Pharnext raises €15m without discount

By 24/01/2019June 4th, 2021No Comments

Pharnext, a biopharmaceutical company pioneering a new approach to developing innovative drug combinations based on genomic big data and artificial intelligence, today announced that it successfully closed a EUR15 million financing from CB Lux.

We thank our current shareholder CB Lux for its continued confidence in Pharnext, our unique platform and¬†SYNGILITY, our late-stage product, which is expressed by the size of this investment and the financial conditions“¬†said Professor Daniel Cohen, founder and CEO of Pharnext.

This funding will provide Pharnext with additional means to advance¬†SYNGILITY development¬†towards commercialisation for the treatment of Charcot-Marie-Tooth disease type 1A. Furthermore, this fundraising will improve the cash position and capital structure of Pharnext and may facilitate to consider subsequent financial transactions under favorable conditions, including (including non-dilutive operations such as licensing agreement, R&D collaboration or loan)”.¬†

Professor Daniel Cohen added: “CB Lux¬†¬†has matched with our aim to find a reactive investor offering a significant fundraising capacity and a price per share without any applicable discount. The financial structure of Pharnext has been reinforced by this investment.

Pharnext completed a private placement for gross quasi-equity of EUR15 million in the form of issuance of 1,020,408 new shares (the “Shares”).¬†

The Shares have been issued in accordance with the approval of the Board of Directors, implemented according to the twelfth resolution of the Shareholders’ Meeting on June 13, 2018 (the “Shareholders’ Meeting”) governed by the article L. 225-138 of the French Commercial Code (capital increase reserved for a category of beneficiaries), with preemptive subscription rights waived in favor of the company CB Lux. CB Lux, already a 21.12% shareholder in Pharnext prior to this operation, will own 27.29% of the issued capital after such funds are raised. The corporate governance of Pharnext will not change after this operation as CB Lux remains unrepresented on the Board of Directors.

The unit price of the Shares is equal to the weighted average market price of the three latest stock exchange sessions preceding the date of their issuance, ie EUR14.70 (including premium). The Shares will be entirely assimilated into Pharnext’s existing shares and will represent approximately only 7.83% of the number of outstanding shares post-fundraising.¬†

The main sharehoders of Pharnext,¬†will be, on a non-fully diluted basis : CB Lux (27.29%), Lohas, family office of M. Pierre Bastid (19.68%), funds managed by Truffle Capital (8.58%), M. Daniel Cohen (4.75%). Tasly, will hold 3.07% of the issued shares. To the knowledge of Pharnext, there are no existing shareholders’ agreements between such shareholders.

Pursuant to¬†Article 211-3 of the¬†Autorit√© des March√©s Financiers (“AMF”) General Regulation, it¬†should be noted¬†that the¬†above-mentioned¬†private placement¬†has not resulted or will not result in the drafting¬†of a prospectus submitted to the AMF for approval.

Source: www.marketscreener.com
Image: www.charcot-marie-toothnews.com