Biotech company announces private placement.
The private placement is directed towards to investors, subject to applicable exemptions from relevant registration, filing and prospectus requirements, and subject to other applicable selling restrictions.
Hofseth Biocare is a Norwegian producer of biomarine ingredients for human applications, such as fresh salmon oil and protein powder.
The offer price in the private placement is a fixed price of NOK 4 per share and the minimum application and allocation amount has been set to EUR 100,000.
The net proceeds of the private placement will be used for sales and marketing activities for future growth domestically and internationally of HBC’s wider products range, further studies demonstrating positive health effects of HBC’s various products, and the completion and successful implementation of the new spray-drying facility on Midsund, Western Norway.
The application period for the private placement opens today at 16:30 CEST and closes on 26 July 2019 at 16:00 CEST.
Furthermore, Roger Hofseth (CEO) has pre-committed to subscribe for shares for a total value of NOK 15 million (EUR 1.5 million) to be settled through conversion of debt.
The company has seen the stock market swell by a whopping 63 per cent over the past month. The board now clearly believes that it is time to capitalize on this.
Hofseth, before the share issue, had a market capitalization of around EUR 116 million.