• The purpose is to finance the Group’s growth through the acquisition of a pharmaceutical laboratory, increasing the integration in the value chain as well as its services portfolio to third parties and the number of international clients.
  • After the acquisition Bionaturis Group would have a global turnover over €8 Million in the year 2016, with an EBITDA’s operating margin about 30% and employing more than 60 workers, strengthening the Group’s industrial structure.
  • The Company carried out another capital increase operation last April 2014 for an amount worth of €3 Million with 76% of oversubscription.

Jerez, on June 2, 2015. The Alternative Equity Market (MAB) Governing Body has approved the Document of Capital Increase (Spanish DAM) presented by Bionaturis Group in order to formalize the capital increase operation authorized by its Board of Directors last May, 14 2015. This capital increase aims to stimulate the Company’s growth process by financing the acquisition of the entire capital share of a laboratory that manufactures exclusively to third parties (Contract Manufacturing Organization).

The capital increase, that retains the preferential subscription right, involves the issue of a maximum of up to 579,129 new shares, with the same class and rights, with a par value of €0,05 per share, and a share premium of €6,95 per share. Furthermore, it was agreed to offer the new shares at a ratio of 1 new share for every eight old, free of issue expenses.

Currently the Company has a share capital of €231,651,8 consisting of 4,633,036 shares with a par value of €0,05 per share.

If the increase fully subscribes, the final share capital will be €260,608,25, divided amongst 5,212,165 shares with a par value of €0,05 each one.

The new issued shares will trade in MAB as soon as possible once the registration, compensation and liquidation value system (Iberclear) have been registered, after closing the negotiation of the preferential subscription rights and discretionary assignment periods and, therefore, of the ending of the current capital increase.

This capital increase is the result of the authorization granted by the Bionaturis Ordinary General Shareholders Meeting held on June, 30 2014, in which, among other aspects, the Group’s Board of Directors was authorized to proceed increasing, once or several times, in a maximum of up to 50% of the issued capital.

With the funds obtained in the capital increase, Bionaturis Group seeks to diversify its international customer portfolio as well as to expand its biopharmaceutical products offering to third parties by integrating the complete manufacturing chain.

For Bionaturis Group’s Chief Executive Officer, Victor Infante, this new capital increase means “continue adding value to our shareholders as well as making a great leap when positioning ourselves as a biomedical reference Company, capable of integrating in its offer the complete development and manufacture of biotechnological products”. Likewise, this operation “aims to provide the Group with funds to continue our inorganic growth and international expansion plan”.

Laboratory buyout

Once the Due Diligence process has concluded, the capital increase main goal is the full acquisition of a Company dedicated to manufacture pharmaceutical products and dietetic food complements for third parties. The Laboratory facilities comply with Good Manufacturing Practices (GMP) and are certified by both the European Medicines Agency (EMA) and the US FDA (Food and Drug Administration).

In the last four audited fiscal years (2010-2013), this Company presented an average revenue of €6 Million, with an CAGR of 6,2% and, approximately, a 20% of operating margin, in the same period.

As a consequence of the new acquisition, the Bionaturis Group business evolution for the current year is expected to reach €5,1 Million, a 174% increase if compared with FY2014 audited closing.

These forecasts are fundamentally based on the recurrent revenues from the acquired company, consolidating from the purchasing closing date, as well as the rest of the Group’s companies recurring business evolution.

New Business Plan

The Bionaturis Board of Directors held last 31st March approved the Company’s Business Plan which presents the impacts derived from the acquisition of the new Company. The above mentioned Plan was already included in the Company’s 2014 Annual Report and implies a strengthening of the Group’s industrial structure.

In the mentioned guideline, it is foreseen that Bionaturis Group will have a consolidated turnover up to €8 Million in year 2016, with an EBITDA’s operating margin about 30% and a Group’s workforce over 60 employees.

In addition to the inorganic growth, the Company’s strategic guidelines and goals remain valid in the sense of increasing sales and the number of licenses granted to pharmaceutical and veterinary laboratories; positioning Bionaturis as an international benchmark in niche diseases and the development of recombinant vaccines; implementing its effective presence on the main biotechnological markets; acquiring skills for clinical advanced development of pharmaceutical and veterinary products and gaining in the standardization of FLYLIFE’s use as a biological drug manufacturing platform.

About Bionaturis Group

The Bionaturis Group offers cutting-edge biotechnological products and services for human and animal health. Considered an international benchmark in the vaccines research, Bionaturis Group closed last exercise with an increase of sales of 73% and a positive EBITDA of 29% compared to the previous year. The biotechnological Group which envisages a global access to health, is listed on the Spanish stock exchange for SMEs (ticker BNT).

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