Ocugen Inc. (NASDAQ: OCGN) completed a private offering of $130 million in 6.75% convertible senior notes due 2034, the biotechnology company announced. The offering included the full exercise of a $15 million over-allotment option by the initial purchaser.

The notes were sold at 90% of their principal amount to qualified institutional buyers under Rule 144A of the Securities Act of 1933. After deducting the initial purchaser's discount and estimated offering expenses, Ocugen expects to receive approximately $112.6 million in net proceeds.

The company used approximately $32.7 million of the proceeds to fully repay outstanding principal and accrued interest on a loan with affiliates of Avenue Capital Group, along with related prepayment fees and expenses. Ocugen plans to use the remaining proceeds for general corporate purposes.

The company develops gene therapies for blindness diseases and currently has programs addressing inherited retinal diseases including retinitis pigmentosa, Stargardt disease, and geographic atrophy. Ocugen's approach uses modifier gene therapy technology that targets multiple gene networks rather than single genes.

Chief Executive Officer Dr. Shankar Musunuri stated the financing extends the company's anticipated cash runway into 2028 and positions it to advance three late-stage programs with a goal of filing three biologics license applications by 2028.

The information was disclosed in a company press release statement.