• 23 October 2018
    InDex Pharmaceuticals carries out a directed share issue of approximately SEK 37.5 million

    The board of directors of InDex Pharmaceuticals Holding AB (publ) (the “Company” or “InDex”) has, with support from the authorization granted by the annual general meeting on May 24, 2018, resolved on a directed share issue of 6,252,842 shares to a small group of investors. The subscription price is SEK 6.02 per share, corresponding to a discount in line with market conditions of 7.7 percent to the 5-day volume weighted average price and 1.3 percent to today’s closing price. InDex will receive proceeds of approximately SEK 37.5 million after transaction related costs for legal services and costs for registration and practical management.

    The group of subscribers in the directed share issue is composed of successful investors in Swedish drug development companies. Bengt Julander invests approximately SEK 17.5 million in the Company and Martin Bjäringer and Carl Rosvall invests approximately SEK 8.8 million each. In addition, the Mattsson family invests approximately SEK 2.6 million in the directed share issue. Each investor except Martin Bjäringer has subscribed through a company. The investors do not own any shares in the Company prior to the directed share issue and are not closely connected to the Company.

    The reasons for the deviation from the shareholders’ preferential rights, and the purpose of the directed share issue, are to strengthen and broaden the shareholder base with financially strong and industrially skilled investors, and in a time and cost effective manner raise capital to create strategic flexibility leading up to and following the top line results of the CONDUCT study that are expected in the first half of 2019. The CONDUCT study is a phase IIb study of the Company’s lead drug candidate cobitolimod, under development for the treatment of moderate to severe ulcerative colitis. It is the assessment of the board of directors that the directed share issue is beneficial to the Company and hence for all existing shareholders.

    The directed share issue entails a dilution of approximately 9.1 percent of the share capital and number of shares and votes in the Company. Through the issue, the number of outstanding shares and votes increases by 6,252,842 from 62,528,433 to 68,781,275. The share capital increases by SEK 125,056.84 from SEK 1,250,586.66 to SEK 1,375,625.50.

    In order to facilitate the delivery of shares in the directed share issue, the Company’s main owners, SEB Venture Capital and Industrifonden, will jointly lend 6,252,842 shares to the subscribers. The shares will be returned after the directed share issue has been registered with the Swedish Companies Registration Office. In a separate transaction, the Company’s main owners will issue call options on existing InDex shares to the subscribers.

    “We are very pleased with the confidence shown in us and the commitment from these reputable new shareholders that have chosen to invest in InDex”, said Peter Zerhouni, CEO of InDex Pharmaceuticals. “The capital injection allows us to expedite certain activities in the development of cobitolimod and InDex, but most importantly it strengthens the cash position ahead of the top line results in the ongoing CONDUCT study.”

    Setterwalls Advokatbyrå acted as legal advisor to InDex in connection with the directed share issue.