InDex Pharmaceuticals’ rights issue is oversubscribed
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9 February 2021 – The subscription period of the rights issue in InDex Pharmaceuticals Holding AB (publ) (”InDex” or the “Company”) ended on 5 February 2021. The subscription ratio in the rights issue amounted to 152.6 percent. Guarantee commitments made in connection with the rights issue will thus not be utilized. InDex will, through the rights issue, receive approximately SEK 533 million before deduction of costs related to the transaction.
- The subscription ratio in the rights issue amounted to 152.6 percent.
- 99.1 percent of the rights issue was subscribed for by exercise of subscription rights and 0.9 percent of the rights issue was subscribed for without subscription rights.
- No guarantee commitments have been utilized.
- The intention of the rights issue is to fund the important initial induction study in a sequential phase III program for the Company’s lead drug candidate, cobitolimod, including drug manufacturing and in addition, to finance general corporate purposes as well as create financial flexibility.
Comment from Peter Zerhouni, CEO of InDex:
“I would like to thank existing and new shareholders for the strong support in the rights issue, and extend a special welcome to HBM Healthcare Investments and Handelsbanken Funds as new large owners. These are two internationally recognized and successful life sciences specialists that have chosen to invest significant amounts, SEK 63.5 million and SEK 30 million respectively, which not only strengthens the ownership base, but also constitutes a strong validation of the potential of InDex. With the equity financing secured until the next pivotal read-out of clinical data, we look forward to starting the phase III program with cobitolimod in moderate to severe ulcerative colitis, which will form the basis for market approval.”
Through the rights issue, the Company will receive approximately SEK 533 million before deduction of costs related to the transaction, which amount to approximately SEK 45 million. The rights issue consists of 443,906,375 new shares. The subscription price was SEK 1.20 per new share and the subscription period ended on 5 February 2021. Subscription undertakings amounted to approximately SEK 143 million, and undertakings from certain existing shareholders as well as certain investors to acquire and utilise subscription rights amounted to approximately SEK 155 million. 99.1 percent of the rights issue was subscribed for by exercise of subscription rights and 0.9 percent of the rights issue was subscribed for without subscription rights. No guarantee commitments have been utilized.
Through the rights issue, the number of shares in InDex will be increased by 443,906,375 shares, from 88,781,275 shares to 532,687,650 shares. The new shares subscribed for in the rights issue are estimated to be registered with the Swedish Companies Registration Office around 12 February 2021. Allotment of shares subscribed for without subscription rights will be made in accordance with the principles outlined in the prospectus. Around 9 February 2021, a settlement note will be sent to those who have received allotment of shares as confirmation of the allotment of shares subscribed for without subscription rights. No confirmation will be sent to subscribers who received no allotment. Payment for subscribed and allocated shares is to be made in cash in accordance with the instructions on the settlement note sent to the subscriber.
The last day for trading in paid-up subscribed shares (“BTAs”) is 11 February 2021. Thereafter, BTAs will be converted to shares, which is expected to take place around 17 February 2021 without special notification from Euroclear.
In connection with the rights issue InDex has appointed Barclays Bank Ireland PLC and Carnegie Investment Bank AB (publ) as Joint Global Coordinators and Joint Bookrunners. Setterwalls Advokatbyrå acts as legal adviser to the Company and Baker McKenzie acts as legal adviser to Barclays Bank Ireland PLC and Carnegie Investment Bank AB (publ).
For further information, please contact:
Peter Zerhouni, CEO
Telephone: +46 (0) 8 122 038 50
The information was submitted for publication, through the agency of the contact person above, on 9 February 2021 at 10.15 (CET).
InDex Pharmaceuticals in brief
InDex is a pharmaceutical development company focusing on immunological diseases where there is a high unmet medical need for new treatment options. The Company’s lead asset is the drug candidate cobitolimod, which is in late stage clinical development for the treatment of moderate to severe ulcerative colitis – a debilitating, chronic inflammation of the large intestine. InDex has also developed a platform of patent protected discovery stage substances, so called DNA based ImmunoModulatory Sequences (DIMS), with the potential to be used in the treatment of various immunological diseases.
InDex is based in Stockholm, Sweden. The Company’s shares (ticker INDEX) are traded on Nasdaq First North Growth Market. Redeye AB with email address firstname.lastname@example.org and phone number +46 8 121 576 90 is the Company’s Certified Adviser. For more information, please visit www.indexpharma.com.
This announcement is not an offer to sell or a solicitation of any offer to buy any securities issued by InDex Pharmaceuticals Holding AB (the “Company”) in any jurisdiction where such offer or sale would be unlawful.
Copies of this announcement are not being made and may not be distributed or sent into the United States, Australia, Canada, Japan or any other jurisdiction in which such distribution would be unlawful or would require registration or other measures. The securities referred to in this announcement have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”), and accordingly may not be offered or sold in the United States absent registration or an exemption from the registration requirements of the Securities Act and in accordance with applicable U.S. state securities laws. The Company does not intend to register any offering in the United States or to conduct a public offering of securities in the United States.
Any offering of the securities referred to in this announcement will be made by means of a prospectus. This announcement is not a prospectus for the purposes of Regulation (EU) 2017/1129 (together with any applicable implementing measures in any Member State, the “Prospectus Regulation”). Investors should not invest in any securities referred to in this announcement except on the basis of information contained in the aforementioned prospectus.
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