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OctoPlus Announces Successful Equity Raising of Eur 4 Million to Strengthen its Financial Position


12/18/2009 6:44:40 AM

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LEIDEN, NETHERLANDS-- OctoPlus N.V. announces today that it has successfully completed an equity raising of EUR 4.0 million through a private placement of ordinary shares with new and existing investors (the "Offering"). In addition, the Company has obtained a new credit facility of up to EUR 2.0 million. Following the completion of these financings the Company positions itself for a financially secure future as it continues to grow its drug delivery service business.

Simon Sturge, CEO of OctoPlus, says: "We are delighted to announce these financing activities that will enable OctoPlus to continue its strategic change into a service-based business and proceed towards profitability. This year has seen a number of changes for OctoPlus which have had a financial impact. We have opened a new production facility and have reorganised the Company in order to start off 2010 with a streamlined organisation. The new investors that have joined us show the expanding interest of the international investment community for OctoPlus as an investment opportunity. We look forward to building on our new service-based business model and eagerly await the top-line results for the ongoing Locteron study, which are expected to be released shortly."

Issuance of 3,232,106 new ordinary shares The issue price of the ordinary shares offered is EUR 1.25 per share (the "Offer Price"). As a result of the Offering, the total number of ordinary shares outstanding has increased to 33,435,432.

The Offering includes participations of new and existing investors from Europe and the United States. Approximately 60% of the investment in the Offering is made by new investors.

3,020,300 of the newly issued shares are expected to be admitted to listing and trading on Euronext Amsterdam by NYSE Euronext ("Euronext Amsterdam") on 21 December 2009. For the remaining shares a listing prospectus shall be published which will be prepared by the Company and requires approval from the Dutch Authority for the Financial Markets (Autoriteit Financile Markten). A request to admit these shares to listing and trading on Euronext Amsterdam will be made upon the publication of the listing prospectus.

All parties who participate in the Offering shall benefit from anti- dilution protection in line with that provided to investors in relation to OctoPlus' capital increase earlier this year. This requires the Company to issue additional shares to these investors at no additional consideration if during the period until 1 September 2010 it issues new shares below EUR 0.75.

Fortis Bank Nederland / MeesPierson Corporate Finance & Capital Markets acted as placement agent and financial advisor to OctoPlus in relation to the Offering.

New credit facility

In conjunction with the Offering, OctoPlus has obtained a new credit facility at more favourable conditions from Fortis Bank Nederland of up to EUR 2.0 million, which replaces the Company's existing credit facility.

Near term value driver is Locteron OctoPlus' license partner Biolex Therapeutics is currently executing a Phase IIb study with Locteron(?), the controlled release interferon alpha product that is based on OctoPlus' PolyActive(?) technology. Top-line results from this study are expected shortly and will be a major value driver for OctoPlus' controlled release drug delivery platform.

For further information, please contact: Rianne Roukema, Corporate Communications: telephone number +31 (71) 524 1071, e-mail IR@octoplus.nl.

About OctoPlus

OctoPlus is a drug delivery service company committed to the creation of improved pharmaceutical products that are based on OctoPlus' proprietary drug delivery technologies and have fewer side effects, improved patient convenience and a better efficacy/safety balance than existing therapies. OctoPlus focuses on the development of long-acting, controlled release versions of known protein therapeutics, other drugs, and vaccines on behalf of its clients.

The clinically most advanced product incorporating our technology is Biolex Therapeutics' lead product Locteron(?), a controlled release formulation of interferon alpha for the treatment of chronic hepatitis C. OctoPlus licensed Locteron exclusively to Biolex in October 2008. Locteron is being manufactured for Biolex by OctoPlus and is currently in Phase IIb clinical studies.

In addition, OctoPlus is a leading European provider of advanced drug formulation and clinical scale manufacturing services to the pharmaceutical and biotechnology industries, with a focus on difficult-to-formulate active pharmaceutical ingredients.

OctoPlus is listed on Euronext Amsterdam by NYSE Euronext under the symbol OCTO. For more information about OctoPlus, please visit our website www.octoplus.nl.

This announcement is not an offer to sell or a solicitation of any offer to buy the securities of OctoPlus (the "Securities") in the United States or in any other jurisdiction.

The Securities have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "Securities Act"), and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons (as such term is defined in Regulation S under the Securities Act) unless registered under the Securities Act or an exemption from such registration is available. No public offering of Securities of OctoPlus is being made in the United States.

This announcement does not constitute a prospectus. When made generally available, copies of the prospectus may be obtained at no cost through the website of Euronext Amsterdam and the website of the Authority for the Financial Markets.

This document may contain certain forward-looking statements relating to the business, financial performance and results of OctoPlus and the industry in which it operates. These statements are based on OctoPlus' current plans, estimates and projections, as well as its expectations of external conditions and events. In particular the words "expect," "anticipate," "predict, " "estimate," "project," "plan," "may," "should," "would," "will," "intend" "believe" and similar expressions are intended to identify forward-looking statements. We caution investors that a number of important factors, and the inherent risks and uncertainties that such statements involve, could cause actual results or outcomes to differ materially from those expressed in any forward-looking statements. In the event of any inconsistency between an English version and a Dutch version of this document, the English version will prevail over the Dutch version.

For further information, please contact: Rianne Roukema Corporate Communications telephone number +31 (71) 524 1071, e-mail Email Contact


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