Promore Pharma AB intends to carry out a reverse acquisition of PMD Device Solutions AB - Seite 2

PMD develops and sells medical products for respiratory monitoring. Its primary product is RespiraSense, a solution used for monitoring respiratory rate to detect deterioration of a patient's general condition early and to avoid preventable respiratory failure and adverse patient outcomes. RespiraSense is, to the PMD's knowledge, the world's only continuous, motion-tolerant respiratory rate monitor delivering class-leading reliability in measuring respiratory rate. PMD Device Solutions AB received FDA approval for RespiraSense in 2022. RespiraSense is a novel technology and today used in 25 hospitals across United Kingdom and Ireland. PMD seeks to continue increasing its market share in the United Kingdom, with Germany and the United States to follow with initial market access activities.

PMD today generates over SEK 32 million of annual recurring revenue with gross margins of approximately 80 per cent and employs over 20 persons.

Description of the Transaction
Since spring 2023, Promore has faced a very challenging market situation with a low market value in relation to the Company's need for new investments. The company received the final results of the PHSU05 clinical trial, which showed that the treatment effect of Ensereptide was insufficient to justify further investments, which is why the board subsequently decided to discontinue this development project. This resulted in the Company's market value being greatly reduced. Furthermore, the financial markets have been unstable. In general, it has created a difficult climate for the Company to carry out public share issues, which would be needed to finance the continued development of the Company's main asset, the drug candidate Ropocamptide. Following a decision at an extraordinary general meeting held on 5 October 2023, Promore entered into voluntary liquidation with effect from 12 October 2023. In light of the proposed Transaction, the basis for the voluntary liquidation will no longer exist. Against this background, it will be proposed that the extraordinary general meeting in Promore to decide on the Transaction will also decide to terminate the voluntary liquidation process.