The Board of Directors of the cancer diagnostics company
Summary of directed share issue
The subscribers in the directed share issue consist of the existing major shareholders
Through the directed share issue, 2,673,797 new shares will be issued at a subscription price of
"We are pleased with the great interest in participating in the capital raise despite a challenging market for development companies. It is a sign of strength that a majority of BiBB's largest shareholders are participating in the new share issue and now we can continue to build value in the Company after a successful period with market clearances in both the
Reasons for deviation from preferential rights and reasons for capitalisation
The Company's Board of Directors has made an overall assessment and carefully considered the possibility of raising capital through a rights issue, but has concluded that a rights issue compared to a directed share issue (i) would take significantly longer to complete and thus entail a risk of an increased general market risk exposure, (ii) would require significant guarantee commitments from an underwriting syndicate given the prevailing volatility in the market, which would entail additional costs and/or further dilution depending on the type of compensation paid for such guarantee commitments, (iii) would likely need to be made at a lower subscription price given the discount levels for rights issues carried out in the market recently, and (iv) unlike a rights issue, the directed share issue is expected to strengthen the shareholder and capital base in the long term. The Company wishes to strengthen its base of institutional and professional as well as strategically important owners, in order to further strengthen the liquidity of the Company's share, hence that these existing shareholders participate in the directed share issue.
The above has resulted in the conclusion that, in the opinion of the Board of Directors, there have been predominant reasons to, through the directed share issue, waive the shareholders' preferential rights for the benefit of the Company and the shareholders in the long term.
The Board of Directors' assessment is that the issue price in the directed share issue is in line with market conditions. The subscription price in the directed share issue has been determined through arm's length negotiations with the investors and represents a discount of 20 percent to the volume-weighted average price (VWAP) calculated during a trading period of five (5) days from and including
The proceeds from the directed share issue are intended to finance continued development during 2024, which includes activities such as the continuation of clinical studies in the
Shares, share capital and dilution
Through the new share issue, the number of outstanding shares and votes will increase by 2,673,797 from 26,529,461 to 29,203,258. The share capital increases by
Payment for the newly issued shares shall be made in cash no later than
Advisors
Nordic Issuing is acting as issuing agent and
Important information
The release, publication or distribution of this press release may be subject to restrictions by law in certain jurisdictions and persons in the jurisdictions in which this press release has been published or distributed should inform themselves about and comply with such legal restrictions. The information in this press release does not constitute an offer to acquire, subscribe for or otherwise trade in shares or other securities in BiBB in any jurisdiction.
This press release does not constitute an offer to buy any securities in
This press release is not a prospectus. BiBB has not authorized any offer to the public of shares or rights in any member state of the EEA and no prospectus has been or will be prepared in connection with the capitalization.
Forward-Looking Statements
This press release contains certain forward-looking statements that reflect BiBB's current view of expectations for future events and financial and operational development, including statements regarding the capitalization and statements regarding guidance, planning, future prospects and strategies. Words such as "intends", "estimates", "expects", "plans", "estimates", "may", and other expressions that imply indications or predictions regarding future developments or trends and are not based on historical facts, constitute forward-looking statements. Although BiBB believes that these statements are based on reasonable assumptions and expectations, BiBB cannot guarantee that such forward-looking statements will materialize. Because these forward-looking statements involve both known and unknown risks and uncertainties, actual results could differ materially from those expressed in forward-looking statements. Forward-looking statements in this press release speak only at the time of this press release and are subject to change without notice. The Company makes no commitment to publish updates or revisions to forward-looking statements as a result of new information, future events or the like, except as required by applicable laws or securities regulations.
This is a translation of the Swedish press release. If there should be any discrepancies, the Swedish language version prevails.
For more information about BiBB, please contact:
E-mail: fredrik.lindblad@bibbinstruments.com
Phone: +46 70 899 94 86
www.bibbinstruments.com
This disclosure contains information that
About BiBB
The cancer diagnostics company
https://news.cision.com/bibbinstruments-ab/r/bibbinstruments-ab-carries-out-a-directed-share-issue-of-sek-10-0-million,c3984581
https://mb.cision.com/Main/16317/3984581/2808519.pdf
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