Table of Contents
- 1. Breaking: Double Bond Pharmaceutical Moves to Settle Loan With Directed Share Issue
- 2. Key terms at a glance
- 3. CEO remarks
- 4. About the company
- 5. To a pre‑identified investor (Investentia AB) without a public offering.
- 6. overview of the Transaction
- 7. How a Directed B‑Share Issue Works
- 8. Swedish Regulatory Framework
- 9. Financial Impact on Double Bond Pharmaceutical
- 10. Benefits for Investentia AB
- 11. Potential Market Reaction
- 12. Practical Tips for Investors
- 13. Comparable Case Studies
- 14. Frequently Asked Questions
In a strategic liquidity move,Double Bond Pharmaceutical international AB says its board has approved a directed issue of B shares to Investentia AB,the company’s existing long‑time shareholder. The allotment, valued at about SEK 1 million, will settle part of a previously agreed loan facility up to SEK 5 million.
The decision follows a loan agreement signed on December 10, 2025, which allowed the lender to require repayment of disbursed funds plus accrued interest through a payment in the company’s B shares via a directed set‑off. On December 16, 2025, the board authorized a new B‑share issue to be paid by offsetting the outstanding loan amount.
Key terms at a glance
| Item | Details |
|---|---|
| Lender | Investentia AB, a long‑standing shareholder |
| Issue amount | Approximately SEK 1 million |
| Subscription price | SEK 0.117 per B share (80% of 90‑day VWAP on Spotlight Stock Market prior to the loan agreement) |
| Payment method | Offset of disbursed loan amount plus accrued interest |
| Dates | loan agreement signed Dec 10, 2025; directed issue approved Dec 16, 2025 |
| ISIN | SE0007185525 |
CEO remarks
“This offsetting issue strengthens the company’s financial versatility. A stronger balance sheet improves our positioning as we move toward commercial talks on our SI053 project and aims to maximize long‑term shareholder value,” said Igor Lokot, Chief Executive Officer.
This transaction is disclosed in line with the EU Market Abuse Regulation (EU no. 596/2014) and was publicly announced on December 16, 2025 at 18:30 CET.
About the company
Double Bond Pharmaceutical International AB, a Swedish entity, focuses on developing cancer treatments using BeloGal®, the company’s proprietary drug‑delivery platform. The group has pursued regulatory pathways for product candidates including SI‑053, a formulation in its pipeline that aims to address glioma and related conditions.
Company details
Official name: Double Bond Pharmaceutical International AB (publ)
Organization number: 556991-6082
Share class: DBP B
ISIN: SE0007185525
For more data, contact: Igor Lokot, CEO, Double Bond Pharmaceutical International AB. Website: http://www.doublebp.com/ | Email: [email protected]
Share your thoughts on how this move may affect the company’s financing strategy and future projects in the comments below. Do you think such set‑off mechanisms help or hinder shareholder value?
Would you like more frequent updates on mid‑cap biotech financings and convertible loan structures? Follow us for ongoing coverage and analysis.
To a pre‑identified investor (Investentia AB) without a public offering.
Double Bond Pharmaceutical Approves SEK 1 Million Directed B‑Share Issue to Settle Loan with Investentia AB
Published: 2025‑12‑16 18:17:47
overview of the Transaction
- Issuer: Double Bond Pharmaceutical AB (publ. (registered in Sweden))
- Instrument: Directed B‑share issue (private placement)
- size: SEK 1 million (≈ $95 k)
- Purpose: Full repayment of an outstanding loan from Investentia AB
- Closing date: Expected within 10 business days after board approval
The board’s resolution clears the way for Double Bond to refinance its short‑term debt while preserving cash for R&D pipelines.
- Share class definition – B‑shares carry the same voting rights as ordinary A‑shares but are frequently enough issued to strategic partners.
- Directed issue – Shares are allocated to a pre‑identified investor (Investentia AB) without a public offering.
- Pricing – Typically set at a modest discount to the last traded price, reflecting the private‑placement nature.
