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Get filing alertsStarling Oncology subsidiary secures up to $25M revolving credit facility, draws $4.75M at close
Filed August 21, 2026 · Period ending August 20, 2026 · ~1 min read
Key Changes
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Wholly owned subsidiary entered up to $25M revolving credit facility with Gemino Healthcare Finance, drew $4.75M at closing for working capital and general corporate purposes, matures August 2029.
Item 1.01 — Entry into a Material Definitive Agreement verify on EDGAR → -
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Facility bears interest at SOFR+3.95% (2.00% SOFR floor), payable monthly; default rate adds 5.00 percentage points.
Item 1.01 — Entry into a Material Definitive Agreement verify on EDGAR → -
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Early termination penalties range from 3% of commitment in year one to 1% in year three; minimum use fee applies if balance falls below $5M.
Item 1.01 — Entry into a Material Definitive Agreement verify on EDGAR → -
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Operational covenant requires Maximum Loan Turn Days ≤35 days on rolling three-month basis, measured quarterly starting Q4 2026.
Item 1.01 — Entry into a Material Definitive Agreement verify on EDGAR → -
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Filing also reports creation of direct financial obligation under Item 2.03 by cross-reference to Item 1.01.
Item 2.03 — Creation of a Direct Financial Obligation verify on EDGAR →
Summary
Starling Oncology's wholly owned subsidiary secured a up to $25 million revolving credit facility with Gemino Healthcare Finance, drawing $4.75 million at closing. The three-year facility provides working capital flexibility at SOFR+3.95% interest (with a 2% floor), reset daily and payable monthly. The initial draw represents 19% of available capacity, leaving $20.25 million undrawn for future needs.
The facility includes structural features common to asset-based lending: monthly collateral monitoring and unused line fees, plus a minimum use fee if balances drop below $5 million. Early termination carries declining penalties (3% in year one, 2% in year two, 1% in year three), incentivizing the company to maintain the facility through its August 2029 maturity.
The operational covenant—Maximum Loan Turn Days capped at 35 days on a rolling three-month basis—ties to accounts receivable efficiency, a key metric for healthcare companies managing payer collections. For retail holders, this is a straightforward liquidity event: the company added medium-term borrowing capacity and tapped a portion at closing. The covenant and fee structure are standard for this type of facility. Watch quarterly filings starting Q4 2026 for compliance with the turn-days covenant and any changes in facility utilization.
Section-by-Section Diff
Event · Item 2.03 — Creation of a Direct Financial Obligation
Item 2.03 — Creation of a Direct Financial Obligation filed; see Key Changes for terms.
Added in current filing · verify on EDGAR →
Item 2.03 Creation of a Direct Financial Obligation or an Obligation Under an Off-Balance Sheet Arrangement of a Registrant. The information contained in Item 1.01 of this Current Report on Form 8-K is incorporated into this Item 2.03 by reference.
The 8-K includes a labeled Item 2.03 section. Its body incorporates the primary Item (typically 1.01) by reference rather than restating terms — do not treat that thinness as 'Item 2.03 absent.' The company is signaling creation of a direct financial obligation alongside the agreement disclosure; keep Item 2.03 visible in the report.
Event · Item 1.01 — Entry into a Material Definitive Agreement
Starling Oncology subsidiary secured a up to $25M revolving credit facility with initial $4.75M draw at SOFR+3.95% interest, maturing Aug 2029.
Added in current filing · verify on EDGAR →
On August 20, 2026, Starling Oncology Management, Limited Liability Company, a wholly owned subsidiary of Starling Oncology, Inc. (“SOM, LLC”), entered into a Credit Agreement (the “Revolving Loan Agreement”) among SOM, LLC, such other persons joined thereto as a borrower from time to time, and Gemino Healthcare Finance, LLC d/b/a SLR Healthcare ABL, as lender. The Revolving Loan Agreement provides access to a revolving line of credit facility in the aggregate principal amount of up to $25 million (the “Revolving Loan Commitment”).
The company's wholly owned subsidiary entered into a new revolving credit facility providing up to $25 million in borrowing capacity. The facility is intended to provide additional financial flexibility and may be drawn upon from time to time as needed for working capital and general corporate purposes.
Added in current filing · verify on EDGAR →
As of August 21, 2026 (the “Closing Date”) there was $4,750,000 million outstanding under the Revolving Loan Agreement. Proceeds from the credit facility shall be used for working capital and general corporate purposes. The facility matures on August 20, 2029 (the “Maturity Date”).
The company drew $4.75 million at closing, representing 19% of the available facility. The three-year maturity provides medium-term financing flexibility. Proceeds are designated for working capital and general corporate purposes.
Added in current filing · verify on EDGAR →
a covenant requiring SOM, LLC’s Maximum Loan Turn Days (as defined in the Revolving Loan Agreement) to be no more than thirty five (35) days on a rolling three-month basis on the last business day of each fiscal quarter commencing with the fiscal quarter ending December 31, 2026 and continuing each fiscal quarter thereafter.
The facility includes a financial covenant requiring the subsidiary to maintain Maximum Loan Turn Days at or below 35 days on a rolling three-month basis, measured quarterly starting Q4 2026. This metric likely relates to accounts receivable collection efficiency, a key operational measure for healthcare companies.
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Figures/quotes linked to EDGAR · Narrative written by AI · Aug 24, 2026 · How we verify