aXichem announces the result of the exercise of warrants series TO1A

aXichem AB (publ) ("aXichem" or the "Company") today announces the outcome of the exercise of warrants series TO1A, which were issued in connection with the Company's rights issue of units in March 2024. A total of 17,862,853 TO1A were exercised, corresponding to approximately 95 percent of the issued warrants, for subscription of 17,862,853 new shares of class A in aXichem. The subscription price per share was SEK 0.95. During the exercise period, the Company received guarantee commitments from a number of a number of qualified investors in the form of a so-called “top-down guarantee” of SEK 2.0 million, corresponding to approximately 11 percent of warrants series TO1A, which was announced on October 16, 2024. Since the subscription rate of warrants series TO1A amounted to approximately 95 percent, the top-down guarantee is claimed for 946,437 shares, corresponding to approximately SEK 0.9 million and approximately 5 percent of the issued warrants series TO1A. In light of this, the Board intends, with the support of the authorization from the annual general meeting on 19 June 2024, to resolve on a directed share issue of 946,437 shares to the guarantors. A separate press release will be published when the Board has resolved on the directed share issue. aXichem will receive approximately SEK 17.0 million before issue costs from the exercise of warrants series TO1A and the Company will further receive approximately SEK 0.9 million before issue costs from the directed share issue to the guarantors that the Board intends to resolve on. aXichem will thus, through the exercise of warrants series TO1A and through the directed share issue to the guarantors, receive a total of approximately SEK 17.9 million before issue costs, corresponding to a subscription rate of 100 percent of TO1A.

In total, 17,862,853 warrants series TO1A were exercised, corresponding to a subscription rate of approximately 95 percent, for subscription of 17,862,853 new shares of class A. Exercised TO1A has been replaced with interim shares pending registration with the Swedish Companies Registration Office. The interim shares are preliminarily expected to be converted to shares of class A during week 45, 2024. aXichem will receive approximately SEK 17.0 million before issue costs through the exercise of warrants series TO1A and will further receive approximately SEK 0.9 million before issue costs from the directed share issue to the guarantors that the Board intends to resolve on. aXichem will thus, through the exercise of TO1A and the directed share issue to the guarantors, receive a total of approximately SEK 17.9 million before issue costs, corresponding to a subscription rate of 100 percent of warrants series TO1A.

The Board intends to resolve on a directed share issue to the guarantors

The Company has previously communicated that, in the event that the guarantee commitments will be utilized, a supplementary directed share issue to the guarantors will be carried out after the exercise period of warrants series TO1A has ended. The result of the exercise of warrants series TO1A means that the top-down guarantee will be claimed. The guarantee means that the guarantors undertake to subscribe for the number of shares that remain in order for the exercise rate of warrants series TO1A to reach 100 percent of the issued warrants.

In light of the above, the Board of aXichem intends, with the support of the authorization from the annual general meeting on 19 June 2024, to resolve on a directed share issue of 946,437 shares to the guarantors, corresponding to approximately SEK 0.9 million and approximately 5 percent of the issued warrants of series TO1A. The subscription price in the directed share issue will, in accordance with the guarantee commitments and what has previously been communicated, be SEK 0.95 per share, which corresponds to the subscription price per share when exercising warrants series TO1A.

A separate press release will be published when the Board has resolved on the directed share issue.

Number of shares, share capital and dilution

Through the exercise of warrants series TO1A, the number of shares in the Company will increase by 17,862,853 shares, from 40,305,615 shares to 58,168,468 shares, and the share capital will increase by 3,572,570.60 SEK, from SEK 8,061,123 to 11,633,693.60 SEK, corresponding to a dilution of approximately 31 percent.

For more information:

Torsten Helsing, CEO, aXichem AB

Phone: +46 706 863 355, Email: torsten.helsing@axichem.com

Certified adviser for aXichem is Västra Hamnen Corporate Finance AB.

The information was submitted, through the agency of the above contact person, for publication on October 23, 2024, at 09:00 CEST.

About aXichem

aXichem develops, patents and markets natural analogue industrial chemicals, i.e., synthetically produced substances that have similar and comparable properties to natural substances. The company's first product is phenylcapsaicin, which the company commercializes under two brands, aXiphen® and aXivite®, as an ingredient in animal feed and dietary supplements, respectively. The business is divided into three market areas with different applications for phenylcapsaicin: as an ingredient in feed for poultry, such as chicken and turkey, as an ingredient in food supplements for gut health, weight control and sports and exercise, and as an ingredient in food supplements for the bio-enhancement of curcumin and melatonin. aXichem is listed on the Nasdaq First North Growth Market. More information is available at www.axichem.com.