Mesoblast (MESO) said it has drawn $50 million from a five-year non-dilutive credit facility provided by shareholder and director Gregory George, strengthening its balance sheet and refinancing higher-cost debt, the company said late Wednesday.

The facility carries a fixed 8% annual interest rate and a five-year interest-only term, is secured solely by Temcell royalties, and can be repaid at any time without prepayment penalties or exit fees.

Proceeds, together with the company's cash balance, will support growth initiatives while refinancing its NovaQuest debt and eliminating near-term debt obligations, the company said.