead to immediate repayment of all outstanding debts.

Frequently Asked Questions

The Master Security Agreement establishes a framework between Alnylam Pharmaceuticals and Oxford Finance Corporation for potential future lending and borrowing. Alnylam has granted Oxford a security interest in property financed by Oxford as collateral.

As of March 31, 2006, Alnylam has borrowed approximately $387,700. This amount is composed of two parts: one for about $240,500 at a fixed 10.07% interest rate with 48 monthly repayments, and another for about $147,200 at a fixed 10.09% interest rate with 36 monthly repayments.

This agreement represents a new debt obligation for Alnylam Pharmaceuticals. The company has incurred approximately $387,700 in new debt with specific interest rates and repayment schedules, which will impact its cash flow and balance sheet.

The agreement includes standard clauses for debt financing, such as events of default. If an event of default occurs, Oxford Finance Corporation has the right to declare all of Alnylam's debts to them immediately due and payable, which could pose a significant financial risk.