Board of Directors decides on execution of already communicated directed issue
Board of Directors decides on execution of already communicated directed issue
The Board of Directors of Initiator Pharma A/S (“Initiator” or “the Company”) has today, 19 May 2022, based on the authorization from the recently held Extraordinary General Meeting, decided to execute the directed issue which was communicated via a press release on 13 April 2022. The directed issue was subscribed by Linc AB and Adrigo Asset Management AB, and it will provide the Company with approx. SEK 20 million before issue costs.
Directed Issue
The extraordinary general meeting on 18 May 2022 resolved to authorize the Board of Directors to increase the share capital, at one or more times, with up to nominal DKK 279,999.93 without pre-emptive subscription rights for the Company’s existing shareholders. The Board of Directors has now decided on the execution of the directed issue to Linc AB and Adrigo Asset Management AB, which was communicated in April 2022. Each of the subscribers has subscribed for 1,333,333 shares at a subscription price of SEK 7.50 per share. In total, the directed issue provides the Company with approx. SEK 20 million before issue costs.
When the directed issue has been registered at Erhvervsstyrelsen, the Company’s share capital will have increased by DKK 279,999.93, from DKK 4,596,108.51 to DKK 4,876,108.44. The number of shares in the Company will have increased by 2,666,666 shares, from 43,772,462 shares to 46,439,128 shares. The directed issue of shares will result in a dilution of approximately 5.7 percent for the existing shareholders based on the number of shares in the Company after the directed issue.
Forthcoming rights issue
The extraordinary general meeting also decided to authorize the Board of Directors of the Company to increase the share capital with pre-emptive subscription rights for the Company’s existing shareholders. As previously communicated in the press release on 13 April 2022, the Company intends to carry out a rights issue, consisting of a maximum of 5,463,426 new shares. The rights issue, which has already been secured in writing to 100 percent through pre-subscription commitment agreements and guarantee agreements from Linc AB and Adrigo Asset Management AB, will provide the Company with approx. SEK 41 million before deduction of transaction related costs. The proposed subscription price in the preferential rights issue is SEK 7.50 per share, which is the same as in the executed directed issue.
Details regarding subscription period and other important dates for the planned rights issue will be communicated as soon as the Company has a more detailed overview of when the subscription period can take place.