STOCKHOLM, March 21, 2019 /PRNewswire/ -- The board of
directors of Cantargia AB (publ) has resolved, pursuant to the
general meeting's authorization, on a directed share issue of
approximately SEK 106 million. The
proceeds from the share issue enable expanded investments in the
company's main project, CAN04 (nidanilimab), with a new clinical
study in the US and an expansion of the most promising patient
sub-group of the ongoing clinical CANFOUR study. CAN04 is an
antibody in phase IIa clinical development against non-small cell
lung cancer and pancreatic cancer.
In the directed share issue, 6,618,581 new shares are issued at
a subscription price of approximately SEK
16.02 per share, which means that the company is provided
with approximately SEK 106 million in
issue proceeds, before issue costs. The subscription price
corresponds to the volume weighted average price of the Cantargia
share during the latest 20 trading days.
The investors are a number of Nordic institutional investors;
Alecta (approximately SEK 76.5
million), Handelsbanken Fonder (SEK
7.6 million), EWS Foundation (SEK 3.8
million) and Jesem AS (SEK 1.8
million). In addition thereto a number of private investors
have subscribed for shares for approximately SEK 16.2 million, through Avanza Pension.
The proceeds from the share issue are intended to be used for
two new clinical activities. The first activity is to prepare and
carry out a clinical study with CAN04 in the US. The study is
intended to be made in a new segment of oncology that is not a part
of the ongoing clinical study CANFOUR. As a result, new
complementary data will be received which enables a widening of the
future market for CAN04. The second activity implies an expansion
of the ongoing CANFOUR study in patients with non-small cell lung
cancer or pancreatic cancer. As previously announced, treatments of
patients in Phase IIa were initiated in January 2019 and the study is following plan with
expected results in the beginning of 2020. The proceeds from the
share issue will enable the next step of development, immediately
following the report of these results. An additional 30-50 patients
in the most promising sub-group of one these diseases may then be
included during 2020. By focusing on groups of patients most likely
to respond, further value-adding effective data will be obtained.
In parallel, the company may initiate the preparations for a
controlled clinical study with CAN04.
As a result of the share issue, the Company is deemed to be
financed up and until H1 2021 and the new clinical studies
described above are financed.
"We are delighted over the great confidence in our business,
evidenced by this financing. We will now be able to take two
important steps, accelerating the development of CAN04 towards the
market. We envisage great possibilities for CAN04 to become an
important part of the future cancer treatment", says Göran
Forsberg, CEO of Cantargia.
The reasons for the deviation from the shareholders' pre-emptive
rights are to raise capital in a time-efficient and cost-efficient
manner and to provide the Company with additional institutional
investors.
"The new shareholders give additional strength to our already
solid shareholder base" Göran Forsberg continues.
The share issue entails a dilution of approximately nine percent
of the number of shares and votes in the company. Through the share
issue, the number of outstanding shares and votes increases by
6,618,581 from 66,185,811 to 72,804,392. The share capital
increases by SEK 529,468.48 from
SEK 5,294,864.88 to SEK 5,824,351.36.
Asperia and Erik Penser Bank have advised Cantargia in the
transaction. Advokatfirman Vinge is legal adviser.
For further information, please contact
Göran Forsberg, CEO
Telephone: +46 (0)46-275 62 60
E-mail: goran.forsberg@cantargia.com
This is information that Cantargia AB 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 20.00 CET on March
21, 2019.
About Cantargia
Cantargia AB (publ), reg. no. 556791-6019, is a biotechnology
company that develops antibody-based treatments for
life-threatening diseases. The basis for this is the protein IL1RAP
that is involved in a number of diseases and where Cantargia has
established a platform. The main project, the antibody CAN04
(nidanilimab) is being studied in the clinical phase I/IIa CANFOUR
with a primary focus on non-small cell lung cancer and pancreatic
cancer. The study is conducting both monotherapy and combination
therapy. Cantargia's other project, CANxx, is in the research phase
and is aiming to develop a IL1RAP binding antibody optimised for
the treatment of autoimmune and inflammatory diseases.
Cantargia is listed on Nasdaq Stockholm (ticker: CANTA). More
information about Cantargia is available at
http://www.cantargia.com.
CONTACT:
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