Karolinska Development AB announces definitive outcome in rights issue

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Karolinska Development AB announces definitive outcome in rights issue

Karolinska Development AB's ("Karolinska Development" or "the Company”) rights issue with preferential rights for shareholders is completed. The rights issue was subscribed to 76.9 percent and Karolinska Development will thereby receive SEK 378 million before transaction costs and set-off of loans. The issue proceeds will finance the continued development of existing investments, new investments, and general corporate purposes. Those who have been allocated shares without the support of subscription rights will shortly be notified through a settlement note or via their nominee.

The subscription period in Karolinska Development's rights issue with preferential rights for existing shareholders ended on February 2, 2022. In total, the rights issue was subscribed to 76.9 percent, of which 74.5 percent was subscribed with subscription rights and 2.4 percent without the support of subscription rights. No guarantee undertakings were claimed. Karolinska Development directs gratefulness to existing shareholders for their participation in the rights issue and at the same time welcomes a number of new shareholders, including Swedbank Robur Microcap and Nyenburgh Holding B.V.

The subscription price in the rights issue was SEK 4.00 per share. Through the rights issue, Karolinska Development will receive SEK 378 million before transaction costs and set-off of loans, which primarily finances the Company's continued development of existing investments, new investments, and general corporate purposes.

Shares and share capital

Through the rights issue, the share capital in Karolinska Development increases by SEK 944,121.85, through the issue of 1,052,163 shares of class A and 93,360,022 shares of class B, to a total of SEK 2,700,775.94 allocated to 270,077,594 shares, of which 2,555,261 shares are of class A and 267,522,333 shares are of class B.

Trading in BTA

Paid subscribed shares (Swedish: Betald tecknad aktie, "BTA”) are traded on Nasdaq Stockholm under ticker KDEV BTA until the rights issue has been registered by the Swedish Companies Registration Office, which is expected to take place during week 8, 2022.

Allocation

Notice of allocation of shares subscribed for without the support of subscription rights will shortly be sent to those allocated shares via settlement note. Nominee-registered shareholders receive notification of allocation in accordance with the respective nominee's routines. The allocation of shares subscribed for without the support of subscription rights has been carried out in accordance with the principles stated in the prospectus published on January 14, 2022.

Advisors

Erik Penser Bank is financial advisor to Karolinska Development in connection to the rights issue and Cirio Advokatbyrå AB is legal advisor.

For additional information, please contact:
Viktor Drvota, VD Karolinska Development
E-post: viktor.drvota@karolinskadevelopment.com

Karolinska Development AB in brief

Karolinska Development is an investment company that offers investors an opportunity to take part in the value development of several Nordic life science companies. The Company focuses on identifying medical innovations and invests to create, and develop, companies that further develop such innovations into differentiated commercial products, which can make a difference to patients’ lives and generate an attractive return for shareholders.

IMPORTANT INFORMATION

The information in this press release does not constitute an offer to acquire, subscribe for or otherwise trade with shares, paid subscribed share, subscription rights or other securities in Karolinska Development. No action has been taken, nor will any actions be taken, to permit an offer to the public in any other jurisdiction than Sweden.

The information in this press release may not be published or distributed, directly or indirectly, within or into the United States of America (including its territories and possessions, any state of the United States and the District of Columbia, the "USA”), Australia, Hong Kong, Japan, Canada, New Zealand, Switzerland, Singapore, South Africa or South Korea or any jurisdiction where doing so might be unlawful, subject to legal restrictions or require other actions than the ones prescribed under Swedish law. Actions in violation of these instructions may constitute a breach of applicable securities law. This press release does not constitute an offer of invitation to acquire or subscribe for shares or other securities in the USA. No shares, paid subscribed share, subscription rights or other securities issued by the Company (the "Securities”) have been, nor will they be, registered under the U.S. Securities Act of 1933, as amended (the "Securities Act”) or the securities laws in any other state or jurisdiction in the USA and no Securities may be offered, subscribed, used, pledged, sold, retailed, delivered or transferred, directly or indirectly, in or into the USA other than pursuant to an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and in compliance with any applicable securities laws of any state or other jurisdiction of the USA. The Securities have not been and will not be approved or registered by the Securities and Exchange Commission, any state securities authority or other authority in the USA. No such authority has assessed or made any statements about the Rights Issue or the accuracy or reliability of the prospectus. To assert the contrary is a criminal act in the USA.

This press release is not a prospectus for the purposes of Regulation (EU) 2017/1129 (the "Prospectus Regulation”) and has not been approved by any regulatory authority in any jurisdiction. In any EEA Member State, other than Sweden, this communication is only addressed to and is only directed at "qualified investors” in that Member State within the meaning of the Prospectus Regulation.

In the United Kingdom, this document and any other materials in relation to the securities described herein is only being distributed to, and is only directed at, and any investment or investment activity to which this document relates is available only to, and will be engaged in only with, "qualified investors” within the meaning of the Prospectus Regulation who are (i) persons having professional experience in matters relating to investments who fall within the definition of "investment professionals” in Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the "Order”); or (ii) "high net worth entities” falling within Article 49(2)(a) to (d) of the Order (all such persons together being referred to as "Relevant Persons”). In the United Kingdom, any investment or investment activity to which this communication relates is available only to, and will be engaged in only with, Relevant Persons. Persons who are not Relevant Persons should not take any action on the basis of this announcement and should not act or rely on it.

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