BioInvent implements a directed new share issue worth SEK 125 million and summons to an extraordinary shareholders' meeting

On 18 June 2007, BioInvent’s Board of Directors resolved to carry out a new share issue with deviation from the shareholders’ preferential rights

• The share issue raises about SEK 125 million before issue expenses
• The share issue is subscribed by four Swedish financial institutions
• The purpose of the offering is to widen the institutional ownership in the Company and to strengthen the Company’s financial position, thus ensuring continued development and increase in value of the project portfolio
• The extraordinary shareholders’ meeting is held on 5 July 2007 in order to approve the Board’s resolution to issue new shares

Background and purpose

The purpose of the resolution to issue new shares is to widen the institutional ownership in BioInvent and to strengthen the Company’s financial position, thus ensuring continued development and increase in value of the project portfolio. The infusion of capital will primarily be used to finance the continued development of the Company’s existing projects. The intention is also to strengthen BioInvent’s position in ongoing and future discussions with potential partners, thus giving the Company a greater freedom to decide at which point in time possible alliances shall be sought with established pharmaceutical companies. This increases the Company’s possibility to maximize the potential value in the project portfolio.

The Board’s resolution to issue new shares with deviation from the shareholders’ preferential rights

The Board’s resolution to issue new shares is subject to the approval of the extraordinary shareholders’ meeting on 5 July 2007. The share issue is subscribed by Nordea Fonder (2 990 000 shares), Tredje AP-fonden (2 770 000 shares), Catella Healthcare (1 725 000 shares) and Handelsbanken Fonder (1 015 000 shares). The issue price is set to 14.75 SEK, which means that the new issue will raise about SEK 125 million before issue expenses. The new issue results in an equity dilution of 15.3 percent and the issue price equals a discount of 1.3 percent based on the price paid before the resolution to issue new shares.

“BioInvent has today a broad research and development portfolio, consisting of three development projects in mature phase and a number of projects in early phase. We consider it an important confirmation of the potential in our project portfolio that four well-reputed institutional owners have chosen to take a substantial equity interest in the Company. A broader owner structure is important in our continued development as an antibody company. The raised funds also give us the opportunity to accelerate the development of a number of promising projects in our portfolio,” says Svein Mathisen, CEO of BioInvent.

For more information please refer to the prospectus for admission to trading which is estimated to be made public during week 28.

Notice to extraordinary shareholders’ meeting

The Board’s resolution to issue new shares is subject to the approval of the extraordinary shareholders’ meeting on 5 July 2007. For information regarding the notice, please refer to BioInvent’s website www.bioinvent.com .

Lage Jonason AB has been BioInvent’s financial advisor in connection with the directed new share issue.

Other

The new shares are expected to be subject to trade during week 29, at the latest.

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For more information please contact:

BioInvent International AB                     Northbank Communications

Svein Mathisen                                         Katja Stout, Director

President & CEO                                     Tel: +44 (0)20 7268 3002

Tel: +46 (0)46-286 85 67                         E-mail: bioinvent@northbankcommunications.com 

Mobile: +46 (0)708-97 82 13

E-mail: svein.mathisen@bioinvent.com 

Legal disclaimer
This press release contains statements about the future, consisting of subjective assumptions and forecasts for future scenarios. Predictions for the future only apply as of the date they are made and are, by their very nature, in the same way as research and development work in the biotech segment, associated with risk and uncertainty. With this in mind, the actual outcome may deviate significantly from the scenarios described in this press release.


Notes to editors:
BioInvent International AB, listed on The Nordic Exchange (OMXS:BINV), is a research-based pharmaceutical company that focuses on developing antibody drugs. The Company is currently running innovative drug projects within the areas of thrombosis, cancer, atherosclerosis and ophthalmic diseases. In January 2007 the Company announced a major strategic alliance with American-based Genentech, Inc. in the cardiovascular field.

These projects are based on a competitive and in substance patented technology platform. The scope and strength of this platform is also utilised by partners, such as ALK-Abelló, ImmunoGen, OrbusNeich, Sanofi-Aventis, Syngenta, UCB and XOMA.

The Company, which currently has 96 employees, is located at Ideon in Lund.

BioInvent International AB (publ)
Co. reg. No. 556537-7263,
Address: Sölvegatan 41
Mailing address: SE-223 70 LUND
Tel: +46 (0)46 286 85 50
info@bioinvent.com 
www.bioinvent.com