Schlieren (Zurich), Switzerland, December 12, 2018 - Kuros Biosciences (SIX: KURN) (the Company or Kuros) announces the results of the rights offering, first announced on November 29, 2018, in which a total of 8,013,306 new registered shares of Kuros sourced from the ordinary and authorized share capital with a nominal value of CHF 1.00 each were offered to Kuros' existing shareholders at an offer price of CHF 2.50 per share.
At expiration of the rights exercise period on December 12, 2018, 12.00 noon CET, subscription rights for 2,769,608 new registered shares were validly exercised, representing 34.6% of the new registered shares offered. 5,243,698 new registered shares for which subscription rights were not exercised will be offered in the share placement to eligible institutional investors or others.
The capital increase is expected to be implemented as previously announced, since the number of shares subscribed in the rights offering together with certain hard commitments from existing and new investors to subscribe additional shares in the share placement exceed the minimum CHF 8 million gross proceeds, which the Company requires to progress commercialization of MagnetOs bone graft substitute in the U.S. and selected geographies in Europe.
Offered shares in respect of which subscription rights have not been exercised will be available for sale in a share placement that shall occur from December 12, 2018, after close of trading, to December 13, 2018, after close of trading (the "Share Placement Period"). In order to prevent speculative trading that might affect the share price adversely for each of the potential investors, depending on such investors' respective investment case, the Company requested for the suspension of trading in its securities listed on the SIX Swiss Exchange on December 13, 2018 (i.e. during the Share Placement Period), which has been approved by the SIX Swiss Exchange. A suspension of trading on December 13, 2018 will ensure equal treatment of all shareholders during the Share Placement Period.
The final number of new registered shares issued, and the gross proceeds raised via the capital increase will depend on, inter alia, the number of shares subscribed amongst existing and new equity investors. The final number of offered shares and gross proceeds from the rights offering and share placement will be announced on December 13, 2018 after market close. If CHF 16 million of gross proceeds are raised in the capital increase, the phase 2 clinical study of the Company's proprietary fibrin-PTH (KUR-113) product in spinal fusion can continue as planned as otherwise it will have to be delayed. The listing and first day of trading of the new registered shares on the SIX Swiss Exchange and the delivery of the new registered shares against payment of the offer price are expected to take place on December 18, 2018.