SUGAR LAND, TEXAS, January 31, 2018 - QuVa Pharma, Inc. today announced it has raised additional debt and equity funding of up to $40 million to support business growth initiatives. The funding includes $15 million from Bain Capital Private Equity and other existing shareholders, $20 million Term Loan from Silicon Valley Bank and a $5 million lease facility from Farnam Street Financial. With this additional capital infusion, total capital invested to date will approach $200 million.
The new capital will help fund several of the company's strategic expansion priorities, to assist in meeting the significant demand it is experiencing. It will enable immediate expansion of QuVa Pharma's operations in Texas as well as accelerate the completion of the New Jersey facility. By the fourth quarter, the company expects to have 240,000 square feet of state-of-the-art, 503B registered manufacturing capacity as well as a workforce of approximately 500 employees.
"We are experiencing significant business growth as hospital customers embrace the quality proposition and consistency of supply we bring to the 503B industry. This has been no more apparent than of late justifying an immediate increase in our production capacities," said Stuart Hinchen, QuVa Pharma's co-founder and Chief Executive Officer. "This will further strengthen our ability to service customers coast to coast with a broad portfolio of products."
"Bain Capital, along with our other partner shareholders, is pleased to be able to continue to back this accomplished management team and facilitate the expansion of QuVa Pharma. We are also very pleased to have gained the support of Silicon Valley Bank and Farnam Street Financial in further capitalizing the company's expansion," said Jeff Schwartz, a Managing Director of Bain Capital.
"After prioritizing more than two years of deep and extensive investments in our team, validation procedures, quality systems and scale capacity, we are proud to see QuVa Pharma emerge as a clear industry leader," said Andrew Kaplan, a Principal of Bain Capital Private Equity. "We have continued to invest enormous financial and human capital to proactively address the increased regulation and standards customers and the FDA expect of the industry, ensuring reliable patient access to safe drugs. Our conviction in QuVa's model supported this investment, and future funding to further accelerate growth."
QuVa Pharma is the market leader in quality compliance with two existing Texas facilities in excellent standing with the FDA, having received the Inspection Close out report in March 2017 for the main Sugar Land, Texas campus and also for its Temple, Texas facility in July 2017. QuVa Pharma has opened the first phase of its 160,000 sq. ft. New Jersey facility which was successfully audited by the FDA in December 2017.
About QuVa Pharma, Inc.
QuVa Pharma is a nationally recognized company emerging as the leading industry 503B platform and partner of choice for compliance-oriented healthcare facilities looking to ensure a quality, safe and consistent supply of medications. The Company offers a broad portfolio of products across Pain Management, Anti-infective, OR Syringes, Labor and Delivery therapeutic areas amongst others, all of which are released only once sterility and potency testing is successfully complete, and with validation supporting appropriate BUD. The company is committed to having a patient-first orientation, as well as a robust product portfolio, leading safety standards, and collaborative, partnership-oriented customer service. For more information, visit www.quvapharma.com.