Gradientech carries out a rights issue of approximately SEK 50 m
The Board of Directors of Gradientech AB (publ) (“Gradientech” or “the Company”) decided on 16 December to carry out a new issue of shares with preferential rights for existing shareholders of approximately SEK 50 million (the “Rights Issue”). A prospectus regarding the Rights Issue has today been approved by the Swedish Financial Supervisory Authority and is available on the Company's website gradientech.se (https://gradientech.se/investors/rights-issue-2022).
“Gradientech has made significant progress over the past year. We now have, according to plan, a market-approved diagnostic system that is the market’s fastest for diagnosing optimal antibiotic treatment of sepsis patients. We have signed distributor agreements with leading distributors in our European launch countries and we have sold instruments,” says Sara Thorslund, CEO of Gradientech.
“In 2023, the focus will be on the upcoming regulatory studies towards an FDA application. In the European market, increased sales, marketing and support activities apply. On the production side, the QuickMIC® system’s production line is being scaled up to gradually increase margins. In order to enable continued delivery according to the laid out business plan, we intend, as previously communicated, to conduct a new share issue with preferential rights for existing shareholders”, continues Sara Thorslund.
Background and motives for the Rights Issue
The purpose of the Rights Issue is to strengthen the Company’s financial position to enable investments primarily in sales and marketing, production of market-approved instruments and tests, scale-up production, as well as performing clinical studies in the USA.
The proceeds from the Rights issue are intended to be distributed as follows and in the event that not all measures can be implemented, according to the following priorities:
- Sales and marketing activities on selected European markets to drive sales and commercial evaluation of the QuickMIC® system at potential customer sites – approximately 20% of the issue amount
- Production of instruments and tests for sales and studies – approximately 20% of the issue amount
- Reference and commercial studies on the European and the US market to create awareness and drive sales – approximately 10% of the issue amount
- Develop the first antibiotic panel for the US market and prepare US clinical study towards an FDA-application – approximately 20% of the issue amount
- Continued robustification of the QuickMIC® system to further decrease failure rate at end-customer sites – approximately 10% of the issue amount
- Increase production capacity and decrease production costs per test – approximately 20% of the issue amount
Terms for the Rights Issue
Those who was registered as a shareholder on the record date of 23 December 2022, has a preferential right to subscribe for ordinary shares in the Rights Issue in relation to the number of ordinary shares held on the record date. One (1) existing share in the Company entitles to one (1) subscription right. Thirteen (13) subscription rights entitle to subscribe for two (2) new shares.
If not all shares in the rights issue are subscribed for, with preferential right, the Board of Directors shall decide on allocation of shares within the limits of the maximum amount of the rights issue to shareholders or other investors that have subscribed for shares without preferential right.
The subscription price is SEK 20.50 per new share. If the Offer is fully subscribed, the number of shares in the Company will increase by 2,457,568 shares, from 15,974,193 shares to 18,431,761 shares, corresponding to a dilution effect of approximately 13 percent.
Subscription of shares shall take place during the period from and including 27 December 2022 to and including 18 January 2023. The Board has the right to extend the subscription and payment period. A possible extension of the subscription period shall be announced by press release no later than 18 January 2023. The announcement of the outcome of the Rights Issue will be made through a press release scheduled for January 22, 2023, or as soon as possible after the subscription period has ended.
Subscription commitments
In connection with the Rights Issue, the Company has received subscription commitments from several existing shareholders, including members of the Company’s executive management and board members. The subscription commitments amount to a total of approximately SEK 13.4 million, corresponding to approximately 27 percent of the Rights Issue. No compensation is paid for submitted subscription commitments.
Prospectus
Complete terms and conditions for the Rights Issue as well as other information about the Company and information about subscription commitments appear in the prospectus that is available on the Company’s and the Swedish Financial Supervisory Authority respective websites (gradientech.se, fi.se).
Issuing agent
Nordic Issuing acts as an issuing agent in connection with the Rights Issue.
For further information, please contact:
Sara Thorslund, CEO
Tel: + 46 763 29 35 80
Urban Adolfsson, CFO
Tel: + 46 708 20 72 09