Biophytis Announces New Cash Contribution and Debt Conversion up to u20ac8.6 million to Finance the Obesity Program
- Cash contribution of u20ac2.5 million from existing and new investors to finance the clinical development of BIO101 in obesity
- Conversion into equity of debt for up to u20ac6.1 million strengthening the balance sheet
Biophytis announces the completion of a refinancing transaction for a targeted total amount of u20ac8.6 million, allowing it to solidify its financial structure with the arrival of new investors and to launch the Phase 2 OBA study in the United States. This combined transaction is structured around a cash injection of u20ac2.5 million and a debt-to-equity conversion of a targeted u20ac6.1 million to strengthen the Company’s financial structure. Prior to completion of the transaction, the Companyu2019s board of directors decided to reduce the par value of the shares to EUR ten cents (EUR 0.10). The proceeds will be used to finance the obesity development program and find new pharmaceutical partners for BIO101 co-development.
Stanislas Veillet, CEO of Biophytis, states: u201cIu2019m pleased to announce that we have successfully completed this strategic financial transaction. This initiative marks a significant milestone in our ongoing efforts to strengthen our financial foundation and enhance our capacity for future development. This transaction would not have been possible without the commitment of longstanding financial partners and Iu2019m particularly proud to welcome new shareholders, who will consolidate our capital structure. We remain dedicated to leveraging these new financial resources to support our strategic initiatives: the clinical development of BIO101 in obesity and our business development activities to sign new partnerships with pharma companies in Asia.u201d
