The extra ordinary shareholder’s meeting resolved to approve the decision by the Board of Directors to exercise the option to acquire the remaining outstanding shares in Lunde Group Oy by way of a directed rights issue at a value or approx. 12.5 MSEK.
In conjunction with the acquisition of the majority of the shares in Lune Group Oy (“Lune”) Peptonic Medical (“Company” or “Peptonic”) was granted an option to acquire the balance of the share in Lune. On July 7th, 2020, Peptonic informed the sellers that it intends to exercise the option. The value or the shares amounts to 1.2 MEUR (approx. 12.5 MSEK based on an exchange rate of 10.43 SEK/EUR) and the payment is to be made with new Peptonic shares. The board of directors of Peptonic decided on July 9th to issue 7,442,774 new shares to the sellers conditional on the approval by the extra ordinary shareholder’s meeting.
The board of directors of Peptonic has decided to issue 7,442,774 new shares to the sellers conditional on the approval by the extra ordinary shareholder’s meeting. The share price is 1.6822 SEK, representing 100 per cent of the volume weighted average trading price of the Peptonic share on the Spotlight Stock Market during the period of June 24th to July 7th 2020. Payment in return of the Peptonic shares are 40 existing shares in Lune at a value of 12,520,031 SEK. This amount will be posted in Peptonic’s balance sheet.
Approval of the decision by the board of directors was given by shareholders representing more than 9/10 of the cast votes as well as of votes represented at the meeting.
When the acquisition of the shares has been completed, Peptonic will own all outstanding shares in Lune.
The Sellers have entered into lock up undertakings for these new shares too, which means that the Sellers undertake not to transfer, pledge or otherwise dispose of the Consideration Shares during the lock-up period. The lock up undertaking applies for 50 percent of the Consideration Shares during nine months from the 7th of July 2020.
Dilution and costs
The issue of 7,442,774 new shares as per the above increases the share capital of Peptonic by 744,277.40 SEK. The total number of issued shares in the Company is 162,586,250 after the rights issue. The issue of the new shares results in a dilution of existing shares of approx.. 4.6%.
Costs of the directed rights issue to the sellers are estimated at 0.2 MSEK.
Johan Inborr, CEO
Mobile: + 46 708 853 893
VagiVital® is a patent pending hormone free self-care product for the treatment of vaginal atrophy and vaginal dryness. The product has been tested in randomised clinical studies (vaginal atrophy) with very positive results both for objective (vaginal pH and proportion of superficial cells in the vaginal mucosa) and subjective (most bothersome symptoms, such as vaginal dryness, vaginal irritation/itching, dyspareunia and dysuria) parameters. The magnitude of symptom relief is on par with that demonstrated with e.g. prescription estrogen based products on the market today. It was very well tolerated and caused no serious adverse effects.
VagiVital® was launched in Sweden as a non-prescription self-care product in July 2018 (see www.vagivital.com).
About Peptonic Medical
Peptonic Medical is an innovative Swedish medical development company. Its vision is to offer safe and effective treatments and relief for women specific diseases and medical conditions.
VagiVital® is a registered trademark of Peptonic Medical. The product is hormone free and is being commercialised for the non-prescription use for the treatment of vaginal atrophy (VA) and vaginal dryness. The pipeline of Peptonic Medical also includes Vagitocin®, which is an oxytocin-based vaginal gel for the treatment of VA. This product candidate is in clinical development phase 2. The development of Vagitocin® is on hold pending additional data on i.a. the mechanism of action.
Since July 2014, the Peptonic Medical share has been traded on the Spotlight Stock Exchange (www.spotlightstockmarket.se, ticker: PMED) in Stockholm, Sweden.
For more information: www.peptonicmedical.com