Genovis will carry out new share issue to expand marketing and sales channels

On February 6, 2008, Genovis’ board resolved to implement a new share issue with preference for existing shareholders. Four (4) existing shares, regardless of share class, will qualify for subscription of one (1) new class B share. The proposed issue price is SEK seven (7), hence at full subscription the company would raise about SEK 15,000,000 before issuing expenses. The new share issue must first be approved by a general meeting of shareholders. An extraordinary general meeting will be called on Tuesday, February 26, 2008. The new share issue has a guarantee commitment.

Through the investment in an offensive marketing strategy the Genovis Board of Directors anticipates a steady increase in sales. The board foresees that Genovis will reach break-even and generate positive cash-flow during the second half of 2008. The proceeds of the share issue will be used by Genovis to build sales channels in Europe, North America and key Asian markets, as well as to finance product launches planned for 2008. Genovis has launched 12 new products since Q4 2007, and will launch 4 new products during the current year.

New share issue
February 26, 2008 Extraordinary general meeting approves or denies the board’s proposal on the new share issue.March 7, 2008.

March 7, 2008 Last trading day for the Genovis share that includes the right to participate in the new share issue

March 12, 2008 Record day for participation in the new share issue, i.e., shareholders listed in the Genovis share register on this day receive subscription rights for participation in the new share issue.

March 14-April 7, 2008 Subscription period. Subscription with preemptive rights occurs through cash payment during the subscription period. Notification of interest in subscribing can be done during the entire subscription period.

March 14–April 7, 2008 Rights trading.