SYGNIS secures up to € 10 Million through a 3 year Standby Equity Distribution Agreement with Yorkville
Heidelberg, 19 October 2009 – SYGNIS Pharma AG (Frankfurt: LIO; ISIN DE0005043509; Prime Standard), a clinical stage biotech company developing innovative CNS treatments, today announced that it has entered into a 3 year standby equity distribution agreement (SEDA) with YA Global Master SPV LTD (YA Global).
The agreement provides SYGNIS with the option to request YA Global, during the next 36 months, to subscribe for newly issued SYGNIS shares, from the company’s authorized capital, in tranches of up to € 500,000 each. The subscription price of the new shares will be determined at 95% of the lowest volume-weighted average price of one of the five trading days following the date of the relevant draw down notice.
The total value of this equity facility aggregates to up to € 10 million, provided that the aggregate number of shares issued to YA Global shall not exceed 9,9% of SYGNIS’ share capital. YA Global can either accumulate these shares or place them in the market. However, YA Global is committed not to short sell or enter into any hedging transactions related to particular company stock.