Rights Issue Material

Orexo launches underwritten rights issue of MSEK 250


The Board of Directors proposes a rights issue of approximately MSEK 250 with pre-emptive rights for existing shareholders and the holders of the company’s convertible bonds 2010/2015.

• The rights issue enables a faster and more forceful implementation of the new strategy by financing proprietary development programs until launch and hence increase shareholder value
• The value of Orexo’s proprietary development programs has increased following the positive outcome in clinical studies and contacts with regulatory authorities regarding the pain medicine OX51 and the addiction treatment OX219, as well as the overall development progress
• Novo A/S is lead investor and has undertaken to invest up to MSEK 125. HealthCap has arranged for its rights to be subscribed for by new investors
• Subscription undertakings and commitments to underwrite without compensation have been received for approximately 90 per cent of the total rights issue, among others from Abingworth which will become a new owner. The remaining part of the rights issue is guaranteed by an external party
• Four shares entitle to subscription for one new share at SEK 38, equivalent to a discount of 15.5  per cent. The subscription period is 9-23 June 2011
• Extraordinary General Meeting 27 May 2011 to approve the rights issue
• Conference call on May 4 at 11:30 a.m. CET