Press release

Oncopeptides issues warrants to utilize the first loan tranche from EIB

May 03, 2023 Regulatory

Oncopeptides AB (publ) (Nasdaq Stockholm: ONCO), a biotech company focused on research, development, and commercialization of therapies for difficult-to-treat haematological diseases, today announced that the company has decided to utilize the first tranche under the company’s loan agreement with the European Investment Bank (EIB) and resolved on an issue of warrants.

On 25 November 2022 Oncopeptides announced that the company had entered into a renewed unsecured loan facility agreement with the EIB, granting access to a conditional loan facility of up to €30 million. The loan facility agreement is divided into three €10 million tranches, each with a maturity of five years.

The company has initiated the disbursement procedure regarding the first tranche and disbursement of the loan amount of €10 million is expected to take place in May 2023. The loan amount increases the company´s flexibility and will be used to finance the ongoing commercialization of Pepaxti in Europe, as well as the progression of the R&D pipeline.

The Board of Directors of Oncopeptides has today, based on the authorization granted at the annual general meeting on 28 June 2022, decided on an issue of a total of 2,829,231 warrants, all of which have been subscribed by the company free of charge. The reason for the deviation from the shareholders’ preferential rights is to enable delivery of warrants to the EIB in accordance with the terms of the loan agreement. The warrants have a term of 20 years and entitle the holder to subscribe for new ordinary shares in the company at a subscription price corresponding to the share’s quota value. Upon full subscription of all issued warrants, the company’s registered share capital will increase by SEK 314.359 and the number of shares by 2,829,231 ordinary shares.

Prior to disbursement of the loan amount of the first tranche, 1,138,646 warrants (corresponding to 1.26 percent of the fully diluted share capital in the company) will be transferred to the EIB free of charge. Remaining warrants will be held by the company and may be transferred to the EIB in connection with any disbursement of remaining tranches under the loan agreement.