Italian medical device company Sorin Group has finalized a EUR100m loan from the European Investment Bank (EIB) to develop new therapeutic solutions for the treatment of heart failure and mitral valve regurgitation.
The EIB loan will be used to fund research and development projects both in Italy and France related to the development of new products and products improvements in Cardiac Surgery, Cardiac Rhythm Management and New Ventures.
According to the company, the projects cover the entire development from pre-clinical studies to clinical trials for the 2014-2016 period.
The EIB loan represents about one third of the company’s planned investment expenditure in Italy and France during the 2014-2016 period.
In 2013, the company dedicated over 10% of its sales to R&D, with about 15% of its personnel working in R&D centers in Italy, France, Germany and North America.
The seven-year loan has a pre-payment grace period of up to 12 months and bears economic conditions which are competitive with the market benchmark.
Sorin Group CEO André-Michel Ballester said the company is committed to continuous innovation and, thanks to EIB’s support, its commitment is to continue to provide patients and healthcare professionals worldwide with cutting-edge innovative therapeutic solutions.
"This facility, which follows EIB 7-year loan due June 2014, is a further sign of EIB confidence in Sorin’s R&D investments in the cardiovascular industry," Ballester said.
EIB vice president Dario Scannapieco said lending for research and development is one of the priority areas of intervention of the European Union Bank’s business.
"We are therefore very pleased about this second transaction with Sorin Group, a global device company with over 40 years of excellence in Research and Development," Scannapieco said.