08:00 Wed 26 Jun 2019
Immupharma PLC - Subscription to raise £2.66 million
26
("
Subscription to raise
Highlights
· Subscription for 26,565,200 new ordinary shares of
· This current subscription by Lanstead is the maximum amount under the Company's existing authorisation of disapplication of pre-emption rights and represents a further supportive investment in the Company by Lanstead following the
· The
· The Company has also agreed to issue to Lanstead 1,328,290 Ordinary Shares (the "Value Payment Shares") in connection with entering into the Sharing Agreement.
· The proceeds of the Subscription will be used primarily to fund the execution of the Company's corporate strategy as announced on
·
Commenting,
"We are delighted to be welcoming back Lanstead as a significant shareholder of the Company. Lanstead has been very supportive of the Company since their first investment in 2016 and this latest subscription demonstrates their continued support and the alignment of both the Company and Lanstead's belief of the potential of substantial value enhancement for shareholders in the future execution of the Company's recently stated corporate strategy."
Further information on the Subscription
Pursuant to the subscription agreement between the Company and Lanstead (the "Subscription Agreement"), 26,565,200 Subscription Shares will be issued to Lanstead at
The Subscription proceeds of
The Subscription Shares and the Value Payment Shares will rank pari passu with the existing Ordinary Shares and application has been made to the
The Sharing Agreement
As part of the Subscription, the Company will enter into the Sharing Agreement, pursuant to which
The Sharing Agreement provides that the Company will receive 24 equal monthly settlement amounts as measured against a benchmark share price of
The Benchmark Price is a 2% discount to
If the measured share price (the "Measured Price"), calculated as the average volume weighted share price of the Company's Ordinary Shares over a period of 20 trading days prior to the monthly settlement date, exceeds the Benchmark Price, the Company will receive more than 100 per cent. of that monthly settlement due on a pro rata basis according to the excess of the Measured Price over the Benchmark Price. There is no upper limit placed on the additional proceeds receivable by the Company as part of the monthly settlements and the amount available in subsequent months is not affected. Should the Measured Price be below the Benchmark Price, the Company will receive less than 100 per cent. of the monthly settlement calculated on a pro rata basis and the Company will not be entitled to receive the shortfall at any later date.
For example, if on a monthly settlement date the calculated Measured Price exceeds the Benchmark Price by 10 per cent., the settlement on that monthly settlement date will be 110 per cent. of the amount due from Lanstead on that date. If on the monthly settlement date the calculated Measured Price is below the Benchmark Price by 10 per cent., the settlement on the monthly settlement date will be 90 per cent. of the amount due on that date. Each settlement as so calculated will be in final settlement of Lanstead's obligation on that settlement date.
Assuming the Measured Price equals the Benchmark Price on the date of each and every monthly settlement,
The Company will pay Lanstead's legal costs incurred in the Subscription and in entering into the Sharing Agreement and, in addition, has agreed to issue to Lanstead 1,328,290 Value Payment Shares.
In no event will fluctuations in the Company's share price result in any increase in the number of Subscription Shares issued by the Company or received by Lanstead. A decline in the Company's share price would not result in any advantage accruing to Lanstead and the Sharing Agreement allows both Lanstead and the Company to benefit from future share price appreciation.
Total Voting Rights
The Subscription will result in the issue of 27,893,490 Ordinary Shares, being 26,565,200 Subscription Shares and 1,328,290 Value Payment Shares. Following Admission the Company's enlarged issued share capital will comprise 167,360,920 Ordinary Shares with voting rights. The figure of 167,360,920 Ordinary Shares may therefore be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 ("MAR"). In addition, market soundings (as defined in MAR) were taken in respect of the Subscription with the result that certain persons became aware of inside information (as defined in MAR), as permitted by MAR. This inside information is set out in this Announcement. Therefore, those persons that received inside information in a market sounding are no longer in possession of such inside information relating to the Company and its securities.
For further information please contact:
|
This information is provided by RNS, the news service of the
The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of...
FOR OUR FULL DISCLAIMER CLICK HERE