Biora Therapeutics Initiates Chapter 11 Sale Process to Advance Business Objectives

Biora Therapeutics, a reputable biotech firm listed on the NASDAQ under the ticker BIOR, recently made waves in the financial world by voluntarily filing a petition on December 27, 2024, under Chapter 11 of the United States Bankruptcy Code. This move, officially termed the “Chapter 11 Case,” was carried out by Biora Therapeutics, Inc., commonly referred to as the “Company” or the “Debtor.” The action was undertaken with the aim of seeking relief under the jurisdiction of the Bankruptcy Court for the District of Delaware.

The Company has outlined its intentions to sustain its business operations as per usual, operating under the designation of “debtor-in-possession.” The operations are set to comply with the Bankruptcy Code’s regulations and the directives of the Bankruptcy Court.

In conjunction with initiating the Chapter 11 Case, the Company sought approval for debtor-in-possession financing, with the details of the funding agreement outlined in the DIP Term Sheet. This financing primarily aims to facilitate a smooth transition into Chapter 11 protection without significant disruptions to the Company’s standard workflow.

Key components of the debtor-in-possession financing include superpriority priming term loans known as DIP Loans, amounting to a total of $46,125,000.00, with distinct allocations for New Money DIP Loans and Roll-Up Loans. The Company is set to leverage the proceeds from this financing based on a Budget in alignment with the terms stipulated in the DIP Term Sheet.

Moreover, Biora Therapeutics has envisioned specific milestones, particularly for the Sale Process, a crucial aspect of the Chapter 11 proceedings. Scheduled milestones include filing motions for bidding procedures approval, initiating auctions, and finalizing sale closures, subject to the Bankruptcy Court’s availability and approvals.

In light of these recent developments, MarketBeat will keep a keen eye on Biora Therapeutics’ trajectory and how the Company navigates the Chapter 11 Case to potentially emerge stronger from these strategic proceedings.

For further insights and official documentation, interested parties can access the Bankruptcy Court filings and related information concerning the Chapter 11 Case via the Company’s dedicated website, cases.ra.kroll.com/biora.

It’s worth noting that trading in Biora Therapeutics securities during this Chapter 11 process carries significant speculative risks, and market prices may not correlate with the actual outcomes or recoveries expected by security holders through this period.

This current report contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements reflect management’s expectations and should be construed in the context of significant risks and uncertainties that could lead to material differences in actual performance or achievements. Biora Therapeutics hereby disclaims any obligation to update these statements beyond the date of this report.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Biora Therapeutics’s 8K filing here.

About Biora Therapeutics

Biora Therapeutics, Inc, a clinical-stage biotechnology company, engages in developing oral biotherapeutics in the United States. The company offers NaviCap, a targeted oral delivery platform for delivery of therapeutics in the gastrointestinal tract to enhance the treatment of inflammatory bowel diseases; and BioJet, a systemic oral delivery platform designs to replace injection with needle-free, oral delivery of large molecules for management of chronic diseases.