Company announcement, insider information, Helsinki, 18 December 2019 at 9.00 am (EET)

Nexstim Plc’s Board of Directors resolved on a directed share issue of approximately 141 thousand euro to Kreos Capital V (UK) Limited

The Board of Directors of Nexstim Plc (NXTMH:HEX, NXTMS:STO) ("Nexstim" or "Company") has resolved on a directed share issue in which in total 1,186,718 new shares of the Company are issued to Kreos Capital V (UK) Limited (”Kreos”) against a subscription price of EUR 0.119 per share on terms that the aggregate subscription price of such new shares EUR 141,219.44 shall be paid by setting-off the loan receivable of Kreos against the Company.

In accordance with a company announcement dated 13 September 2019, Kreos and the Company have on such date entered into an agreement regarding additional voluntary loan repayments. According to such agreement, Nexstim pays Kreos two additional voluntary capital repayments of approximately EUR 600 thousand, the first repayment in September 2019 and the second in November 2019. Both capital payments mentioned have been made to Kreos. In addition to these two capital repayments, Kreos and the Company have now agreed that early repayment fees in total of EUR 141,219.44 may be paid with shares of the Company.

There has been a weighty financial reason for the directed share issue as the partial repayment of the loan with shares and not in cash is justified based on the working capital needs of the Company, and the share issue will improve the balance sheet and financial conditions of the Company. The subscription price is based on the trade-weighted average price for the Company’s share in Nasdaq First North Growth Market Finland during the period of the last 20 days preceding the share issue resolution (18 November – 16 December 2019). The subscription prices of the shares shall be recorded into the fund for invested unrestricted equity.

Kreos has subscribed the new shares which will be registered with the Trade Register on or about 23 December 2019. The trading of the new shares registered will begin on or about 27 December 2019 in Nasdaq First North Growth Market Finland. Pursuant to the registration of the shares issued in the directed share issue with the Trade Register, the number of shares in the Company will be 62,786,630.

Commenting on the share issue, Martin Jamieson, CEO, Nexstim Plc stated: "We are pleased to receive this equity investment from our creditor Kreos. It symbolises their strong belief in the Nexstim therapy business growth strategy which is making good progress: A growing number of customers is trusting our unique TMS technology at a time when neurostimulation is gaining traction as a mainstream treatment modality.”

NEXSTIM PLC

Martin Jamieson, CEO

Further information is available on the website www.nexstim.com, or by contacting:

Martin Jamieson, CEO
+44 771 516 3942
martin.jamieson@nexstim.com

Sisu Partners Oy (Certified Adviser)
Jussi Majamaa
+ 358 40 842 4479
jussi.majamaa@sisupartners.com

About Nexstim Plc

Nexstim is a Finnish, globally operating medical technology company. Our mission is to enable personalized and effective therapies and diagnostics for challenging brain diseases and disorders.

Nexstim has developed a world-leading non-invasive brain stimulation technology called SmartFocus®. It is a navigated transcranial magnetic stimulation (nTMS) technology with highly sophisticated 3D navigation providing accurate and personalized targeting of the TMS to the specific area of the brain.

SmartFocus® technology is used in Nexstim’s proprietary Navigated Brain Therapy (NBT®) system, which is FDA cleared for marketing and commercial distribution for the treatment of major depressive disorder (MDD) in the United States. In Europe, the NBT® system is CE marked for the treatment of major depression and chronic neuropathic pain.

In addition, Nexstim is commercializing its SmartFocus® based Navigated Brain Stimulation (NBS) system for diagnostic applications. The NBS system is the only FDA cleared and CE marked navigated TMS system for pre-surgical mapping of the speech and motor cortices of the brain. Nexstim shares are listed on the Nasdaq First North Growth Market Finland and Nasdaq First North Growth Market Sweden.

For more information please visit www.nexstim.com

Attachment

• Nexstim Company Announcement_Kreos share issue_final_EN