Formycon AG / DE000A1EWVY8
29.01.2024 - 22:15:03Gedeon Richter becomes strategic investor of Formycon via equity investment
| Formycon AG / Key word(s): Capital Increase 29.01.2024 / 22:15 CET/CEST The issuer is solely responsible for the content of this announcement. Press Release // January 29, 2024 Already established trustful collaboration in contract development and manufacturing results in investment through takeover of 9.08% of shares via cash capital increase Gross-proceeds in the amount of EUR 82.84 million to maintain Formycon’s high development pace and operational progress Transaction opens up possibility of jointly leveraging long-term strategic opportunities across development, manufacturing and commercial value streams Munich, Germany/Budapest, Hungary – Formycon AG (FWB: FYB) (“Formycon”) today announced that Hungary based specialty pharmaceutical company Gedeon Richter Plc. (“Gedeon Richter“) becomes strategic investor via cash capital increase from authorized capital in the amount of 9.08% of Formycon’s share capital. Both companies are convinced of the huge potential of biosimilars and share the strategic proximity as well as the respective expertise in their fields of activity. The clear focus of Formycon as a leading dedicated and independent developer of biosimilars and the operating radius of Gedeon Richter as a major multinational company with core competences in research and manufacturing, combine complementary strengths under the same vision as both companies are highly driven to improve patient’s access to important biologic therapies. Based on the resolutions of Formycon’s Management Board and Supervisory Board, Gedeon Richter subscribed a cash capital increase of 9.08% in a private placement. The Company’s registered share capital will be increased by partially utilizing the authorized capital from currently EUR 16,053,025.00 by EUR 1,603,877.00 to EUR 17,656,902.00 by issuing 1,603,877 new no par-value bearer shares, each with a nominal value of EUR 1.00 of the share capital, against cash contribution. The placement price per new share is EUR 51.65 and represents the mean average value between today’s XETRA closing price and the volume-weighted average price of the shares over the last thirty trading days. Shareholders’ subscription rights for the new shares were excluded in accordance with § 4 (3) of the Articles of Association. Gedeon Richter will be subject to a customary lock-up obligation of 180 days. The total inflow of funds amounts to EUR 82.84 million and will be used primarily for the further development of Formycon‘s existing biosimilar pipeline, especially FYB206, FYB208 and FYB209. In addition, the start of FYB210, a new biosimilar candidate, is planned for second half of this year. “Robust supply and cost-competitive manufacturing are becoming increasingly important as a key component of the biosimilar value chain. Over the past few years, we have established a very trustful and successful operational cooperation with Gedeon Richter by utilizing their state-of-the-art manufacturing capabilities and I am very happy that we can enrich this partnership now even further. This transaction has the potential to generate strong momentum as it enables both parties to jointly leverage strategic long-term opportunities," comments Dr. Stefan Glombitza, CEO of Formycon AG. “From a financing perspective the cash funding secures the undamped simultaneous development of our competitive biosimilar candidates while adding a renowned collaboration partner as anchor investor who is clearly welcomed by our supervisory board and management board,” adds Enno Spillner, CFO of Formycon AG. “The capital increase announced today serves to reinforce our strategic partnership with Formycon, with the aim of broadening patient access to biological therapies globally. Joining forces in this way will provide scale benefits and new business opportunities for both parties, while ensuring mission critical knowledge and experience transfer in a fast-evolving industry,” adds Gábor Orbán, CEO of Gedeon Richter Plc. About Formycon: Formycon (Frankfurt Stock Exchange: FYB / ISIN: DE000A1EWVY8 / WKN: A1EWVY) is a leading, independent developer of high-quality biopharmaceutical medicines, especially biosimilars. The company focuses on treatments in ophthalmology, immunology and on other key chronic diseases, covering the entire value chain from technical development to clinical phase III as well as the preparation of dossiers for marketing approval. With its biosimilars, Formycon is making