Unilife Releases OrbiMed Loan Covenants: Is A Default Imminent?

Unilife Releases OrbiMed Loan Covenants: Is Default Imminent? by Jordan S. Terry, Stone Street Advisors

In May, we explained how Unilife Corp (NASDAQ:UNIS)– with the helping hand of the SEC – was able to file the OrbiMed credit agreement and leave out very important details, particularly what financial performance it had to achieve to avoid triggering an event of default/covenant breach:

As far as we know, we are the only observers to find this unacceptable, as it allows Unilife Corp (NASDAQ:UNIS) to severely impair analysts’ and investors’ ability to evaluate the firm’s default risk and valuation.

As such, we filed a Freedom of Information Act request...