REG - Avacta Group PLC - Issue of Equity and Total Voting Rights

AvactaAnnouncement

21/01/2025 15:15

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RNS Number : 1685U  Avacta Group PLC  21 January 2025

Avacta Group plc

 

("Avacta" or the "Group" or the "Company")

 

Issue of Equity and Total Voting Rights

 

LONDON and PHILADELPHIA - Jan 21 2025 - Avacta Therapeutics (AIM:AVCT), a life
sciences company developing innovative, targeted oncology drugs, today
announces it has issued and allotted a total of 6,663,568 new ordinary shares
of 10 pence each in the Company ("New Ordinary Shares").

 

The New Ordinary Shares are being issued in settlement of the quarterly
principal of £2.55 million and interest repayment of £0.50 million in
respect of the Company's unsecured convertible bond.

 

After settlement of the quarterly repayment, the principal remaining under the
convertible bond will be reduced by £2.55 million to £28.05 million.

 

As communicated previously the Company originally issued the unsecured
convertible bond in October 2022 to fund the acquisition of a diagnostic
business, provide additional funding for a diagnostics roll-up strategy and
provide working capital for the Group.  More recently the Board has also
consistently communicated its strategy to become a pure play biotechnology
company and focus its resources on its drug development activities.
Maintaining an appropriate level of cash on the balance sheet is fundamental
for biotechnology companies at Avacta's stage of development.

 

The Board carefully considers each payment separately as it arises and took
the following additional factors into account when determining to settle this
quarterly payment via the issue of New Ordinary Shares: the stage of the
process to divest of the Group's Diagnostics Division (which continues to
progress) and shareholder dilution.

 

The Avacta management team and Board continue to explore all available
pathways to provide optionality for financing its clinical therapeutics
programs over the longer term, including divestment of the Diagnostics
Division, partnering, attracting global specialist biotechnology investors and
potentially a NASDAQ dual listing, on which further updates will be provided
in the coming months.

 

Application has been made to AIM for the admission to trading of the 6,663,568
New Ordinary Shares resulting from the conversion, which is expected to occur
at or around 8.00 am on 23 January 2025 ("Admission"). The New Ordinary Shares
will rank pari passu with the existing Ordinary Shares of the Company.

 

Following Admission, the Company's enlarged issued share capital will be
376,216,957. This figure may be used by shareholders in the Company as the
denominator for the calculations by which they will determine if they are
required to notify their interest in, or a change to their interest in, the
share capital of the Company under the Financial Conduct Authority's
Disclosure Guidance and Transparency Rules.

 

For further information from Avacta Group plc, please contact:

 

 Avacta Group plc                                           www.avacta.com (http://www.avacta.com/)

 Michael Vinegrad, Group Communications

 Director

 Peel Hunt (Nomad and Broker)

 James Steel / Chris Golden / Patrick Birkholm              www.peelhunt.com (http://www.peelhunt.com/)

 ICR Healthcare

 Mary-Jane Elliott / Jessica Hodgson / Stephanie Cuthbert   avacta@icrhealthcare.com (mailto:avacta@icrhealthcare.com)

 Investor Contact

 Renee Leck                                                 renee@thrustsc.com (mailto:renee@thrustsc.com)

 THRUST Strategic Communications

 Media Contact

 Carly Scaduto                                              Carly@carlyscadutoconsulting.com

                                                          (https://www.globenewswire.com/Tracker?data=YG-jwixFWaHByFwlhEr4NbVmhGc9YbrV0ozbiHY-33jDG-KDtaZDvqBLS4-5RgIi5zejtwvrLPO1U6xSYlV9BnK-dIegbuZft6wwj-ugstEWYrPDSrd9NwgKYBdm1l9Ty6VSa1gsRJqxeLaMfUN-easXzPVocBafm0xbzTKFahId-T7w4WgPYGYfKdFh6MGXNNniX0b0LrpQwjqHYj_mTmjerN3nRW6pwlbWejQ6wZCns0oke-U-WA7CB-Z2CD1ObedcWrqwKYgQwTY1NxAOLXtmHTL3VJ7HZ4Z3K9ZhB_2_vgbo4aKKTppE6l1bjU2w)
 Carly Scaduto Consulting

 

 

About Avacta - www.avacta.com (http://www.avacta.com/)

Avacta Therapeutics is a clinical-stage life sciences company expanding the
reach of highly potent cancer therapies with the pre|CISION(®) platform.
pre|CISION(®) is a proprietary warhead delivery system based on a
tumor-specific protease (fibroblast activation protein or FAP) that is
designed to concentrate highly potent warheads in the tumor microenvironment
while sparing normal tissues. Our innovative pipeline consists of
pre|CISION(®) peptide drug conjugates (PDC) or Affimer(®) drug conjugates
(AffDC) that leverage the tumor-specific release mechanism, providing unique
benefits over traditional antibody drug conjugates.

 

 

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