Alvotech completed a $108 million placement of senior unsecured convertible bonds due 2030, with settlement scheduled for December 22, 2025. The bonds were priced and allocated on December 16, 2025, and the company announced the successful placement the following day. The offering is part of a broader capital raise that began with a $100 million launch and an option to increase the total to $125 million, of which $108 million was ultimately placed.
The proceeds are earmarked for continued investment in Alvotech’s biosimilar pipeline and for scaling its vertically integrated manufacturing facility in Reykjavik, Iceland. Management highlighted that the company plans to spend roughly $250 million on research and development in 2026, a level that supports the launch of four new biosimilar products worldwide that year. The financing also underpins the company’s strategy to transition from a development‑heavy model to a commercially robust enterprise, positioning it to capture growing demand for Humira, Stelara, and other approved biosimilars.
Alvotech’s 2026 guidance reflects the confidence that the new capital will sustain growth. The company projects revenue between $650 million and $700 million and adjusted EBITDA of $180 million to $220 million, up from the prior year’s figures. The convertible bonds provide a lower‑cost financing alternative to traditional debt, allowing Alvotech to preserve cash while maintaining flexibility to convert the debt into equity if market conditions become favorable.
CEO Robert Wessman said the financing “demonstrates strong investor confidence in Alvotech’s business model and integrated manufacturing platform.” He added that the capital raise will “enable the company to accelerate its pipeline, expand manufacturing capacity, and support global launches in 2026.” Wessman’s comments underscore the company’s intent to leverage the new funds to solidify its position in the competitive biosimilar market.
Alvotech continues to navigate regulatory challenges, including recent complete response letters from the FDA for some biosimilar candidates and ongoing facility compliance work. The company has secured partnerships with Teva Pharmaceuticals and STADA to broaden commercial reach, and it recently settled a licensing agreement with Regeneron for the U.S. launch of its Eylea biosimilar, AVT06, slated for Q4 2026. These developments, combined with the new financing, reinforce Alvotech’s trajectory toward sustained growth and market expansion.
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