Formycon, a leading biotechnology company, has recently issued a successful convertible bond and raised 50 million euros. Due to strong demand, the subscription period was ended early. The bond has a term from 2025 to 2029 and offers a variable interest rate structured as the 3-month EURIBOR plus a margin of 7.0% to 7.5% per annum. Interest payments will be made quarterly, providing investors with attractive yield opportunities.
Issuance Details
The convertible bond was structured as a Nordic Bond under Norwegian law and will initially be traded on the over-the-counter market of the Frankfurt Stock Exchange. A listing on the Euronext ABM of the Oslo Stock Exchange is planned within six months. The original subscription phase from June 18 to June 27, 2025, was shortened due to high demand, reflecting substantial investor interest.
Strategic Importance for Formycon
With this fresh capital, Formycon plans to expand and further develop its biosimilar portfolio. This is a strategically important step, as cost pressures on healthcare systems are rising globally, and biosimilars offer a cost-effective alternative. This capital measure is expected to support the company’s growth strategy in the long term.
In summary, it can be said:
- Issuer: Formycon AG
- Volume: up to 50 million euros
- Term: four years (2025–2029)
- Interest Rate: variable (3M Euribor + 7.0–7.5 % per annum)
- Purpose: financing growth and expanding the biosimilar portfolio
- High demand led to early end of the subscription period
- Listing planned in Frankfurt OTC and Oslo Euronext ABM
The successful issuance of the convertible bond underscores investor confidence in Formycon’s business model and growth opportunities in the biotech sector.