Disc Medicine, Inc. 8-K

What Happened

• On June 25, 2026, Disc Medicine, Inc. entered into a First Amendment to its Loan and Security Agreement with the lender and Hercules Capital, Inc. as administrative and collateral agent.
• Under the Amendment the company drew down $30,000,000 of the Tranche 1‑B Advance and restructured remaining advances: the prior $50,000,000 Tranche 1‑C was split into a $25,000,000 loan available at the company’s option through March 31, 2027 and a $25,000,000 Tranche 1‑D available through April 30, 2027.
• The Amendment also extended the draw periods for later tranches: Tranche 2 to December 15, 2027 and Tranche 3 to June 30, 2028, and amended the minimum cash covenant to set an initial testing date of July 1, 2028. The full Amendment will be filed as an exhibit to Disc Medicine’s Form 10‑Q for the quarter ended June 30, 2026.

Key Details

• $30,000,000 drawn on Tranche 1‑B (immediately increases the company’s debt obligations).
• $50,000,000 previously designated as Tranche 1‑C split into two $25,000,000 portions with availability through 3/31/2027 and 4/30/2027.
• Tranche 2 draw period extended to 12/15/2027; Tranche 3 extended to 6/30/2028.
• Minimum cash covenant testing date moved to July 1, 2028; other amendment terms to be disclosed in the 10‑Q exhibit.

Why It Matters

• The $30M drawdown and extended access to additional tranches provide near‑term liquidity and additional optional funding through 2028, affecting the company’s cash runway and financing flexibility.
• The covenant amendment (testing delayed until July 1, 2028) eases near‑term covenant timing, potentially reducing short‑term covenant pressure.
• Investors should watch the forthcoming 10‑Q and the filed Amendment for full terms (interest, covenants, collateral) to assess the impact on Disc Medicine’s financial obligations and capital structure.