Date: 2013-07-18
Type of information: Private placement
Company: Tigenix (Belgium)
Investors:
Amount: € 6.5 million
Funding type: private placement
Planned used: TiGenix intends to use the proceeds of the private placement mainly for pursuing market access and reimbursement and advancing the commercial launch and roll out of ChondroCelect® in selected European markets and for advancing the Company\'s Phase III clinical trial in complex perianal fistulas in patients with Crohn\'s disease (Cx601).
Others: * On July 18, 2013, TiGenix has announced that it has raised €6.5 million through a private placement via the accelerated bookbuilding procedure announced on July 17, 2013 after the market closed. The private placement has allowed TiGenix to place 26 million new shares with investors selected via the accelerated bookbuilding procedure, at a price of € 0.25 per share, a 50% discount on the closing price of July 17, 2013. This represents 25.93% of the current number of outstanding shares and will bring the total number of shares after the issue to 126,288,586. The issuance of the new shares and their admission to trading on NYSE Euronext Brussels is expected to take place on July 23, 2013 provided TiGenix has timely received the proceeds of the private placement from the investors.
* On July 17, 2013, TiGenix has announced the launch of a private placement of new ordinary shares for a targeted amount of € 5 million. The Company may increase this amount without exceeding the limits of its authorized share capital. The Board of Directors will disapply the preferential subscription rights of existing shareholders in connection with the intended capital increase, which will take place within the limits of the authorized share capital in accordance with article 6 of the articles of association of TiGenix.
In addition to the capital increase, the Company is currently also working towards, among others, an increase of the projected revenues of ChondroCelect®, the partnering of Cx601 and the monetizing of certain assets such as the Dutch manufacturing facility. Therefore, although a capital increase of € 5 million is in itself not sufficient to cover the working capital needs of the Company for the next 12 months, it is one of the elements in an action plan of the Company with a view to obtaining additional funding.
The new shares will be placed through an accelerated bookbuilding procedure. The placing will start on July 17, 2013. The Company has asked the Financial Services and Markets Authority (FSMA) to suspend its shares from trading on NYSE Euronext Brussels. Trading in the share will resume shortly following the publication of the results of the placing.
Therapeutic area: Bone diseases - Regenerative medicine - Rheumatic diseases
