EQL Pharma AB successfully issues senior secured bonds

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EQL Pharma AB (publ) (the “Company” or “EQL”) has successfully issued senior secured bonds of SEK 350m under a framework of up to SEK 700m and a tenor of three years (the “Bonds”). The Bonds have a floating interest of 3M STIBOR plus 400 basis points per annum. EQL intends to list the Bonds on the corporate bonds list of Nasdaq Stockholm within 12 months and Nasdaq Transfer Market within 60 days, with the ambition to have the Bonds admitted to trading within 30 days. The net proceeds from the issuance will be used to finance the acquisition of a portfolio with original pharmaceuticals, repayment of existing financial indebtedness and for general corporate purposes.

CEO Axel Schörling:

“The successful issuance of our first bond is a significant milestone for EQL Pharma. The robustness of our business model and reputation in the capital markets is highlighted by the strong interest from high-quality Nordic and international institutional investors, resulting in a significantly oversubscribed book. The bond issue allows us to finalise the previously announced acquisition of the product portfolio from Medilink. This acquisition will not only drive geographic expansion but also unlock strong synergistic potential by accessing new pan-European distribution channels, which can be deployed for our existing portfolio. Additionally, the acquisition will be highly accretive to EQL's profitability and represent an important step towards expanding our EBITDA margin, while also inherently giving rise to cost optimisation.

This milestone further strengthens my confidence and belief in EQL's strategy and future utilisation of our cost-efficient platform for driving profit growth in niche pharmaceuticals. I am very excited about the opportunities that lie ahead.”

ABG Sundal Collier AB has acted as sole bookrunner in connection with the issuance of the Bonds. Advokatfirman Vinge has acted as legal advisor.
 

This disclosure contains information that EQL Pharma is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 17-01-2025 15:45 CET.

For more information contact:

Axel Schörling,

CEO & President EQL Pharma AB (publ)
Phone: +46 (0) 76 317 90 60
E-mail: axel.schorling@eqlpharma.com
Web: www.eqlpharma.com

EQL Pharma AB (publ) in short

EQL Pharma AB specializes in developing and selling generics, i.e., drugs that are medically equivalent to original drugs. The company currently has more than 40 niche generics (i.e., generics with limited competition apart from the original drug) launched in the Nordic markets. In addition to these, there is a significant pipeline of additional niche generics for launch in 2025 and beyond. The business is currently focused entirely on prescription drugs, including hospital products, in the Nordics and selected European markets. EQL Pharma AB has its operations in Lund and is listed on Nasdaq Stockholm. EQL Pharma AB carries out extensive development work in collaboration with leading contract manufacturers and major pharmaceutical companies in the EU and Asia, among others.