Madrigal secures $500 million credit facility from Blue Owl

Madrigal Pharmaceuticals Inc. (NASDAQ: MDGL) announced it has entered into a $500 million senior secured credit facility with funds managed by Blue Owl Capital Inc. (NYSE: OWL) to support pipeline expansion and refinance existing debt.

The financing structure includes a $350 million initial term loan funded at closing, with a portion used to refinance Madrigal's existing $115 million senior secured debt plus fees. An additional $150 million delayed draw term loan facility remains available through December 2027, accessible in multiple draws at Madrigal's discretion.

The agreement also provides an option for additional incremental facilities of up to $250 million, available through multiple draws with mutual consent from both parties to support potential strategic business development activities.

"This agreement with Blue Owl meaningfully strengthens our capital position with non-dilutive funding to advance our MASH pipeline through smart, focused business development," said Bill Sibold, Chief Executive Officer of Madrigal Pharmaceuticals.

Madrigal focuses on developing therapeutics for metabolic dysfunction-associated steatohepatitis (MASH). The company's medication Rezdiffra (resmetirom) received FDA approval as the first treatment for MASH with moderate to advanced fibrosis. An ongoing Phase 3 outcomes trial is evaluating Rezdiffra for compensated MASH cirrhosis treatment.

Blue Owl Capital manages over $273 billion in assets under management as of March 31, 2025, investing across credit, real assets, and GP strategic capital platforms.

Morgan Stanley & Co. LLC served as sole structuring agent for the transaction. Goodwin Procter LLP advised Madrigal while Cooley LLP advised Blue Owl.

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