a major contribution towards providing as many patients as possible with access to vital and affordable medicines. With FYB201 Formycon already has one biosimilar on the market. Five more are currently in development. About Gedeon Richter: Gedeon Richter Plc. (www.gedeonrichter.com), headquartered in Budapest/Hungary, is a major pharmaceutical company in Central Eastern Europe, with an expanding direct presence in Western Europe, China, Latin America, and Australia. Having reached a market capitalization of EUR 3.9 billion (USD 4.1 billion) by the end of 2022, Richter's consolidated sales were approximately EUR 2.0 billion (USD 2.1 billion) during the same year. The product portfolio of Richter covers many important therapeutic areas, including Women's Healthcare, Central Nervous System, and Cardiovascular areas. Having the largest R&D unit in Central Eastern Europe, Richter's original research activity focuses on CNS disorders. With its widely acknowledged steroid chemistry expertise, Richter is a significant player in the Women's Healthcare field worldwide. Richter is also active in biosimilar product development. About Biosimilars: Since their introduction in the 1980s, biopharmaceuticals have revolutionized the treatment of serious diseases such as cancer, diabetes, rheumatoid arthritis, multiple sclerosis and eye diseases. In the coming years, many of these biotech drugs will lose their patent protection – and by 2025, medications with revenues of approximately USD 100 billion will be off patent. Biosimilars are follow-on versions of biopharmaceuticals, for which exclusivity has expired. They are approved via stringent regulatory pathways in highly regulated markets (such as EU, US, Japan, Canada, Australia) based on proven similarity of the biosimilar with the originator biopharmaceutical reference product. Currently, global sales of biosimilars are estimated at more than USD 15 billion. By 2030, analysts estimate that this figure could rise to over USD 74 billion. Contact: Sabrina Müller Director Investor Relations and Corporate Communications Formycon AG Fraunhoferstr. 15 82152 Martinsried/Planegg Germany phone +49 (0) 89 - 86 46 67 149 fax + 49 (0) 89 - 86 46 67 110 Sabrina.Mueller@formycon.com // www.formycon.com Disclaimer: This press release may contain forward-looking statements and information which are based on Formycon’s current expectations and certain assumptions. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, performance of the company, development of the products and the estimates given here. Such known and unknown risks and uncertainties comprise, among others, the research and development, the regulatory approval process, the timing of the actions of regulatory bodies and other governmental authorities, clinical results, changes in laws and regulations, product quality, patient safety, patent litigation, contractual risks and dependencies from third parties. With respect to pipeline products, Formycon AG does not provide any representation, warranties or any other guarantees that the products will receive the necessary regulatory approvals or that they will prove to be commercially exploitable and/or successful. Formycon AG assumes no obligation to update these forward-looking statements or to correct them in case of developments which differ from those anticipated. This document neither constitutes an offer to sell nor a solicitation of an offer to buy or subscribe for securities of Formycon AG. No public offering of securities of Formycon AG will be made nor is a public offering intended. This document and the information contained therein may not be distributed in or into the United States of America, Canada, Australia, Japan or any other jurisdictions, in which such offer or such solicitation would be prohibited. This document does not constitute an offer for the sale of securities in the United States. 29.01.2024 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The EQS Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.eqs-news.com |
| Language: | English |
| Company: | Formycon AG |
| Fraunhoferstraße 15 | |
| 82152 Planegg-Martinsried | |
| Germany | |
| Phone: | 089 864667 100 |
| Fax: | 089 864667 110 |
| Internet: | www.formycon.com |
| ISIN: | DE000A1EWVY8 |
| WKN: | A1EWVY |
| Indices: | Scale 30 |
| Listed: | Regulated Unofficial Market in Berlin, Dusseldorf, Frankfurt (Scale), Hamburg, Munich, Stuttgart, Tradegate Exchange |
| EQS News ID: | 1825491 |
| End of News | EQS News Service |
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