The company has carried out a directed share issue of approximately 170 million SEK at a subscription price of SEK 72 per share.

The subscription price was determined through an accelerated book-building procedure. A number of Swedish and institutional investors, including Systematic Group AB (Ashkan Pouya), Swedbank Robur Fonder, Cicero Fonder, TIN Fonder and Lancelot Asset Management have subscribed for shares in the Directed Share Issue.

“We are grateful for the support and trust from existing and new investors in this capital raise that will primarily support the activities related to launch of Ximluci® across Europe in first quarter of 2023.” says Martin Åmark, CEO of Xbrane.

Commercialization in Europe and development of preclinical programs

The company’s Board of Directors has made an overall assessment and carefully considered the possibility to raise capital through a preferential rights issue, but considers that it, for example, would entail a risk that the company cannot provide for its capital needs and at the same time maintain an optimal capital structure, it states in a press release. As the Directed Share Issue among other things, will provide the company with significant and reputable long-term shareholders, which diversifies and strengthens the company’s shareholder base, further strengthen the company’s financial position to enable the company to continue executing on developing and commercialization of biosimilars, be conducted in a more time efficient way and at a lower cost and with less complexity than a preferential rights issue, and ensure a strong balance sheet in the current market situation, the Board of Directors’ overall assessment is that the reasons for carrying out the Directed Share Issue overweigh the reasons that motivate the main rule that share issues are to be made with preferential rights for the shareholders.

The purpose of the transaction is to finance the preparations for commercialization in Europe and the continued development of preclinical programs. More specifically, the net proceeds from the transaction are intended to finance the following activities:

– Build-up of Xlucane (Ximluci) launch volume and inventory in preparation for commercialization in Europe (approximately 60%)
– Progression of BIIB801 program until completion of pre-clinical development (approximately 10%)
– Continued development of oncology portfolio (approximately 20%)
– General corporate purposes (approximately 10%)

Photo of Martin Åmark: Xbrane