Marinomed Biotech AG aims for financial reorganization by restructuring proceedings without self-administration

EQS-News: Marinomed Biotech AG / Key word(s): Insolvency/Restructure of Company Marinomed Biotech AG aims for financial reorganization by restructuring proceedings without self-administration 14.08.2024 / 09:17 CET/CEST The issuer is solely responsible for the content of this announcement.  Marinomed Biotech AG aims for financial reorganization by restructuring proceedings without self-administration

• Application for opening of restructuring proceedings
• Funds necessary to secure liquidity could not be raised as planned
• This step is intended to ensure the Company's continued existence in the long term in agreement with its creditors

Korneuburg, Austria, 14. August 2024 – Marinomed Biotech AG (VSE:MARI) is going to apply for the initiation of restructuring proceedings without self-administration at the Korneuburg regional court. The reason for the application is the inability to raise funds required at short notice to secure the Company’s liquidity and insolvency is imminent. Furthermore, revenue expectations for the 2024 financial year could not be realized as anticipated.

The aim of the proceedings is the implementation of a restructuring plan to sustainably secure the Company’s financial stability. For this purpose, besides restructuring measures, proceeds including from the realization of strategic options for the Carragelose business are intended to be used.

Despite intensive efforts, the currently threatening liquidity situation is caused by the inability to raise further funds on short notice. As announced, liquidity worsened due to a drop in revenues from the sale of Carragelose products and delays in concluding further partnerships for the Marinosolv products. Therefore, significant milestone payments have not been received.

“To restore the Company's financial stability, we have therefore decided to apply for restructuring proceedings. We see this as the best opportunity to create a sustainable basis for the continuation of the Company and the commercialization of our innovative products. The current financing situation has recently massively limited business activities“, Andreas Grassauer, CEO of Marinomed, says. “Applying for this procedure is currently the best option for the Company. It offers us the opportunity to improve the Company's financial situation and develop our assets at the same time. We are working hard to achieve a successful restart and to preserve the values created for all stakeholders. We are grateful for the trust placed in us.“