Ensurge Micropower ASA - Cancellation of Subsequent Offering
Ensurge Micropower ASA announced the cancellation of its Subsequent Offering due to declining share prices, which fell below the subscription price of NOK 2.00. Following a successful private placement on 8 November 2022 that raised around NOK 55 million, the share price has been trading around or below this threshold. The board decided this move was necessary as eligible shareholders could purchase shares at similar or lower prices in the market, thereby mitigating dilution concerns. The company remains focused on its core mission of developing innovative solid-state lithium microbatteries.
- Successful completion of private placement raising NOK 55 million.
- Subsequent Offering canceled due to share prices trading below the subscription price.
- Shareholder dilution concerns due to the lower market price.
Reference is made to the stock exchange announcement published on 8 November 2022 by Ensurge Micropower ASA ("Ensurge" or the "Company") announcing the successful completion of a private placement of new shares in the Company, with gross proceeds of approximately NOK 55 million (the "Private Placement"), and a potential subsequent offering of up to 7,500,000 new shares directed towards eligible shareholders (the "Subsequent Offering"), raising up to NOK 15,000,000.
As stated in the announcement on 8 November 2022, the Subsequent Offering was subject to, among other things, the prevailing market price of Ensurge’s shares being higher than NOK 2.00, i.e. the subscription price in the Subsequent Offering. Further, as resolved by the Company’s Extraordinary General Meeting on 1 December 2022, the Company’s Board of Directors are authorized to, at any time prior to completion, cancel the Subsequent Offering if applicable market terms provide grounds for such cancellation.
Following announcement of completion of the Private Placement, the shares in the Company have traded around or below the subscription price in the Private Placement with volumes exceeding the maximum size of the Subsequent Offering. Consequently, any shareholders wishing to reduce the dilutive effect of the Private Placement have had the opportunity to purchase shares in the Company in the market at prices similar to or below what would have been the subscription price in the Subsequent Offering.
The Company's Board of Directors has therefore decided to cancel the Subsequent Offering.
Contact
Ståle Bjørnstad - Investor Relations
E-mail: stale.bjornstad@ensurge.com
Phone: +47 99 16 76 72
Kevin Barber - Chief Executive Officer
E-mail: kevin.barber@ensurge.com
This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.
About Ensurge Micropower
Ensurge is Energizing Innovation (TM) with the first ultrathin, flexible, reliable, and fundamentally safe solid-state lithium microbattery for the 1-100 milliampere-hour (mAh) class of wearable devices, connected sensors, and beyond. The innovative Ensurge Microbattery enables energy-dense rechargeable products that are ideal for form-factor-constrained applications including hearables (hearing aids and wireless headphones), digital and health wearables, sports and fitness devices, and IoT sensor solutions that use energy harvesting to power everyday things. The company's state-of-the-art manufacturing facility, located in the heart of Silicon Valley, combines patented process technology and materials innovation with the scale of roll-to- roll production methods to bring the advantages of Ensurge technology to established and expanding markets.
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