Kuros Biosciences (SIX:KURN) today announced that it sold 1,151,606 new shares (excluding an over-allotment option of up to 200,000 shares) to existing and new investors at a price of CHF 12.50 per share. In total, Kuros raised gross proceeds of CHF 14.4 million (or CHF 16.9 million if the over-allotment option will be exercised in full). The new funds will fund Kuros’ commercial activities, in particular the market launch of novel products MagnetOS and Neuroseal as well as certain important activities for the ongoing Fibrin-PTH development programs.
The capital increase was conducted as an “at market” rights offering and an offering for shares, for which rights were not exercised. The new shares from the Company’s authorized capital were sold by way of a public offering in Switzerland and a private placement to qualified institutional investors outside of Switzerland in compliance with applicable securities laws. After completion of the transaction, the number of registered shares of Kuros will amount to 7,600,929, representing an 18 % increase of the issued share capital. As part of the offering, the Company has granted to Zürcher Kantonalbank an over-allotment option to purchase up to 200,000 additional newly-issued registered shares to cover over-allotments and for stabilization purposes.
“The new funds provide us with the financial resources needed to prepare for the commercialization of our approved products in the US and in Europe. The market launches for MagnetOs Granules and Neuroseal are expected for 2018. In addition, we are extending MagnetOs into new formulations and have recently submitted MagnetOs Putty for clearance in the US and expect a similar submission in the EU in the next months,” said Dr. Ivan Cohen-Tanugi, Chief Executive Officer of Kuros.
“We are very pleased with the rights take-up of existing shareholders and the broadening of our shareholderbase through the demand generated from new investors. The successful fund raising indicates sustained confidence and interest in our strategy, in the commercial and medical potential of our products as well as our team’s capabilities,” commented Harry Welten, Chief Financial Officer of Kuros.
The settlement and first day of trading of the newly issued shares is expected to be on July 3, 2017.
Zürcher Kantonalbank, goetzpartners and Octavian were acting as Joint Placement Agents for Kuros in the offering.