The subscription period in Veg of Lund’s rights issue starts today

Today, on 15 August 2023, the subscription period begins in Veg of Lund AB’s (publ) (“Veg of Lund” or “the Company”) rights issue of units consisting of shares, which was announced on 4 August 2023 (the “Rights Issue”). The subscription period runs up to and including 29 August 2023 Note, however, that nominees may have a final response date for subscription in the Rights Issue that falls before 29 August 2023. The Rights Issue will, upon full subscription, provide Veg of Lund with approximately MSEK 23.7, before issue costs. The issue proceeds from the Rights Issue are primarily intended to be used for continued international expansion, financing other operational costs and repayment of loans.

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, AUSTRALIA, HONG KONG, JAPAN, CANADA, NEW ZEALAND, SWITZERLAND, SINGAPORE, SOUTH AFRICA, SOUTH KOREA, RUSSIA, BELARUS OR ANY OTHER JURISDICTION WHERE THE DISTRIBUTION OF THIS PRESS RELEASE WOULD BE UNLAWFUL OR WOULD REQUIRE OTHER MEASURES THAN SUCH MEASURES WHICH FOLLOWS FROM SWEDISH REGULATIONS. SEE THE “IMPORTANT INFORMATION” SECTION AT THE END OF THIS PRESS RELEASE.

Summary of the Rights Issue

• The Rights Issue will, upon full subscription, provide Veg of Lund with approximately MSEK 23.7, before issue costs.
• The Rights Issue is covered to approximately 20.2 percent by subscription commitments and approximately 54.8 percent by underwriting commitments. Thus, the Rights Issue is secured to approximately 75 percent.
• All existing shareholders receive one (1) unit right per each share held on the record date on 11 August 2023, and five (5) unit rights give the right to subscribe for one (1) unit consisting of four (4) shares.
• The subscription price is SEK 4.6 per unit and thus SEK 1.15 per share.
• The Rights Issue entails an issue of a maximum of 5,159,064 units and thus a maximum of 20,636,256 shares.
• The subscription period for the Rights Issue runs from and including 15 August 2023 up to and including 29 August 2023. Unit rights that are not exercised during the subscription period become invalid and thereby lose their value.

No prospectus will be registered with the Swedish Financial Supervisory Authority (Sw: Finansinspektionen) and no information memorandum will be published in connection with the Rights Issue. Conditions and instructions are available on the Company’s website www.dugdrinks.com.

Schedule for the Rights Issue, all dates occur within 2023

Advisors
EK Equity AB acts as financial advisor and Fredersen Advokatbyrå AB acts as legal advisor in connection with the Rights Issue. Hagberg & Aneborn Fondkommission is the issuing agent in the Rights Issue.

For more information, please contact:

Veg of Lund AB (publ)

Fredrik Carling, CEO

Telephone: +46 (0) 703 12 19 42

E-mail: fredrik.carling@vegoflund.se

www.dugdrinks.com

About Veg of Lund

Veg of Lund AB (publ) develops, markets and sells plant-based foods that meet consumer demands for taste and sustainability. Veg of Lund has its roots in research at Lund University and the company’s business concept is to use its knowledge, patented methods and innovative solutions to develop and sell tasty, climate-smart and locally produced products based on potatoes. Veg of Lund offers alternatives to dairy products (milk drinks) and snacks (smoothies) and also develops meat alternatives. The company’s products are sold under the DUG brand to consumers, restaurants and food companies in Sweden, Switzerland, Denmark, England and Ireland. The company has the ambition to expand mainly in Europe and Asia. The share is listed on Nasdaq First North and trades under the name VOLAB. Read more at ir.vegoflund.se. Mangold Fondkommission AB is the company’s Certified Adviser and can be contacted by phone: +46 8 5030 15 50 or e-mail: ca@mangold.se.

Important information

The publication, announcement or distribution of this press release may, in certain jurisdictions, be subject to legal restrictions and persons in the jurisdictions where this press release has been published or distributed should inform themselves about and comply with such legal restrictions. The recipient of this press release is responsible for using this press release and the information contained herein in accordance with the applicable rules in each jurisdiction. No action has been taken and no action will be taken to permit an offer to the public in jurisdictions other than Sweden.

Any investment decision in connection with the Rights Issue shall be made based on all publicly available information relating to the Company. The information in this press release is published only as background information and does not claim to be complete. Accordingly, an investor should not rely solely on the information in this press release or its accuracy or completeness.

This press release may not be announced, published, or distributed, directly or indirectly, in or into the United States, Australia, Canada, Hong Kong, Japan, New Zealand, Switzerland, Singapore, South Africa, South Korea, Russia, Belarus or in any other jurisdiction where the distribution of this press release would be unlawful. Nor does this press release constitute an offer to sell new units, shares, unit rights, BTUs or other securities to any person in a jurisdiction where it would not be permitted to make such an offer to such a person or where such action would require other prospectus, registration or other measures other than under Swedish law. The application form and other documents related to the Rights Issue may not be distributed in or to any country where such distribution or the Rights Issue requires measures as stated in the previous sentence or where they would be contrary to the rules of such country. Actions contrary to this instruction may constitute a violation of applicable securities laws.

None of the units, shares, unit rights, BTUs or other securities have been or will be registered under the United States Securities Act of 1933, as amended (the "Securities Act") or the securities laws of any state or other jurisdiction in the United States and may not be offered, subscribed for, exercised, pledged, sold, resold, allotted, delivered or transferred, resold, assigned, delivered or otherwise transferred, directly or indirectly, in or into the United States except pursuant to an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and in compliance with the securities laws of any state or other jurisdiction of the United States.

This press release may contain some forward-looking statements that reflects the Company’s current view of future events and financial and operational development.  Words such as “intend”, “consider” “expect”, “may”, “plan”, “believe”, “estimate” and other expressions that imply indications or predictions of future developments or trends, and that are not based on historical facts, constitute forward-looking statements. By its nature, forward-looking statements involves known and unknown risks and uncertainties because it is dependent on future events and circumstances. Forward-looking statements is not a guarantee of future results or development and actual outcomes may differ materially from those expressed in forward-looking statements. Neither the Company nor anyone else undertakes to review, update, confirm or publicly announce any revisions to any forward-looking statements to reflect events that occur or circumstances that arise in relation to the content of this press release, unless required by law or the Nasdaq First North regulations for issuers.