Alzinova announces outcome of rights issueDate: 2022-06-15
Alzinova AB (publ) (“Alzinova” or the “Company”) has completed the rights issue of units, consisting of shares and warrants of series TO3, which was announced by press release on 19 April 2022 (the “Rights Issue”). The Rights Issue has been subscribed for to a total of 80.00 percent, of which approximately 56.17 percent was subscribed for by use of unit rights, and approximately 6.16 percent was subscribed for without use of unit rights. Approximately 17.67 percent was subscribed for by underwriters.
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED KINGDOM, THE UNITED STATES, CANADA, JAPAN, AUSTRALIA, HONG KONG, NEW ZEALAND, SWITZERLAND, SOUTH AFRICA, SOUTH KOREA OR ANY OTHER JURISDICTION WHERE SUCH RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE UNLAWFUL OR WOULD REQUIRE REGISTRATION OR ANY OTHER MEASURES THAN SUCH MEASURES WHICH FOLLOWS FROM SWEDISH REGULATIONS.
"I would like to extend a big thank you to both existing and new shareholders for the trust we have received, despite the current troubled times and the outside world. It is gratifying to see your interest in Alzinova! With the issue proceeds, we now look forward to completing the clinical phase 1b study with the drug candidate ALZ-101, and to further prepare for clinical development phase 2, which thus makes the project even more attractive for partnership. Furthermore, we are now taking the first step with ALZ-201 to also make this candidate ready for clinical phase. For us, these are important milestones in developing disease-modifying treatments and preventing the progression of Alzheimer's disease. We are convinced that both the vaccine ALZ-101 and the antibody ALZ-201 have "best-in-class" potential and could make a big difference in future disease treatments for Alzheimer's disease." – Kristina Torfgård, CEO Alzinova
The subscription period in the Rights Issue ended on 13 June 2022. In total, 3,241,903 units have been subscribed for through the Rights Issue and the Company will thus receive approximately SEK 34.0 million before issuing costs. Upon full exercise of all warrants of series TO3, the Company may be provided with an additional capital injection of up to approximately SEK 40.8 million after the exercise periods that runs from and including 11 April 2023 to and including 25 April 2023.
Allocation of units subscribed for without the support of unit rights has taken place in accordance with what is stated in the EU growth prospectus which was announced by the Company on 24 May 2022 due to the Rights Issue (the “Prospectus”). Notification of such allocation is announced separately by a settlement note sent out. Nominee-registered shareholders receive notification of allotment in accordance with instructions from the respective nominee.
Through the Rights Issue, the number of shares in the Company increases by 16,209,515 shares, from 16,209,519 shares to 32,419,034 shares and the share capital increases by SEK 4,263,102.445, from SEK 4,263,103.497 to SEK 8,526,205.942. If all warrants of series TO3 are also fully exercised for subscription of new shares in the Company, the number of shares in the Company will increase with an additional maximum of 12,967,612 shares, from 32,419,034 shares to 45,386,646 shares, and the share capital increase with an additional maximum SEK 3,410,481.956, from SEK 8,526,205.942 to SEK 11,936,687.898. Each warrant of series TO3 entitles the holder to subscribe for one (1) new share in the Company at a subscription price corresponding to seventy (70) percent of the volume-weighted average price (VWAP) of the Company's share on Nasdaq First North Growth Market during the period from and including 23 March 2023, to and including 5 April 2023, however not less than the quota value for the share (SEK 0.263 as of today) and not more than SEK 3.15.
Trading with paid subscribed unit (BTU) takes place on Nasdaq First North Growth Market until the conversion of BTU into shares and warrants after the Rights Issue has been registered with the Swedish Companies Registration Office. Registration with the Swedish Companies Registration Office is expected to take place during week 26, 2022.
In connection with the Rights Issue, shareholders and external investors have made underwriting commitments. For underwriting commitments made, underwriting compensation of ten (10) percent of the underwritten amount is paid in cash or, alternatively, fifteen (15) percent of the underwritten amount in the form of shares. Underwriters who wish to receive underwriting compensation in the form of shares must notify Mangold Fondkommission AB no later than 20 June 2022. The subscription price for any shares issued as underwriting compensation has been set to SEK 2.10 per share, which corresponds to the subscription price in the Rights Issue. In total, a maximum of 2,035,592 new shares may be issued as underwriting compensation to the underwriters.
Mangold Fondkommission AB is the financial advisor to Alzinova in connection with the Rights Issue. Fredersen Advokatbyrå AB is the legal advisor to the Company in connection with the Rights Issue.
For more information, please contact:
Kristina Torfgård, CEO
Telephone: +46 70 846 79 75
For questions regarding the Rights Issue, please contact:
Mangold Fondkommission AB
Tel: +46 8 5030 1595
About Alzinova AB
Alzinova is a Swedish clinical-stage biopharma company specializing in the treatment of Alzheimer’s disease targeting neurotoxic amyloid-beta oligomers. The lead candidate, ALZ-101, is being developed as a therapeutic vaccine for the treatment of Alzheimer's. Alzinova’s proprietary AβCC peptide™ technology enables the development of disease-modifying therapies that target the toxic amyloid-beta oligomers involved in the onset and progression of the disease with high precision. Alzheimer’s is one of the most common and devastating neurological diseases globally, with of the order of 40 million people afflicted today. In addition, the antibody ALZ-201 is in preclinical development, and the ambition is to expand the pipeline further. The company’s Certified Advisor on Nasdaq First North Growth Market is Corpura firstname.lastname@example.org +46 (0)768-532 822. For more information about Alzinova, please visit: www.alzinova.com.
This information is information that Alzinova AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 8:01 am CEST on 15 June 2022.
Release, announcement or distribution of this press release may, in certain jurisdictions, be subject to restrictions according to law and people in those jurisdictions, in which this press release has been announced or distributed, should inform themselves of and follow such legal restrictions. This press release does not constitute an offer, or a solicitation of any offer, to buy or subscribe for any securities in Alzinova in any jurisdiction. Invitation to the persons concerned to participate in the Rights Issue will only take place through the EU growth prospectus which the Company has published in connection with the Rights Issue.
This press release does not constitute or form part of an offer or solicitation to purchase or subscribe for securities in the United States. The securities referred to herein may not be sold in the United States absent registration or an exemption from registration under the US Securities Act of 1933, as amended. The information in this press release may not be announced, published or distributed in or into the United Kingdom, the United States, Canada, Japan, Australia, Hong Kong, New Zealand, Switzerland, South Africa, South Korea or in any other jurisdiction where the announcement, publication or distribution of the information would not comply with applicable laws and regulations.
Within the European Economic Area, no offer is made to the public of securities in any country other than Sweden. In other Member States of the European Union, such an offer may only be made in accordance with the exceptions in the Prospectus Regulation (EU) 2017/1129.
This press release contains certain forward-looking information that reflects the Company’s present view of future events as well as financial and operational development. Words such as “intend”, “assess”, “expect”, “may”, “plan”, “believe”, “estimate” and other expressions entailing indications or predictions of future development or trends, not based on historical facts, constitute forward-looking information. Forward-looking information is inherently associated with both known and unknown risks and uncertainties as it depends on future events and circumstances. Forward-looking information is not a guarantee of future results or development, and actual outcomes may differ materially from the statements set forth in the forward-looking information.