Conclusion of private placement
Oslo, Norway (03 December 2019) — NattoPharma continues to grow in the vitamin K2 industry and to secure working capital for these activities, the board of NattoPharma has discussed with a few select key shareholders to raise funding through a private placement. Pro AS, owned by board member Sjur Thorsheim, and Synergia Life Sciences Pvt. Ltd, a long-time partner of NattoPharma, have decided to increase their shareholding in the company.
Through discussions with the board, the negotiated share price for the transaction is NOK 11,50. After the completion of the private placement of 1 235 000 new shares, Pro As will hold 2 701 310 shares (435 000 new shares) representing 13,91% of the outstanding shares in the company, and Synergia will hold 1 360 000 shares (800 000 new shares) representing 7,00% of the outstanding shares. The net proceeds from the private placement is NOK 14 202 500. The board will use the existing board authorization granted by the Annual General Meeting on May 29th, 2019.
Further, Pro AS has agreed to extend the maturity of the NOK 6 million loan given to NattoPharma in January 2019 with one year, with other terms and conditions staying the same. The new maturity date is January 7th, 2021.
The board has considered the Oslo Stock Exchange’s guidelines on the rule of equal treatment of shareholders. The board believes that the decision to set aside the existing shareholders' preferential rights to the new shares is the most favorable decision for all shareholders. The company will secure immediate access to capital to strengthen working capital in a period of growth in revenue and increased activity. The negotiated share price is above the average share price in the market for the last months. Also, NattoPharma has over a period of time investigated other avenues of financing, including debt, and concluded that the terms in these arrangements are not favorable and therefore not in the best interest of the other shareholders in the long term.
The new shares will be registered in the Company Register as soon as the Private Placement has been completed, which is expected to be within December 31st, 2019. The company’s Articles of Association will be amended to reflect the new number of shares post completion of the private placement.
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For more information, please contact:
Kjetil Ramsøy
CEO NattoPharma
Email : Kjetil.ramsoy@nattopharma.com
This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.