ExpreS2ion Biotech: Announces rights issue to predominantly fund breast cancer vaccine candidate
Expres2ion Biotech intends to carry out a rights issue with preferential rights for existing shareholders, amounting to approximately SEK 60 million, subject to subsequent approval by the Annual General Meeting on 5 June 2024.
The rights issue will further include one warrant of series TO 10 and one warrant of series TO 11, which means that a maximum of 59,972,451 shares, 59,972,451 warrants of series TO 10, and 59,972,451 warrants of series TO 11 can be issued. The warrants grant the holders to subscribe for one new share. The price will be set at 70% of the volume-weighted average price of the company's share in certain periods.
Compared to the current share count of 51,404,958, this means a potential dilution effect by the first rights issue stand-alone of around 53.8%.
The subscription price has been set to SEK 1.00 per unit, corresponding to SEK 1.00 per share. If fully subscribed, the rights issue will give ExpreS2ion initial proceeds of approximately SEK 60 million before the deduction of transaction costs.
Each holder of shares before 7 June will receive seven unit rights. Six unit rights entitle them to a subscription of one unit.
The company's Board of Directors and management have expressed their intention to subscribe for a total of approximately SEK 0.3 million. In addition, external investors have provided guarantee commitments for a total of approximately SEK 29.7 million. This means that around 50% of the right issue is secured.
The proceeds will predominantly be used for further pipeline progress with around 75% of the proceeds used for clinical phase initiation and progression of ES2B-C001 (breast cancer candidate) and early preclinical development of the CMV vaccine project carried out in collaboration with Evaxion Biotech.
The prospectus is expected to be published on and around 5 June, and the trading in unit rights will run from 12 June 2024 until 24 June 2024. The subscription period runs from 12 June 2024 until 27 June 2024.
ExpreS2ion will report Q1 2024 results on 16 May 2024. In that connection, we host a conference call with the company, where the rights issue will be in focus.
Sign up for the online presentation here: https://www.inderes.dk/videos/expres2ion-biotechnologies-presentation-of-q1-report-2024
Disclaimer: HC Andersen Capital receives payment from ExpreS2ion Biotech for a Digital IR/Corporate Visibility subscription agreement. Michael Friis 09:14, 3 May 2024.
ExpreS2ion Biotech Holding
ExpreS2ion Biotech Holding är ett forsknings- och utvecklingsbaserat bolag som har en patenterad plattform inom bioteknisk proteinproduktion. Bolaget har sin egen utvecklingspipeline av vaccinkandidater inom COVID-19, bröstcancer, influensa och malaria. Dessutom har bolaget intäkter från försäljning av tillverkningstjänster och plattformslicenser. Bolaget startade 2010 och har sin verksamhet i DTU Forskerpark i Hørsholm.
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