LUND, Sweden, 03 Nov., 2017 /PRNewswire/ --
NeuroVive Pharmaceutical AB (Nasdaq Stockholm: NVP, OTCQX: NEVPF), a leading company in mitochondrial medicine, announced today that the company is conducting a directed new issue of shares, which is expected to add close to SEK 5.3 million to NeuroVive. Proceeds from the new share issue will be used primarily for continued clinical development of KL1333 and NeuroSTAT.
NeuroVive's Board of Directors has decided to conduct a private placement of approximately SEK 5.3 million to Floyd Associates Europe Limited. The new issue of shares with a deviation from shareholders' preferential rights is carried out at a market-based discount rate supported by the authorization granted for the Board on the Annual General Meeting 2017. The number of shares covered by the new issue of shares amounts to 1.76 million and increases the company's share capital by SEK 80,000 to SEK 2,616,309.85. The issue price of approximately SEK 3 per share has been determined after negotiation with the investor and corresponds to a 25 per cent discount on the closing price of the company's share at Nasdaq Stockholm, November 2, 2017.
The reason for deviating from shareholders' preferential rights is the Board's view that it is beneficial for NeuroVive and its shareholders to strengthen the ownership base through a larger institutional and international component, but also that the directed new issue presents the best opportunity for the company to add new capital under attractive conditions.
In connection with the new issue shares, Chardan Capital Markets, LLC (US) has acted as Lead Placement Agent and Sole Bookrunner and Law Firm Lindahl KB as Legal Adviser to NeuroVive.
This information is information that NeuroVive Pharmaceutical AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 08:30 a.m. CET on 3 November 2017.
For more information, please contact:
Director of Communications
NeuroVive Pharmaceutical AB (publ)
NeuroVive Pharmaceutical AB is a leader in mitochondrial medicine, with one project in clinical phase II development for the prevention of moderate to severe traumatic brain injury (NeuroSTAT®) and one project in clinical phase I (KL1333) for genetic mitochondrial diseases. The R&D portfolio consists of several late stage research programs in areas ranging from genetic mitochondrial disorders to cancer and metabolic diseases such as NASH. The company's strategy is to advance drugs for rare diseases through clinical development and into the market. The strategy for projects within larger indications outside the core focus area is out-licensing in the preclinical phase. NeuroVive is listed on Nasdaq Stockholm, Sweden (ticker: NVP). The share is also traded on the OTCQX Best Market in the US (OTC: NEVPF).
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SOURCE NeuroVive Pharmaceutical