EXHIBIT 10.21
[IMPERIAL BANK LETTERHEAD]
October 15, 1997
ONYX PHARMACEUTICALS, INC.
0000 Xxxxxxxx Xxxxx, Xxxx. A
Richmond, CA 94806
Attention: Xxxxxxxx Xxxxxx, CEO
Xxxxxxx Xxxxxxxxxxx, Director, Finance
Re: Imperial Bank Loan No. 00700001230
Gentlemen:
With reference to the Credit Terms and Conditions dated March 10, 1997 with
attached Addendum to the Credit Terms and Conditions also dated March 10,
1997 between Imperial Bank ("Bank") and ONYX Pharmaceuticals, Inc.
("Borrower") in connection with the above-referenced loan ("Loan") the Bank
and Borrower hereby modify the following numbered terms and conditions of the
Addendum to the Credit Terms and Conditions (hereinafter referred to as the
"Addendum"):
1. Paragraph 2 of the Addendum is deleted in its entirety and is replaced
with the following:
"2. MATURITY
January 15, 2001."
2. Paragraph 3 of the Addendum is deleted in its entirety and is replaced
with the following:
"3. TERMS
Line shall be available for draws through January 15, 1998. Interest
payable monthly through January 15, 1998, followed by equal monthly
payments of principal plus interest.
3. Paragraph 5 of the Addendum is deleted in its entirety and is replaced
with the following:
"5. BORROWING FORMULA
Borrower shall be allowed up to $2,000,000 in non-formula advances. For
amounts over $2,000,000, advances shall be limited to 100% against the
invoice price of new equipment purchases (less tax and freight) and new
leasehold improvements, and 100%
ONYX Pharmaceuticals, Inc.
October 15, 1997
Page 2 of 2
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against the book value of previously purchased equipment and leaseholds
owned by Borrower without lien to a third party. Advances against
leaseholds shall be limited to a maximum of $2,000,000."
Additional condition:
1. Xxxxxxxx agrees to pay Bank a fee equal to 0.1875% of the difference
between $7,000,000 and the total advances under this commitment as of
January 15, 1998
Except for the above-described modifications, the Agreement shall remain
unaltered and in full force and effect.
Please acknowledge your approval by signing and returning the original of
this letter to me.
Sincerely,
/s/ Xxx Xxxxxxxxx
Xxx Xxxxxxxxx
Assistant Vice President
Emerging Growth Industries
Accepted and agreed to:
ONYX PHARMACEUTICALS, INC.
By: /s/ Xxxxxxx Xxxxxxxxxxx By: /s/ Hollings Renton
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Xxxxxxx Xxxxxxxxxxx Hollings Renton
Title: Director of Finance Title: CEO
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Date: 16 October 1997 Date: 16 October 1997
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