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LUND, Sweden, Aug. 12, 2022 /PRNewswire/ — The final outcome in Cantargia AB’s (publ) (“Cantargia” or the “Company”) (Nasdaq Stockholm: CANTA) rights issue of approximately SEK 250 million (the “Rights Issue”), is that 63,929,030 shares, corresponding to approximately 95.7 percent of the offered shares, have been subscribed for with the support of subscription rights after the end of the subscription period on 10 August 2022. The remaining 2,866,128 shares were subscribed for without the support of subscription rights, corresponding to approximately 4.3 percent of the offered shares. The Rights Issue was significantly oversubscribed by 44 percent. Thus, the guarantee commitments will not be utilized. Cantargia will receive approximately SEK 250 million before the deduction of transaction costs through the Rights Issue.
This financing further enhances Cantargia’s financial position and enables us to continue developing the pipeline and to deliver additional milestone events. We are excited by the progress and recently published ASCO data on our lead program nadulinomab and look forward to providing further updates on nadunolimab and CAN10 as the projects progress. We are grateful for the demonstrable support of our existing shareholders and the significant interest shown from other investors, says Göran Forsberg, CEO of Cantargia.
The Rights Issue comprised a maximum of 66,795,158 shares, of which 63,929,030 shares, corresponding to approximately 95.7 percent of the offered shares, have been subscribed for with the support of subscription rights. The remaining 2,866,128 shares were subscribed for without the support of subscription rights, corresponding to approximately 4.3 percent of the offered shares. Together, subscriptions with the support of subscription rights and subscription applications without the support of subscription rights correspond to 144 percent of the offered shares in the Rights Issue. Thus, the guarantee commitments will not be utilized. Cantargia will receive approximately SEK 250 million before the deduction of transaction costs through the Rights Issue.
As a result of the fully subscribed Rights Issue, Cantargia’s share capital will increase by SEK 5,343,612.64 to SEK 13,359,031.60 and the number of shares and votes will increase by 66,795,158 to 166,987,895.
Those who have subscribed for shares without the support of subscription rights will be allotted shares in accordance with the principles set out in the prospectus published on 22 July 2022. Notice of allotment to the persons who have subscribed for shares without the support of subscription rights is expected to be distributed today, 12 August 2022. Subscribed and allotted shares must be paid for in cash in accordance with the instructions on the settlement note sent to the subscriber. Investors who have subscribed through a nominee will be notified of the allotment in accordance with their respective nominee’s procedures. Only those who have been allotted shares will be notified.
The last day for trading in paid subscribed shares (BTA) was on 11 August 2022. The new shares subscribed for with the support of subscription rights are expected to be registered with the Swedish Companies Registration Office around 16 August 2022 and expected to start trading on Nasdaq Stockholm as of 17 August 2022. The new shares subscribed for without the support of subscription rights are expected to be registered with the Swedish Companies Registration Office around 18 August 2022 and expected to start trading on Nasdaq Stockholm as of 26 August 2022.
Advisers
The Company has engaged Barclays Bank Ireland PLC and Carnegie Investment Bank AB (publ) as Joint Global Coordinators and Bookrunners in conjunction with the Rights Issue. Advokatfirman Vinge acted as legal counsel to the Company and Baker & McKenzie Advokatbyrå KB acted as legal counsel to the Joint Global Coordinators.
For further information, please contact:
Göran Forsberg, CEO
Mobile: +46 (0)46-275 62 60
-E-mail: goran.forsberg@cantargia.com
The information was submitted for publication, through the agency of the contact person set out above, at 08:00 CEST on 12 August 2022.
About Cantargia
Cantargia AB (publ), reg. no. 556791-6019, is a biotechnology company that develops antibody-based treatments for life-threatening diseases and has established a platform based on the protein IL1RAP, involved in a number of cancer forms and inflammatory diseases. The main project, the antibody nadunolimab, is being studied clinically in combination with chemotherapy or immune therapy with a primary focus on non-small cell lung cancer and pancreatic cancer. Positive interim data from the combination with chemotherapy indicate stronger efficacy than would be expected from chemotherapy alone. Cantargia’s second project, the antibody CAN10, addresses treatment of serious autoimmune/inflammatory diseases, with initial focus on systemic sclerosis and myocarditis.
Cantargia is listed on Nasdaq Stockholm (ticker: CANTA). More information about Cantargia is available at www.cantargia.com.
About nadunolimab (CAN04)
The antibody CAN04 binds strongly to its target IL1RAP and functions by inducing ADCC and blocking IL-1a and IL-1ß signaling. Thereby, CAN04 can counteract the contribution of the IL-1 system to the immune suppressive tumor microenvironment and development of resistance to chemotherapy. CAN04 is investigated in multiple ongoing clinical trials. In the phase I/IIa study CANFOUR, first line combination therapy is investigated with standard chemotherapies in patients with PDAC (gemcitabine/nab-paclitaxel) and patients with NSCLC (cisplatin/gemcitabine) (NCT03267316). Positive interim data for the combination therapies show durable responses in 73 patients with PDAC, resulting in median iPFS of 7.2 months and median survival of 12.7 months. Stronger efficacy was also observed in 30 NSCLC patients with median PFS of 6.8 months. A response rate of 53 percent was achieved, with even higher responses in non-squamous NSCLC patients previously treated with pembrolizumab. These results show stronger efficacy than expected from chemotherapy alone. CAN04 is investigated with chemotherapy also in the phase I study CAPAFOUR, with the FOLFIRINOX regimen for first line treatment of metastatic PDAC (NCT04990037), and in two further clinical studies, CESTAFOUR (NCT05116891) and TRIFOUR (NCT05181462), in additional forms of cancer, including biliary tract cancer, colorectal cancer and triple negative breast cancer. CAN04 is also evaluated with the immune checkpoint inhibitor pembrolizumab, with or without chemotherapy, in the phase I study CIRIFOUR (NCT04452214).
Important information
The information in this press release does not contain or constitute an offer to acquire, subscribe or otherwise trade with shares or other securities in Cantargia. No action has been taken and measures will not be taken to permit a public offering in any other jurisdictions besides Sweden.
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