Moderna Secures $1.5B Credit Facility As It Seeks To Pivot Away From Vaccines

• Moderna said that the five-year term loan facility will strengthen its balance sheet and provide increased flexibility going forward. 
• The company continues to target cash breakeven by 2028 and to reduce its expected cash costs for 2026 and 2027.
• It will build a vaccine franchise with as many as six approved products by 2028 and invest cash generated to diversify its portfolio.
   

Vaccine maker Moderna (MRNA) said on Thursday that it has secured a $1.5 billion, five-year credit facility from Ares Management Credit Funds as it seeks to pivot into oncology and rare-disease therapeutics.

The company is now eyeing 10% revenue growth in 2026. It said that the five-year term loan facility will strengthen its balance sheet and provide increased flexibility going forward.

The initial tranche of $600 million, of three tranches, will be drawn upfront, the company said, followed by the option to avail $400 million through November 2027. The company can also draw another $500 million through November 2028 under the credit facility contingent on the achievement of key regulatory milestones.

Moderna’s Near-Term Goals

The company continues to target cash breakeven by 2028 and reduce its 2026 and 2027 expected cash costs with cost management and by prioritizing certain research and development efforts.

Moderna rose to fame during the COVID-19 pandemic with its mRNA-based vaccine Spikevax. In the third quarter of 2025, the company reported total revenue of $1 billion, down from $1.9 billion in the corresponding period of 2024, mainly due to lower COVID-19 vaccine sales. However, Covid vaccine sales accounted for a whopping 97% of the company’s overall revenue in the three months through the end of September.

"Over the next three years, we expect to build a large seasonal vaccine franchise for at-risk populations and invest the cash generated into oncology and rare disease therapeutics," CEO Stéphane Bancel said on Thursday.

The company will build a vaccine franchise with as many as six approved products by 2028 and invest cash generated from its portfolio, including Spikevax, mRESVIA and mNEXSPIKE, as well as other yet-to-launch vaccines, including a flu-covid combination vaccine, into diversifying its portfolio.

Investment in late-stage oncology and rare disease programs will set the company up for additional growth in 2027 and 2028, the company said.

Moderna’s pipeline currently consists of two oncology therapies and two rare disease therapeutics that are under development. It discontinued four programs, including those for congenital Cytomegalovirus, herpes simplex virus, Varicella-Zoster virus and Glycogen Storage Disease Type 1a (GSD1a) as part of its efforts to prioritize some research investments.

How Did Stocktwits Users React?

On Stocktwits, retail sentiment around MRNA stock remained in the ‘bearish’ territory, while message volume dropped from ‘low’ to ‘extremely low’.

MRNA stock is down by 42% this year and by 35% over the past 12 months. 

Also See: PACS Group Stock Soars Premarket On Completion Of Audit Committee Probe, Upbeat Full-Year Guidance

For updates and corrections, email newsroom[at]stocktwits[dot]com

Share

·

Add us on