Date: 2015-07-07
Type of information: Capital increase
Company: 4SC (Germany)
Investors: Santo Holding (Germany) Wellington Partners (UK) existing investors
Amount: € 29 million
Funding type: capital increase
Planned used: This capital increase will be used to finance planned clinical development programme of 4SC's research and development programmes in the field of cancer therapies, in particular a planned clinical Phase II trial of resminostat in cutaneous T-cell lymphoma (CTCL). This trial is scheduled to begin in early 2016. If successful, the trial data could be the basis for an application for conditional approval on the European market. The Company intends to secure its overall financing until the results of the CTCL study are expected in the second half of 2018. The proceeds will serve to further accelerate preparations for clinical Phase II trials with 4SC-202, the initiation of partnerships for the further clinical development of the anti-cancer compound 4SC-205 and negotiations with
potential partners concerning all of the Company’s compounds.
Others: * On July 7, 2015, 4SC announced the successful completion of its capital increase resolved on 22 June 2015 to finance its research and development programmes in cancer therapies. In a cash capital increase 7,250,000 offered shares were placed at a subscription price of € 4.00 with existing shareholders in a rights issue and with selected new
institutional investors in a subsequent rump placement, which resulted in gross issue proceeds of € 29 million. Thus, due to the significant demand by new institutional investors in the rump placement, the upper end of the targeted volume range of € 24-29 million could be reached.
Furthermore, a total of 1,500,000 consideration shares will be issued at the same issue price of € 4.00 by way of a capital increase against contributions in kind in order to swap a substantial portion of € 6 million of a shareholder loan from Santo Holding (Deutschland) GmbH into equity.
Major shareholder Santo Holding and a number of other existing shareholders made a significant contribution to the cash capital increase. Additionally, a number of institutional investors from the United States and Europe were acquired as new shareholders in a subsequent private placement of shares that had not been subscribed for as part of the rights issue. The renowned life science investor Wellington Partners is the anchor investor of the
transaction, having acquired new shares worth € 5 million.
As a result of the cash capital increase and the capital increase against contributions in kind, the share capital of 4SC AG will increase from € 10,216,646.00, composed of 10,216,646 no-par value bearer shares, by € 8,750,000.00 or 8,750,000 shares to a total of € 18,966,646.00, composed of 18,966,646 shares, while partially utilising authorised capital.
Therapeutic area: Cancer - Oncology
