Formycon has recently terminated the subscription for its new corporate bond prematurely. This development was due to strong demand from investors and indicates a successful capital raising.
Convertible Bond until 2029
The bond issued by Formycon is designed as a convertible bond with a maturity until 2029. This capital measure has enabled the company to secure fresh capital. The high interest from investors allowed the offer to close faster than planned. The interest rate of the bond is in line with the current market level for small-cap issuers and reflects Formycon’s risk profile.
Positive Impacts on Formycon’s Projects and Financial Base
This capital is expected to provide positive impulses for the financing of ongoing and future corporate projects. Particularly in the context of success in North America and new distribution agreements, such as for the Eylea biosimilar in the USA and Canada, this will significantly strengthen Formycon’s financial base. For investors, this sends a positive signal, as it points to the confidence of institutional investors in the business model and growth opportunities of the biotech company.
- The subscription period of the bond was terminated early due to high demand.
- It is a convertible bond maturing in 2029.
- Strong institutional interest signals confidence in Formycon’s future.
- Fresh capital supports projects such as the distribution of biosimilars in North America.
- Positive effects on the financing structure and potentially also on stock price development are to be expected.
This development makes both the bond and the company particularly interesting for investors.