Rocket Pharmaceuticals has secured a credit facility of up to $150 million from Hercules Capital to strengthen its financial position and support the development of its cardiovascular genetic medicine pipeline.
Rocket received $35 million at closing and can draw another $35 million during specified periods at its option, subject to the terms of the agreement.
An additional $30 million could become available following achievement of a specified clinical milestone related to Rocket’s Danon disease program.
A final $50 million tranche is subject to approval by Hercules Capital’s investment committee.
The facility includes an initial 30-month interest-only period and a 48-month maturity, with potential extensions if specified milestones are achieved. Hercules also received warrants to purchase Rocket common stock.
Rocket plans to use the financing to support its pivotal Phase 2 study of RP-A501 for Danon disease and advance its broader cardiovascular pipeline.
As of June 30, 2026, Rocket had $283.7 million in cash, cash equivalents and investments.
Based on its current operating plan, the company expects those resources plus the initial $35 million borrowing to finance operations into the third quarter of 2028.
If Rocket accesses additional amounts available through the Hercules facility, the company said its cash runway could extend into 2029, depending on borrowing conditions, future draws and operating expenditures.
The financing follows Rocket’s sale of a priority review voucher and is intended to diversify its sources of capital as it advances cardiovascular genetic medicine programs.
LifeSci Capital served as Rocket’s financial advisor on the term loan financing, and PJT served as a capital markets advisor.
KEY QUOTES:
“Building on the sale of our priority review voucher, this financing diversifies our sources of capital and strengthens our ability to execute and deliver on our cardiovascular strategy. The staged structure provides flexibility to align additional funding with progress across our programs. We remain focused on allocating capital thoughtfully, executing the pivotal Danon study and advancing genetic medicines for patients with serious inherited heart diseases.”
Gaurav Shah, M.D., CEO of Rocket Pharmaceuticals
“Rocket is advancing toward important milestones across its cardiovascular pipeline, led by the pivotal Danon program. We are pleased to provide a flexible financing solution that supports the Company’s development priorities. We look forward to working alongside Rocket as it builds on its expertise in cardiovascular genetic medicines.”
R. Bryan Jadot, Senior Managing Director and Group Head of Life Sciences at Hercules Capital
