Moberg Pharma receives bondholders’ approval for increased flexibility in acquisition financing

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STOCKHOLM, November 28th, 2016 - Moberg Pharma AB (OMX: MOB) has obtained a waiver from its bondholders to increase flexibility in acquisition financing. The waiver provides better possibility to optimize financing of acquisitions of profitable assets.

Moberg Pharma’s outstanding senior unsecured floating rate bonds are due 2021, and encompass maximum SEK 600 million with a current outstanding amount of SEK 385 million (the “Bonds”). On November 8th, 2016 Moberg Pharma summoned a bondholders’ meeting, by way of a written procedure, to obtain a waiver from the holders of the Bonds (the “Waiver Solicitation and the “Waiver”). The purpose of the Waiver Solicitation is to enable the company to fully utilize its outstanding bond facility for accretive acquisition opportunities currently under evaluation. The focus remains on acquisitions of profitable brands which can be easily integrated in Moberg Pharma’s existing infrastructure.

The time for replies expired on November 25th, 2016 and a sufficient number of votes have been obtained to form a quorum. The Waiver Solicitation has obtained a majority exceeding 99 percent (representing approximately 74 percent of the total number of outstanding Bonds) and the Waiver has thereby been granted.

The option to utilize the Waiver, which Waiver enables the company to at one occasion in conjunction with an acquisition increase its ratio of net debt to EBITDA to 4.5, becomes effective immediately after November 25th, 2016 and is valid up to the end of 2017. Upon a utilization of the Waiver, Moberg Pharma will pay a consent fee to the holders of the Bonds of 0.50 percent of the outstanding nominal amount of the Bonds at the time of the Waiver-utilization.

“We appreciate the increased flexibility which our bondholders have granted the company and hence enhanced our possibilities to optimally finance accretive acquisitions”, commented Peter Wolpert, Moberg Pharma’s CEO.

For further information regarding the Waiver, please be referred to the company’s press release from November 8th, 2016.

Moberg Pharma appointed Carnegie Investment Bank as financial adviser and Gernandt & Danielsson Advokatbyrå as legal adviser in conjunction with the Waiver Solicitation.

About this information
This information is information that Moberg Pharma AB 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 08:30 a.m. CET on November 28th, 2016. 

For additional information, please contact:
Peter Wolpert, CEO, Phone: +46 707 35 71 35, E-mail: peter.wolpert@mobergpharma.se 
Anna Ljung, CFO, Phone: +46 707 66 60 30, E-mail: anna.ljung@mobergpharma.se

About Moberg Pharma, www.mobergpharma.com
Moberg Pharma AB (publ) is a rapidly growing Swedish pharmaceutical company with OTC sales operations in the U.S. and a distributor network in more than 40 countries. The company’s portfolio includes the OTC brands Kerasal®, Kerasal Nail®, Balmex®, NewSkin®, Domeboro®, Fiber Choice® and PediaCare®. Kerasal Nail® (Emtrix® or Nalox™ in certain markets) is a leading OTC treatment of nail disorders in the U.S., Canada as well as in several markets in EU and Southeast Asia. The company is growing organically as well as through acquisitions. Internal development programs focuses on innovative drug delivery of proven compounds and include two clinical stage assets, MOB-015 (onychomycosis) and BUPI (pain management in oral mucositis). Moberg Pharma has offices in Stockholm and New Jersey and the company’s shares are listed on the Small Cap list of the NASDAQ OMX Nordic Exchange Stockholm (MOB.ST).

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Quotes

We appreciate the increased flexibility which our bondholders have granted the company and hence enhanced our possibilities to optimally finance accretive acquisitions
Peter Wolpert, Moberg Pharma’s CEO