🇸🇪 Guard Therapeutics carries out a directed share issue of approximately SEK 60 million and intends to carry out a repair issue

June 19, 2024

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Guard Therapeutics, a biotech company on a mission to provide breakthrough treatment for patients with acute kidney injury,  has announced a directed share issue, raising approximately SEK 60 million through the issuance of new shares. Participating investors alongside Industrifonden include key existing shareholders such as Jan Ståhlberg, Swedbank Robur Funds, and Strand Kapitalförvaltning.

Guard Therapeutics investigational drug RMC-035 is being developed as a kidney protective treatment in connection with open heart surgery. The new financing will be used primarily to fund the study costs associated with the Phase 2 clinical trial (POINTER), with the goal of further determining the safety, efficacy and optimal dose of RMC-035 in patients undergoing open-heart surgery; and extension of the company’s cash position to support the implementation of the study.

“We are proud to support Tobias Agervald and his team in their important mission to provide a superior protective treatment for AKI. Based on the phase 2a data, we see significant potential in RMC-035. The planned Pointer phase 2b study is well designed to provide significant value to patients and shareholders”, says Fredrik Lehmann, Venture Partner at Industrifonden.

“We and our principal shareholders are very pleased to be able to complete this cost-effective capital raise that increases the Company’s financial flexibility and enables the start of the POINTER study according to plan. The support among our main shareholders, several of whom are increasing their ownership, is a sign of strength as the Company now moves on to the next phase of development. At the same time, we want to give all existing shareholders the opportunity to defend their ownership on the same terms in the planned repair issue”, says Johan Bygge, Chairman of the Board of Directors of Guard Therapeutics.

To compensate shareholders who did not participate in the directed issue, the board plans to propose a repair issue. Investors in the directed share issue have committed not to participate in the repair issue or transfer any subscription rights, ensuring other shareholders have the opportunity to mitigate dilution. However, participants in the directed issue have expressed interest in subscribing for shares without preferential rights in the repair issue. Major shareholders, collectively holding approximately 41.1 percent of Guard Therapeutics’ shares and votes, have committed or expressed their intention to vote in favor of authorizing the board to issue shares in the repair issue at the upcoming EGM.

Originally published on 18 June by Industri Fonden.

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