IRLAB Therapeutics has raised SEK 138.6 million in a directed share issue to top tier investors in the US and Sweden
NOT FOR DISTRIBUTION OR PUBLIC RELEASE, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, CANADA, AUSTRALIA, JAPAN OR ANY OTHER JURISDICTION IN WHICH SUCH MEASURES WOULD BE IN VIOLATION OF APPLICABLE REGULATIONS. THIS PRESS RELEASE DOES NOT CONSTITUTE AN OFFER, OR A SOLICITATION OF ANY OFFER, TO BUY OR SUBSCRIBE FOR ANY SECURITIES IN IRLAB THERAPEUTICS IN ANY JURISDICTION.
The Board of Directors of IRLAB Therapeutics AB (publ) has resolved, on the basis of the authorisation granted by the Annual General Meeting on 16 May 2018, to carry out a directed share issue corresponding to SEK 138.6 million before transaction costs to investors in the US and Sweden. The purpose of the issue is to broaden the company’s shareholder base and to finance, in the long term, the company’s continued clinical drug development and discovery projects. The share issue is directed to US based New Leaf Venture Partners, Sweden’s national pension funds AP2, AP3 and AP4, Handelsbanken Fonder AB, Thomas Olausson, Sven Sandberg and Alfred Berg Kapitalförvaltning AB.
In total 1,100,000 ordinary shares of series A are issued at a subscription price of SEK 126 per share. The price represents a discount of 4.9 per cent compared to the volume weighted average price during the last 30 trading days.
“We are proud to have attracted a top tier US health care investor, three Swedish pension funds and highly renowned Swedish investors, all with deep knowledge of the pharmaceutical sector. It highlights the potential in our research platform and in our clinical programs. This is a milestone for IRLAB and provides even better conditions for us to continue to develop safe and effective treatments for unmet needs in Parkinson’s disease and other disorders of the brain”, comments Nicholas Waters, CEO of IRLAB Therapeutics.
Background and motives
The objectives of the share issue are to diversify the shareholder base in the company with renowned and sector specialised institutional and international investors, and, in a timely and cost-efficient manner, raise capital to fund the continued development of the company’s project portfolio.
The share issue
The Board of Directors has, based on the authorization granted by the Annual General Meeting on 16 May 2018, resolved on a directed share issue of 1,100,000 ordinary shares of series A. The subscription price in the issue is SEK 126 per share, which, in total, will raise SEK 138.6 million to the company before transaction costs. The subscription price for the issue has been determined through a so-called private placement procedure and represents a discount of 4.9 per cent compared to the volume weighted average share price during the last 30 trading days. The directed issue is fully subscribed by a number of selected institutional and international investors in accordance with separate agreements.
The reasons for deviating from the shareholders’ preferential rights are primarily to diversify the shareholder base and, in a timely and cost-efficient manner, raise capital to fund the continued development of the company’s project portfolio.
Through the issue, the share capital will increase with SEK 110,000 to SEK 809,993.9, which entails a dilution effect of approximately 13.6 per cent of both the number of shares and votes.
IRLAB Therapeutics has, in connection with the transaction, engaged Advokatfirman Vinge as legal advisors and Erik Penser as settlement agent. Zonda Partners and MAQS Advokatbyrå have been engaged as advisors to the Board of Directors.
For further information
Nicholas Waters, CEO
Phone: +46 730 75 77 01
Viktor Siewertz, CFO
Phone: +46 727 10 70 70
This information is information that IRLAB Therapeutics AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 20:35 CET on May 23, 2017.
FNCA Sweden AB is the company's Certified Adviser on Nasdaq First North Premier.
IRLAB is a research and development company, listed on Nasdaq First North Premier, focused on development of novel therapies for the treatment of neurodegenerative diseases, in particular Parkinson’s disease and dementia.
IRLAB has two clinical candidate drugs, IRL752 and IRL790, focused on medical needs in Parkinson’s disease. IRLAB also has additional programs in pre-clinical stages.
IRLAB’s research is aimed at discovery and development of new candidate drugs addressing unmet medical need in diseases of the central nervous system, using the unique and proprietary integrative screening process, ISP.
IRLAB is based in Gothenburg, Sweden. The operations are mainly carried out through the subsidiary Integrative Research Laboratories Sweden AB.
For more information, please visit www.irlab.se.