secwatch.observer — SEC 8-K summary
======================================

Issuer:     ADC Therapeutics SA (ADCT)
CIK:        0001771910
Form:       8-K
Filed at:   2024-01-19T23:59:59+00:00
Accession:  0000950103-24-000925
Event type: debt
Sentiment:  neutral
Materiality: 0.60
Item codes: 1.01, 9.01
LLM model:  deepseek-v4-flash:cloud@v2

ADC Therapeutics amends loan; adds ZYNLONTA sales covenant, eases out-license repay
--------------------------------------------------------------------------------

- New revenue covenant requires ZYNLONTA net sales from $45.5M (trailing 3Q Jun'24) to $94.2M (4Q Jun'29).
- Out-licensing repayment threshold raised to $75M (from $50M); mandatory paydown cut to 25% (from 30%).
- Covenant not tested if 30-day avg market cap ≥ $650M; prepayment cure right limited to 3 events, max 2 consecutive.
- Lenders waived alleged non-financial defaults and consented to potential Delaware reincorporation.
- Amendment targets greater flexibility for out-licensing preclinical compounds while adding measurable sales target.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/1771910/000095010324000925/0000950103-24-000925-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/1771910/000095010324000925/dp205339_8k.htm
  HTML page:      https://secwatch.observer/filing/0000950103-24-000925

License: Source filings: public domain (SEC EDGAR). Summaries (headline + bullets): CC-BY-4.0; attribute https://secwatch.observer