The Board of Directors of ZignSec AB (publ) (the "Company" or "ZignSec") announces the outcome of the rights issue of shares with preferential rights for the existing shareholders, announced on 25 May 2022 (the "Rights Issue"). The Rights Issue was 110 percent subscribed for with and without the support of subscription rights. In total, 10,867,406 shares were subscribed for with the support of subscription rights, representing approximately 64 percent of the Rights Issue, and 7,772,605 shares were subscribed for without the support of subscription rights, representing approximately 46 percent of the Rights Issue. The over-allotment issue described in the prospectus published on 5 July 2022 (the "Prospectus") will not be exercised. ZignSec will thereby receive a total of approximately SEK 59.2 million before issue costs.

Outcome of the Rights Issue
The subscription period for the Rights Issue ended on 21 July 2022 and the outcome shows that the Rights Issue was subscribed to approximately 110 percent with and without subscription rights. In total, 10,867,406 shares were subscribed for with the support of subscription rights, corresponding to approximately 64 percent of the Rights Issue, and 7,772,605 shares were subscribed for without the support of subscription rights, corresponding to approximately 46 percent of the Rights Issue. The Rights Issue will raise approximately SEK 59.2 million before issue costs, which are expected to amount to approximately SEK 3 million. The proceeds of the issue will be used primarily to finance deferred payment to Web Shield Ltd, product development and expand the Company’s sales organization. The Board of Directors has decided not to use the over-allotment issue described in the Prospectus, whereby a total of 16,915,622 shares will be allotted.

Notification of the allocation of shares subscribed for without subscription rights will be sent to those who have been allocated shares in the form of a settlement note. Shareholders registered with a trustee will receive notification of allocation in accordance with the procedures of the respective trustee. Allotment of shares subscribed for without the support of subscription rights has been carried out in accordance with the principles set out in the Prospectus.

CEO Alex Noton comments:
I am happy and proud that we have managed to carry out a rights issue that was fully subscribed, without the need for any expensive solutions, such as underwriting commitments, in such turbulent times. The board and I would like to express a big thank you to everyone who has subscribed in the rights issue, and we promise in return to work hard to manage the trust in the best possible way with the goal of confidently creating long-term and lasting shareholder value.

Number of shares and share capital
After the Rights Issue has been registered with the Swedish Companies Registration Office, the total number of shares in the Company will increase by 16,915,622 and amount to 53,559,944. The share capital will increase by SEK 670,348 and amount to SEK 2,122,523 after registration.

Trading in BTA
Trading in paid subscribed Shares (“BTA”) on Nasdaq First North Growth Market will continue until the Swedish Companies Registration Office has registered the Rights Issue and BTA is converted to shares, which is expected to occur around week 32, 2022.

Trading in new shares
The new shares will be admitted for trading in connection with the conversion of BTA to shares taking place, which is expected to occur around week 32, 2022.

Advisor
Vator Securities AB is acting as financial advisor and Eversheds Sutherland Advokatbyrå AB is acting as legal advisor in connection with the Rights Issue. Vator Securities is also acting as Issuer Agent in connection with the Rights Issue.

For more information, please contact

Alex Noton, CEO
Tel: +44 7775 685
Alex.noton@zignsec.com

About ZignSec

ZignSec is a technology group in the fast-growing RegTech industry. The company provides SaaS platform with digital real-time solutions for customer due diligence and ID verification with global reach. The solutions are used by companies that in turn can optimize their processes for "onboarding" both corporate customers and consumers and at the same time ensure compliance with ever-changing local and global regulatory requirements for Know Your Customer (KYC) and Anti Money Laundering (AML).

Nasdaq First North Ticker Symbol: ZIGN

Certified Adviser: Eminova Fondkommission AB, Tel: +46 8 684 211 00

This information is information that ZignSec is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2022-07-27 17:00 CEST.

Attachments

ZignSec Announces Outcome of Rights Issue

© Modular Finance, source Nordic Press Releases