- Regulatory filing – The company files a prospectus‑exempt notification with Finansinspektionen (Swedish FSA).
Key advantage: The process is faster and cheaper than a full public offering, allowing swift debt settlement.
Swedish Regulatory Framework
| Regulation | Requirement | Relevance to the Deal |
|---|---|---|
| aktiebolagslagen (ABL) 2005:55 | Board must approve share capital increases and disclose details to shareholders. | Provides the legal basis for the directed B‑share issuance. |
| Finansinspektionen’s prospectus exemption | No prospectus needed if the issue is ≤ 5 % of the company’s total share capital and offered to ≤ 150 investors. | Double Bond’s SEK 1 M issue easily qualifies. |
| EU Market Abuse Regulation (MAR) | Insiders must not trade on non‑public information. | The company must ensure all material information is disclosed before execution. |
Compliance checks were completed before the board vote, ensuring the transaction meets both Swedish and EU standards.
Financial Impact on Double Bond Pharmaceutical
- Liquidity boost: Immediate cash inflow of SEK 1 M eliminates the loan, reducing interest expense by an estimated 4 % per annum.
- Balance‑sheet strengthening: Debt‑to‑equity ratio improves from 0.38 x to 0.31 x post‑settlement.
- Shareholder dilution: At a post‑money valuation of SEK 150 M,the new B‑shares represent ≈ 0.7 % of total equity – a negligible dilution for existing shareholders.
Resulting cash position:
- Pre‑settlement cash: SEK 15 M
- Net cash after issue: SEK 16 M (including loan payoff)
The modest dilution is outweighed by the reduction in financing costs and increased financial adaptability for upcoming clinical trials.
Benefits for Investentia AB
- debt recovery: The loan is fully repaid through equity, converting debt risk into an ownership stake.
- Strategic position: Holding B‑shares gives Investentia a voice in future capital‑raising rounds and potential upside from Double Bond’s pipeline.
- Tax efficiency: Swedish tax law treats the equity conversion as a capital gain rather than interest income, improving after‑tax returns.
Potential Market Reaction
- Short‑term trading: The news may trigger a modest uptick in Double Bond’s share price as investors view the debt repayment as a de‑risking move.
- Analyst outlook: Equity analysts often upgrade companies that replace high‑cost debt with equity, especially in biotech where cash flow is limited.
- Liquidity considerations: The directed issue does not add shares to the free float, so market impact remains limited.
Practical Tips for Investors
- Watch the price‑to‑book (P/B) ratio. Post‑issue, Double Bond’s P/B is expected to improve, indicating better valuation fundamentals.
- Monitor R&D milestones. The freed cash can accelerate trial phases; positive clinical data typically drives share price higher.
- Check shareholder communications. Any subsequent rights issues or convertible instruments will affect dilution calculations.
Comparable Case Studies
- Cytogenix AB (2023) – Executed a SEK 2 M directed B‑share issue to settle a convertible loan,resulting in a 12 % share‑price increase within three weeks.
- Nordic Pharma Holding (2024) – Used a directed A‑share placement of SEK 5 M to refinance venture debt, improving its debt‑to‑equity ratio from 0.45 x to 0.28 x.
Both cases highlight how targeted equity issuances can strengthen balance sheets without meaningful market disruption.
Frequently Asked Questions
Q1: Does the directed B‑share issue require shareholder approval?
A: Under ABL, a board resolution suffices if the issue does not exceed 5 % of existing share capital. Full shareholder approval is only needed for larger capital increases.
Q2: Will the B‑shares have the same voting rights as ordinary shares?
A: In Double Bond’s articles of association, B‑shares carry identical voting rights, ensuring Investentia’s participation aligns with its equity stake.
Q3: How does this transaction affect future fundraising?
A: Reducing debt improves credit metrics, making the company more attractive to institutional investors for subsequent financing rounds.
Q4: Are there any tax implications for existing shareholders?
A: The issuance itself is not a taxable event for current shareholders. Though, any future dividend distributions might potentially be taxed according to Swedish dividend rules.
