Implanet Announces a Commercial, Technological and Financial Partnership With Sanyou Medical, a Chinese Manufacturer of Medical Devices for Spine Surgery - Seite 2

Proposed capital increase with preferential subscription rights through the issue of shares with warrants, guaranteed up to €5 million by the partner Sanyou Medical

This technological and commercial partnership will be accompanied by an operation to raise capital of between €5 and 5.5 million for Implanet (excluding the possible exercise of an extension clause of up to 15%), paid in two equal tranches.

This financing will allow the Company to cover its anticipated cash flow needs for the next 12 months (the financial resources available to the Company, at the date of this press release, do not cover its projected 12-month needs), to finalize the globalization of its product offering for spine surgery with the development of a European range of hybrid fixation systems, and to finance the acceleration of its direct sales in the main European markets and in the United States, and the roll-out of the JAZZ platform in China, which is the world's leading potential market in terms of volume.

This operation will take the form of a capital increase via the issuance of shares with share subscription warrants with preemptive subscription rights maintained (the “rights issue”) open to all shareholders at a unit price of €0.28, issuance premium included, for an initial gross amount, before exercise of the attached share subscription warrants, of approximately €2.5 million to €2.75 million (issuance premium included).

The share subscription warrants attached to the new shares resulting from the rights issue may be exercised until March 31, 2023 at an exercise price of €0.32 per share. Their exercise will result in an additional capital increase of approximately €2.5 million to €2.75 million.

Sanyou Medical has pledged to subscribe, under certain conditions, to the shares with share subscription warrants not subscribed to on an irreducible basis and to subscribe to the attached share subscription warrants for a total of €5 million.

This issuance should take place no later than October 31, 2022 and following the fulfillment of certain standard conditions precedent, notably related to compliance with regulatory constraints and under the control of government authorities.

Sanyou Medical has requested to be appointed to the Board of Directors of the Company upon completion of its subscription. A General Meeting may be convened for this purpose.

Main characteristics of the capital increase

The shares with share subscription warrants would be offered at a price of €0.28 per share.

The newly issued shares would bear current dividend rights and may be traded on the Euronext Growth market in Paris. They would be listed on the same line as the Company’s existing shares (ISIN: FR0013470168) as soon as they are admitted to trading.