Crossject announced the preparation for a capital increase of approximately €5m, intended to meet the group’s needs until the Emergency Use Authorization is obtained. This amount could rise to €5.8m if the extension clause is exercised. This capital increase will provide management with flexibility for commercial and production activities related to this approval.
Crossject announced it is preparing a capital increase (beginning of June) with preferential subscription rights.
The transaction will be announced through a specific press release upon the decision to launch. In preparation, CROSSJECT will temporarily suspend the exercise of dilutive instruments, including warrants and convertible bonds (OCA). Gemmes Venture, holding approximately 26% of the group’s shares, has committed to subscribe to up to 75% of the capital increase. Another press release will detail the terms, conditions, and timetable of the transaction.
Approximately 60% of the funds will be allocated to the final development phases of ZEPIZURE and the initiation of production steps, including inventory build-up, prior to any reimbursement by the U.S. partner. The remaining 40% will finance R&D for other projects, ZENEO Adrenaline and ZENEO Hydrocortisone.
The issue is expected, given the cash burn of approximately €1 million monthly and the need to secure ZEPIZURE’s launch once the EUA is granted. We will adjust our projections to account for the anticipated dilution, estimated at around 7%, subject to the issue’s exact terms.
