Directed Share Issue in SCN to Settle Claim from Loan

A consortium of investors have offered Scandinavian Clinical Nutrition AB (SCN) an interest free loan, payable with shares in SCN. The Board of SCN has accepted the offer, and therefore decided to issue a maximum of 3,200,000 shares in SCN at a price of SEK 1 per share to the consortium, by virtue of authorization from the 2009 Annual General Meeting.

In accordance with SCN’s previously communicated strategy aiming to strengthen the company’s solidity and financial situation, the Board of SCN has accepted an offer from a consortium of investors regarding an interest free loan. By virtue of and subject to registration of the authorization from the 2009 Annual General Meeting, the Board of SCN therefore today decided to carry out a directed share issue to the consortium at a price of SEK 1 per share. Through the share issue, the share capital of SCN will increase with a maximum of SEK 320,000 to a maximum of SEK 2,100,328.40, and the number of shares with a maximum of 3,200,000 to a maximum of 21,003,284 shares. In connection with the share issue, a prospectus will be submitted to the Swedish Financial Supervisory Authority for approval, since new shares will become subject to trade on a regulated market. Given the current market conditions and the company’s situation, the Board’s assessment is that a directed share issue is the best measure to raise new capital to the company quickly and at market value.