Biotechnology company Hansa Biopharma intends to carry out a directed new issue of approximately 10 million ordinary shares through an accelerated bookbuilding process aimed at Swedish and international institutional investors. This is stated in a press release.

The work on the directed new share issue will be carried out by DNB Carnegie Investment Bank and Jefferies. The capital raised is expected to be sufficient to finance the readout of all key data points until 2026.

Hansa has also entered into a non-binding agreement in principle with Novaquest to restructure the financing agreement entered into and announced on July 18, 2022. The intention is that, in connection with the private placement and as a first step, Novaquest will settle a debt amount corresponding to USD 14.9 million of its total debt against payment for new shares in the company at the same price as in the private placement.

The agreement in principle also includes a number of other amendments to the existing financing agreement that are subject to further discussion, which would mean, among other things, that the total payments from Hansa to Novaquest will amount to a maximum of $150.5 million, instead of $140 million, but with revised and extended time-based catch-up payments without mandatory cash payments before June 2027 and the removal of payments related to regulatory approvals.