BBS-Bioactive Bone Substitutes Plc, company release, inside information, 30 September 2021 at 17:45 EET
BBS-Bioactive Bone Substitutes Plc has agreed on a capital facility to strengthen the company's working capital – further enables the CE marking application
BBS-Bioactive Bone Substitutes Plc (the “Company”) has today entered into an investment agreement with RiverFort Global Opportunities PCC Ltd (the “Noteholder”) for a capital facility of up to EUR 2,000,000 with an initial advance of EUR 750,000. The facility was arranged by a London-based RiverFort Global Capital Limited.
The Board of Directors believes that the Initial Advance and the terms of the Investment Agreement strengthen the Company's working capital position and support the Company's objective of submitting the CE marking application to the authorities. The facility provided by the Investment Agreement is part of the Company's planned larger financing arrangement, which was announced in the half-year financial report.
In addition to the Initial Advance, the Company can request further capital advances up to an aggregate of EUR 1,250,000 additional principal.
Key commercial terms and conditions include:
The Company's Board of Directors has decided on 30 September 2021 to issue 410,000 shares without consideration to the Company itself for the payment of the implementation fee, for potential loan conversions as well as for other possible purposes, in accordance with authorisation from the Annual General Shareholders Meeting in 28 April, 2021.
Managing Director Ilkka Kangasniemi:
"The financing agreed with RiverFort Global Capital Ltd is an important step for our company and enables us to continue the completion of the CE marking application and to ensure our operations are on the required level. As a part of this, we are currently recruiting both operational employees and management for production, in preparation for the beginning of the production phase once we will receive the necessary markings, as well as to ensure adequate resourcing as required by the quality system. The secured funding and the ongoing recruitment process are part of our determined efforts to enable the product to be commercialised and sales to be initiated. We know exactly what remains to be done, and no significant new factors have emerged which should further slow us down as we prepare to submit the application. That said, due to the uncertainties related to the timing of the implementation of the remaining final steps, we will not give a precise estimate at this stage on the schedule for the submission of the CE marking application.'
Gytis Martinkus, CEO of RiverFort Global Capital Limited
“I was impressed by BBS’s management team’s vision and the strategy with respect to their sector. They are clearly committed to the development and manufacturing of easy and ready-to-use osteopromotive bone substitute implants, but this of course is a capital intensive exercise to obtain the necessary CE marking. I believe this facility from RiverFort enables BBS to reach that goal and leaves them well positioned to further developing and marketing their unique bioactive implants to offer financial and clinical benefits in the treatment of patients.”.
Aalto Capital Oy acted as financial advisor to the Company.
For more information, please contact:
Ilkka Kangasniemi, CEO,+358 40 7080307,
Certified Advisor: Nordic Certified Adviser AB,+46 70 551 67 29,
DISTRIBUTION:Nasdaq Helsinki OyNasdaq Stockholm ABCentric media
This is information that BBS-Bioactive Bone Substitutes Plc is obliged to disclose in accordance with the EU Market Abuse Regulation. The information was submitted for publication through a representative of the afore mentioned contact person on 30 September 2021 at 17:45 (UTC+2:00).
BBS-Bioactive Bone Substitutes is a health technology company that started operations in 2003. We have developed a new product for the treatment of severe bone fractures and lumber problems. Our goal is to provide a new generation of medical products for the treatment of bone damage in orthopaedic surgery. In the pharmaceutical sector, development and research requires perseverance and courage to develop new things. We have evidence of this for over 20 years. Our activities are characterised by top expertise, innovation and employees who are enthusiastic and committed to their work. The ARTEBONE ® in the final stages of product development, and we are looking for a CE marking that enables commercialisation in the EU. We are a company in Oulu with a pharmaceutical factory permit in Reisjärvi. More information: www.bbs-artebone.fi
BBS-Bioactive Bone Substitutes Oyj:n shares have been listed in Nasdaq First North Growth Market Finland and Nasdaq First North Growth Market Sweden.