Cantargia is provided with SEK 232 million following completed share issues

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, AUSTRALIA, JAPAN OR CANADA OR IN ANY OTHER JURISDICTION IN WHICH THE DISTRIBUTION OF THIS PRESS RELEASE WOULD BE UNLAWFUL.

The board of directors of Cantargia AB (publ) (“Cantargia” or the “Company”) today announces the outcome of the share issues approved by the extraordinary general meeting on 27 November 2017.

The results of Cantargia’s directed share issue show that all 14,865,000 shares were subscribed for by, among others, the First AP Fund, the Second AP Fund, the Fourth AP Fund, Handelsbanken Fonder and Nordic Cross.

In addition, the outcome of Cantargia’s rights issue shows that 14,453,454 shares, representing approximately 75.1 percent of the shares offered, were subscribed for with subscription rights. Furthermore, applications for subscription without subscription rights amounting to an additional 376,768 shares have been received, corresponding to approximately 2.0 percent of the rights issue. The remaining part of the share issue, corresponding to 4,415,082 shares and 22.9 percent of the share issue, has been allocated to the issue guarantors. The shares subscribed for without subscription rights have been allocated in accordance with the principles set forth in the prospectus relating to the rights issue. Notification regarding such allocation will only be sent to those who have been allocated shares.

“It is very positive that Cantargia now receives a significant capital injection that allows us to expand the clinical development program for CAN04 and also accelerate the development of CANxx. Thereby, we lay the foundation for a number of value creating activities in 2018 and beyond. Through the directed issue, Cantargia is provided with several institutional investors, strengthening the ownership structure of the Company, and I would like to welcome these investors and other new investors. I would also like to thank the existing owners for their continued confidence”, says Göran Forsberg, CEO of Cantargia.

Through the share issues, Cantargia receives issue proceeds amounting to approximately SEK 232 million before issue costs and the Company’s share capital increases by in total SEK 2,728,824.32 to SEK 5,294,864.96. The total number of shares in Cantargia increases by 34,110,304 to 66,185,812. Trading in the new shares subscribed for in the rights issue is expected to commence on Nasdaq First North on or around 4 January 2018.

For further information on the new share issues, refer to Cantargia’s press release 9 November 2017.

For further information, please contact

Göran Forsberg, CEO
Telephone: +46 (0) 46 275 62 60
E-mail: goran.forsberg@cantargia.com

About Cantargia

Cantargia AB (publ), Reg.No. 556791-6019, is a biotech company that is developing antibody-based treatments for life threatening diseases. The original discovery by the research team behind Cantargia was the overexpression of a specific target molecule, interleukin 1 receptor accessory protein “IL1RAP”, in leukemia stem cells, later research has also identified IL1RAP in a large number of other forms of cancer. The lead compound, CAN04 directed against IL1RAP, will be investigated in the CANFOUR phase I/IIa clinical trial in with primary focus on non-small lung cancer and pancreatic cancer. CAN04 has a dual mechanism of action, it blocks IL1RAP function and stimulates the immune system to eradicate tumor cells. Cantargias second project is in discovery phase with the goal to develop an IL1RAP binding antibody optimized for therapy of autoimmunity and inflammatory diseases.

Cantargia is listed on Nasdaq Stockholm First North (ticker: CANTA). Sedermera Fondkommission is the company’s Certified Adviser. More information about Cantargia is available at http://www.cantargia.com.

IMPORTANT INFORMATION

This press release is not an offer to subscribe for shares in Cantargia and investors should not subscribe for or purchase any securities, except on the basis of information provided in the prospectus relating to the rights issue.

This press release may not be made public, released or distributed, directly or indirectly, in or into the United States, Australia, Japan or Canada or in any other jurisdiction in which the distribution of this press release would be unlawful. Further, this press release does not constitute an offer to sell new shares, paid subscribed for shares (“BTA”) or subscription rights to any person in any jurisdiction in which it is unlawful to make such offer to such person or where such action would require additional prospectuses, registration or other measures other than those pursuant to Swedish law. The prospectus, application form and other documents associated with the rights issue may not be distributed in or to any country where such distribution or the rights issue would require such measures set forth in the preceding sentence or be in violation of the regulations of such country.

The new shares, BTAs and subscription rights have not been recommended or approved by any United States federal or state securities commission or regulatory authority. No new shares, BTAs, subscription rights or other securities issued by Cantargia have been or will be registered under the U.S. Securities Act of 1933, as amended, or under the securities legislation in any state of the United States, and may not be offered, exercised or sold in the United States absent registration or an applicable exemption from registration requirements. There is no intention to register any portion of the offering in the United States or to conduct a public offering of securities in the United States.

The Company has not authorized any offer of the securities in the rights issue to the public in any country in the European Economic Area (“EEA”) other than Sweden. In other member states in the EEA, the securities may only be offered to (i) any legal entity which is a qualified investor as defined in the Directive 2003/71/EC (the “Prospectus Directive”); or (ii) any person falling within Article 3(2) of the Prospectus Directive.

In the United Kingdom, this communication is only being distributed to, and is only directed at “qualified investors” (as defined in section 86(7) of the Financial Services and Markets Act 2000) who are (i) investment professionals falling within the meaning of Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”); or (ii) persons falling within Article 49(2)(a) to (d) (“high net worth companies, etc.”) of the Order (all such persons together being referred to as “relevant persons”). In the United Kingdom, any investment or investment activity relating to the rights issue and to which this communication relates is available only to, and will be engaged in only with, relevant persons. Any person who is not a relevant person should not take any action on the basis of this communication and should not act or rely on it or any of its contents.

This press release may contain forward-looking statements which reflect Cantargia’s current view on future events and financial and operational development. Words such as “intend”, “will”, “expect”, “anticipate”, “may”, “plan”, “estimate” and other expressions that imply indications or predictions of future development or trends, constitute forward-looking statements. Forward-looking statements inherently involve both known and unknown risks and uncertainties as they depend on future events and circumstances. Forward-looking statements do not guarantee future results or development and the actual outcome could differ materially from the forward-looking statements. The information, opinions and forward-looking statements included in this press release speak only as of its date and are subject to change without notice.