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Faron Pharmaceuticals OyAnnouncement

06/11/2023 07:00

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RNS Number : 4144S  Faron Pharmaceuticals Oy  06 November 2023

Faron Pharmaceuticals Ltd.

("Faron or Company")

 

 

The Board of Directors of Faron Has Resolved on a Warrant Program and an
Issuance of 319,944 Warrants to IPF Partners

 

Company announcement, February 28, 2022 - 07:45 PM (EET) / 05:45 PM (GMT) /
12:45 PM (EST)

 

TURKU, FINLAND / BOSTON, MA - Faron Pharmaceuticals Ltd. (AIM: FARN, First
North: FARON), a clinical stage biopharmaceutical company focused on building
the future of immunotherapy by harnessing the power of the immune system to
tackle cancer and inflammation, announced today, February 28, 2022, that it
had entered into a secured debt agreement (the "Funding Agreement") with IPF
Partners ("IPF"). As part of the arrangement relating to the Funding
Agreement, Faron has committed to granting IPF special rights entitling them
to subscribe for ordinary shares of the Company against payment ("Warrants").

 

In accordance with the Funding Agreement, the Board of Directors of the
Company has on Monday February 28 2022, based on an authorization granted to
the Board by shareholders at the Company's Annual General Meeting held on
April 23, 2021, resolved upon a warrant program directed to IPF. Pursuant to
the warrant program, the Warrants are issued without consideration. The
Warrants are issued as a part of Funding Agreement and therefore, from the
Company's point of view, there is a weighty financial reason for the program
and the issuance of Warrants thereunder.

 

Pursuant to the warrant program, the Warrants are issued at the date of each
drawdown under the Funding Agreement. The maximum total number of warrants to
be granted under the current warrant program agreed on Monday February 28,
2022 is 600,000, under the authorization granted to the Board by shareholders
at the Company's Annual General Meeting held on April 23, 2021. Each warrant
entitles its holder to subscribe for one new share in the Company. The
subscription price per share on the basis of the Warrants will equal the
30-day volume-weighted average price of an ordinary share of Faron on the
Nasdaq Helsinki First North exchange immediately preceding the drawdown date
of the respective tranche. The Warrants may be exercised for a period of seven
years following the drawdown of each tranche under the Funding Agreement,
except for the first drawdown, for which the subscription period will commence
on March 25, 2022 and end on the date falling seven years after such date. The
terms and conditions of the Warrants will be available on the Company's
website at: https://www.faron.com/investors/aim-rule-26
(https://www.faron.com/investors/aim-rule-26) .

 

As announced on Monday February 28, 2022 , the Company has pursuant to the
warrant program resolved to issue 319,944 Warrants to IPF in relation to the
first tranche utilized on Monday, February 28, 2022. The subscription price
per share with respect to Warrants issued in respect of the drawdown of the
first tranche is, in accordance with the above, EUR 3.126 per share (subject
to adjustment in accordance with the terms and conditions of the Warrants).

 

 

For more information please contact:

 

Media / Investor Contact

Faron Pharmaceuticals

Eric Van Zanten

Head of Communications

eric.vanzanten@faron.com (mailto:Eric.vanzanten@faron.com)

Investor.relations@faron.com (mailto:Investor.relations@faron.com)

Phone: +1 (610) 529-6219

 

Cairn Financial Advisers LLP, Nomad

Sandy Jamieson, Jo Turner

Phone: +44 (0) 207 213 0880

 

Peel Hunt LLP, Broker

Christopher Golden, James Steel

Phone: +44 (0) 20 7418 8900

 

Sisu Partners Oy, Certified Adviser on Nasdaq First North

Juha Karttunen

Phone: +358 (0)40 555 4727

Jukka Järvelä

Phone: +358 (0)50 553 8990

 

Consilium Strategic Communications

Mary-Jane Elliott, David Daley, Lindsey Neville

faron@consilium-comms.com (mailto:faron@consilium-comms.com)

Phone: +44 (0)20 3709 5700

 

About Faron Pharmaceuticals Ltd

Faron (AIM: FARN, First North: FARON) is a clinical stage biopharmaceutical
company developing novel treatments for medical conditions with significant
unmet needs caused by dysfunction of our immune system. The Company currently
has a pipeline based on the receptors involved in regulation of immune
response in oncology, organ damage and bone marrow regeneration. Bexmarilimab,
a novel anti-Clever-1 humanized antibody, is its investigative precision
immunotherapy with the potential to provide permanent immune stimulation for
difficult-to-treat cancers through targeting myeloid function. Currently in
Phase I/II clinical development as a potential therapy for patients with
untreatable solid tumors, bexmarilimab has potential as a single-agent therapy
or in combination with other standard treatments including immune checkpoint
molecules. Traumakine is an investigational intravenous (IV) interferon
beta-1a therapy for the treatment of acute respiratory distress syndrome
(ARDS) and other ischemic or hyperinflammatory conditions. Traumakine is
currently being evaluated in global trials as a potential treatment for
hospitalized patients with COVID-19 and with the 59th Medical Wing of the US
Air Force and the US Department of Defense for the prevention of multiple
organ dysfunction syndrome (MODS) after ischemia-reperfusion injury caused by
a major trauma.  Faron is based in Turku, Finland. Further information is
available at www.faron.com (http://www.faron.com) .

 

Forward Looking Statements

Certain statements in this announcement, are, or may be deemed to be, forward
looking statements. Forward looking statements are identified by their use of
terms and phrases such as ''believe'', ''could'', "should", "expect", "hope",
"seek", ''envisage'', ''estimate'', ''intend'', ''may'', ''plan'',
''potentially'', ''will'' or the negative of those, variations or comparable
expressions, including references to assumptions. These forward-looking
statements are not based on historical facts but rather on the Directors'
current expectations and assumptions regarding the Company's future growth,
results of operations, performance, future capital and other expenditures
(including the amount, nature and sources of funding thereof), competitive
advantages, business prospects and opportunities. Such forward looking
statements reflect the Directors' current beliefs and assumptions and are
based on information currently available to the Directors.

 

A number of factors could cause actual results to differ materially from the
results and expectations discussed in the forward-looking statements, many of
which are beyond the control of the Company. In particular, the early data
from initial patients in the MATINS trial may not be replicated in larger
patient numbers and the outcome of clinical trials may not be favourable or
clinical trials over and above those currently planned may be required before
the Company is able to apply for marketing approval for a product.  In
addition,  other factors which could cause actual results to differ
materially include the ability of the Company to successfully licence its
programmes within the anticipated timeframe or at all, risks associated with
vulnerability to general economic and business conditions, competition,
environmental and other regulatory changes, actions by governmental
authorities, the availability of capital markets or other sources of funding,
reliance on key personnel, uninsured and underinsured losses and other
factors.  Although any forward-looking statements contained in this
announcement are based upon what the Directors believe to be reasonable
assumptions, the Company cannot assure investors that actual results will be
consistent with such forward looking statements. Accordingly, readers are
cautioned not to place undue reliance on forward looking statements. Subject
to any continuing obligations under applicable law or any relevant AIM Rule
requirements, in providing this information the Company does not undertake any
obligation to publicly update or revise any of the forward-looking statements
or to advise of any change in events, conditions or circumstances on which any
such statement is based.

 

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