Bavarian Nordic A/S is required to post this announcement on NASDAQ OMX. It is
not for distribution in the United States. Not for release, publication or
distribution in the United States, Canada, Australia or Japan
This announcement does not constitute an offer to sell or the solicitation of an
offer to buy the securities of Bavarian Nordic A/S (the "Securities") in the
United States or in any other jurisdiction. The Securities may not be offered or
sold in the United States absent registration or an exemption from registration
under the U.S. Securities Act of 1933, as amended. The issuer of the Securities
has not registered, and does not intend to register, any portion of the Offering
in the United States or in any jurisdiction outside Denmark and the United
Kingdom, and does not intend to conduct a public offering of the Securities in
the United States or in any other jurisdiction outside Denmark and the United
Kingdom. Copies of this announcement are not being made and may not be
distributed or sent into the United States, Canada, Australia or Japan.
This announcement is only being distributed to, and is only directed at, persons
in the United Kingdom that are qualified investors, as that term is defined in
the Prospectus Directive, that are also (i) "investment professionals" falling
within Article 19(5) of the Financial Service and Markets Act 2000 (Financial
Promotion) Order 2005 (the "Order") or (ii) "high net worth entities" and other
persons to whom it may lawfully be communicated, falling within the meaning of
Article 49(2)(a) to (d) of the Order (all such persons being "relevant
persons"). The securities of Bavarian Nordic A/S (the "Securities") are only
available to relevant persons and any invitation, offer or agreement to
subscribe, purchase or otherwise acquire such Securities will be engaged in only
with relevant persons. Any person who is not a relevant person should not act or
rely on this announcement or any of its content.
Kvistgård, Denmark, April 4, 2011 - Bavarian Nordic A/S (OMX: BAVA) has today
convened the Annual General Meeting to be held on April 26, 2011. In that
respect, the board has proposed to extend the current authorisation to increase
the Company's share capital with the purpose of carrying out a rights issue with
pre-emptive rights for existing shareholders.
As previously announced together with the publication of the 2010 Annual Report,
the Company has reviewed various options to fund the continued development of
PROSTVAC(®), in particular opportunities to pursue an independent development in
parallel with continuing the partnership discussions. Accordingly, the Company
has concluded a rights issue to be the most suitable approach.
The rights issue is expected to be completed in the first half of 2011, subject
to market conditions. The Company expects proceeds from the rights issue of
approximately DKK 650 million, which in combination with positive cash flow from
existing contracts for the Company's smallpox vaccine, IMVAMUNE(®), would, the
Company believes, enable the Company to pursue the independent development of
PROSTVAC(®), including the completion of the pivotal Phase 3 trial.
The total costs for completing the pivotal Phase 3 trial with PROSTVAC(®) are
estimated to be approximately DKK 850 million, including internal costs,
production of clinical trial material, contract research costs and validation of
the commercial manufacturing process.
In parallel with the initiation of Phase 3, the Company will continue its
discussions with potential partners among global pharmaceutical companies with
the aim of entering into a collaboration agreement on co-development and
commercialization of PROSTVAC(®).
Bavarian Nordic has engaged Carnegie, Jefferies International Limited and Nordea
Markets (Division of Nordea Bank Danmark A/S) as Joint Global Coordinators in
the Rights Issue.
Asger Aamund
Chairman of the Board
Contact
Anders Hedegaard, President & CEO. Phone +45 23 20 30 64
About Bavarian Nordic
Bavarian Nordic is a leading industrial biotechnology company developing and
producing novel vaccines for the treatment and prevention of life-threatening
diseases with a large unmet medical need. The company's clinical pipeline
targets cancer and infectious diseases, and includes seven development
programmes. Two programmes are under preparation for Phase III: PROSTVAC(®), a
therapeutic vaccine for advanced prostate cancer is being developed under a
collaboration agreement with the National Cancer Institute, and IMVAMUNE(®), a
third-generation smallpox vaccine is being developed under a contract with the
US government.
Bavarian Nordic is listed on NASDAQ OMX Copenhagen under the symbol BAVA.
For more information please visit www.bavarian-nordic.com
PROSTVAC(®) is a registered trademark in the U.S.
Forward-looking statements
This announcement includes "forward-looking statements" that involve risks,
uncertainties and other factors, many of which are outside of our control that
could cause actual results to differ materially from the results discussed in
the forward-looking statements. Forward-looking statements include statements
concerning our plans, objectives, goals, future events, performance and/or other
information that is not historical information. We undertake no obligation to
publicly update or revise forward-looking statements to reflect subsequent
events or circumstances after the date made, except as required by law.
[HUG#1502901]
