Biopharma Cred. Regulatory News (BPCR)

BIOPHARMA CREDIT PLC

("BIOPHARMA CREDIT" OR THE "COMPANY")

NEW INVESTMENT

BioPharma Credit PLC (LSE: BPCR), the specialist life sciences debt investor, is pleased to announce that it has entered into a definitive senior secured term loan agreement for up to US$80 million with BioDelivery Sciences International, Inc. (Nasdaq: BDSI), a commercial-stage specialty pharmaceutical company with a current market capitalisation of approximately US$400 million ("BDSI"). In addition, BPCR acquired 5,000,000 BDSI shares at US$5.00 each for a total cost of US$25 million in a public offering that priced on 11 April 2019.

The first tranche of the loan for US$60 million was funded yesterday and an additional tranche of US$20 million is available for draw by May 2020 at BDSI's option. The loan will mature in May 2025 and bears interest at LIBOR plus 7.5 per cent., along with 2 per cent. additional consideration. The loan is secured by substantially all of BDSI's assets.

BDSI utilizes its novel and proprietary BioErodible MucoAdhesive (BEMA®) technology, to develop and commercialize new applications of proven therapies aimed at addressing important unmet medical needs. BDSI's leading products include:

· BELBUCA® (buprenorphine buccal film), CIII, a partial opioid agonist, approved by the U.S. Food and Drug Administration (FDA) in October 2015 for the management of pain severe enough to require daily, around-the-clock, long-term opioid treatment and for which alternative treatment options are inadequate. BELBUCA is a Schedule III medicine. Schedule III medicines are considered by the U.S. Drug Enforcement Agency (DEA) to have less potential for abuse than Schedule II medicines such as fentanyl, hydrocodone, morphine and oxycodone.

· Symproic® (naldemedine) tablets 0.2 mg approved by the FDA in March 2017 for the treatment of opioid-induced constipation (OIC) in adults with chronic non-cancer pain, including patients with chronic pain related to prior cancer or its treatment who do not require frequent (e.g., weekly) opioid dosage escalation. On 4 April 2019, BDSI acquired the exclusive right to commercialize Symproic in the U.S. for OIC from Shionogi, Inc.

BDSI has guided to 2019 revenue of US$92 million to US$100 million, up from US$51.4 million in 2018. As of 31 March 2019, BDSI had US$41.3 million of cash and liquid investments and on 11 April 2019 raised US$50 million of additional cash via a sale of equity. Proceeds from this financing, along with available cash on hand, were used to repay and retire the company's existing term loan with CRG Servicing LLC which had an outstanding balance of US$61.8 million and a maturity date of December 2022.

'We are pleased to partner with BDSI in this transaction,' said Pedro Gonzalez de Cosio, CEO of Pharmakon Advisors, LP. 'Led by an excellent management team, we believe that sales of BDSI's products will continue to grow while helping patients suffering from these important unmet medical needs. This exciting transaction, and BPCR's first equity investment, further demonstrates the exciting range of opportunities available to us and continues to diversify our portfolio.'

Link Company Matters Limited

Company Secretary

29 May 2019

Enquiries:

Buchanan

David Rydell / Mark Court/ Jamie Hooper/ Henry Wilson

+44 (0)20 7466 5000

Biopharmacredit@buchanan.uk.com

Notes to Editors:

BioPharma Credit PLC is London's only listed specialist investor in debt from the life sciences industry and joined the LSE on 27 March 2017. The Company seeks to provide long-term shareholder returns, principally in the form of sustainable income distributions from exposure to the life sciences industry. The Company seeks this objective primarily through investments in debt assets secured by royalties or other cash flows derived from the sales of approved life sciences products.