InCoax Networks AB (publ) (“InCoax” or the “Company”) intends to carry out a capitalisation through a directed issue of shares of at least SEK 35 million and further investigates the possibility of taking up debt financing of approximately SEK 30-50 million.
InCoax intends to carry out a directed issue of at least SEK 35 million. The directed issue would, by using the existing authorisation from the Annual General Meeting on May 17, 2018 and with deviation from the shareholders' preferential rights, be directed to a few selected investors. InCoax has commissioned Augment Partners AB to investigate the possibility for carrying out a directed issue. The capitalisation process will commence immediately and end before the opening of Nasdaq First North on March 18, 2019.
The subscription price for the shares and the total number of shares to be issued in the directed issue will be determined by the capitalisation process.
The capital injection from the directed issue will be used for the upcoming broad commercialisation of the Company's solution In:xtndTM and for working capital.
The reasons for the deviation from the shareholders' preferential rights are that the Company has a capital need and that a directed issue implies lower costs and a faster process, which together and with sufficient strength indicates that it is in the Company's and shareholders' interest to make an issue with deviation from the shareholders' preferential rights.
Following the completion of the capitalisation process, the Board of Directors of InCoax intends to decide on the directed share issue and the allocation of shares before the opening of the stock exchange on March 18, 2019. The directed issue requires a decision from the Board of Directors and the Board of Directors may choose to cancel the process or refrain from continuing with the capitalisation. A separate press release will be published after the completed process and pricing of the directed issue. The new shares will be admitted to trading on Nasdaq First North when they have been issued and registered. Payment for the newly issued shares will be paid in cash.
In addition, the Company has engaged an advisor to investigate the possibility for the Company to take up debt financing of approximately SEK 30-50 million. More information about a possible debt financing will be published separately.
Augment Partners AB is acting as financial advisor in connection with the capitalisation.
For more information, please contact:
Peter Carlsson, CEO, InCoax Networks AB
This information is such information as InCoax Networks AB (publ.) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out below, at 19:00 CET on March 15, 2019.
About InCoax Networks AB (publ.)
InCoax is innovating the future of broadband access. In:xtnd™ provides the next-generation smart and sustainable networking solutions to the world’s leading telecom and broadband service providers. For additional information about how we are saving the world from complicated, visit www.incoax.com. Augment Partners AB, tel. +46 8-505 651 72, firstname.lastname@example.org is acting as the Company ́s Certified Adviser.
Publication or distribution of this press release may in some jurisdictions be subject to statutory and legal restrictions and persons in those jurisdictions where this press release has been published or distributed should inform themselves about and observe such restrictions. The information in this press release does not constitute an offer to acquire, subscribe or otherwise trade in shares or other securities in InCoax.
This press release does not constitute an offer to acquire securities in the United States. The securities mentioned herein may not be sold in the United States without registration in accordance with the The Securities Act of 1933 or without the application of an exception to such registration. The information in this press release may not be released, published, reproduced or distributed in or to the United States, Australia, Canada, New Zealand, Hong Kong, Japan, Switzerland, Singapore, South Africa, or any other country or jurisdiction where such action is not permitted or such action is subject to legal restrictions or would require further registration or other measures than required by Swedish law. Measures contrary to this instruction may constitute a breach of applicable securities laws.
This press release is not a prospectus. InCoax has not authorised any offer of shares or rights to the public in any Member State of the EEA and no prospectus has been produced or will be produced in connection with the capitalisation.
This press release contains certain forward-looking statements that reflect the Company's current views on expectations of future events as well as financial and business development, including statements regarding the capitalisation and statements regarding guidance, planning, prospects and strategies. Words such as "referred", "estimated", "expected", "planned", “anticipated”, "can", and other expressions that imply indications or predictions of future developments or trends, and which are not the basis of historical facts, are forward information. Although InCoax believes that these statements are based on reasonable assumptions and expectations, the Company cannot guarantee that such forward-looking statements will be implemented. As these forward-looking statements include both known and unknown risks and uncertainties, real outcomes can differ substantially from what is stated in forward-looking information. Forward-looking statements in the press release only apply at the time of the press release and may change without notice. The Company makes no commitment to publish updates or revisions of forward-looking statements as a result of new information, future events or the like beyond what is required by applicable laws or stock market regulation.