Sinch AB (publ)

Sinch completes a directed new share issue of 1,052,631 shares, raising approximately SEK 700 million

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Press Release

Stockholm 15 June 2020

Sinch completes a directed new share issue of 1,052,631 shares, raising approximately SEK 700 million

Stockholm, Sweden – Sinch AB (publ) – XSTO: SINCH

Sinch AB (publ) (“Sinch” or the “Company”) has in accordance with the Company’s press release earlier today on 15 June 2020 and based on the authorization granted by the annual general meeting on 15 May 2020, resolved on a directed new share issue of 1,052,631 new shares at a subscription price of SEK 665 per share, corresponding to a discount of 3.6 percent in relation to the closing price for the Company’s share on 15 June 2020. Through the new share issue, the Company will raise approximately SEK 700 million before issue costs. The subscription price has been determined through an accelerated bookbuilding process performed by Carnegie, Danske Bank and Handelsbanken Capital Markets (together, the “Joint Bookrunners”). The directed new share issue was significantly oversubscribed. A large number of Swedish and international institutional investors participated in the directed new share issue.

The directed new share issue

The board of directors of the Company has, based on the authorization granted by the annual general meeting on 15 May 2020, and in accordance with the Company’s press release earlier today on 15 June 2020, resolved on a directed new share issue.

The directed new share issue encompasses a total of 1,052,631 new shares. The subscription price in the directed new share issue was set at SEK 665 per share, and was determined through an accelerated book building process led by the Joint Bookrunners.

The directed new share issue generated a large interest and has been carried out to selected Swedish and international institutional investors. Through the directed new share issue, the Company will raise approximately SEK 700 million before issue costs.

The Company intends to mainly use the proceeds to increase the Company’s financial flexibility for new acquisitions. Earlier today on 15 June 2020, the Company announced the acquisition of ACL Mobile Limited, a leading provider of cloud communications services in India and Southeast Asia for a total cash consideration of SEK 655 million. Moreover, Sinch is continuously evaluating potential acquisitions. The increased financial flexibility that the share issue entails strengthens the Company’s position as a relevant and competitive buyer.