Oct 12, 2021

10/12/2021 | 04:22am EDT Message : Information from Lifecare - October 2021 Lifecare has successfully completed a private placement issuing new shares providing the company with NOK 26,3 million in gross proceeds. The price per offer share was set at market to NOK 1,70. The Lifecare Nanobiosensors MEMS & Sensor Research Laboratory in Reutingen (DE) is now operational and Lifecare has engaged Cambridge Consultants in Cambridge (UK) to produce new and improved test rigs for the Sencell sensor validation & evaluation laboratory in Mainz (DE). Lifecare has recently launched our new logo and webpage and published updated investor presentations. The Extraordinary General Meeting of Lifecare September 10th passed a resolution for a Board authorization for share capital increase. The last capital increase in Lifecare took place in June 2018 and was at the time expected to ensure the company's financial runway until 2H 2020. Lifecare engaged Carnegie AS as bookrunner and manager of a private placement to ensure proceeds necessary to finance the company's plans for continued research, development and clinical studies of the implantable sensor Sencell towards CE mark, as well as ensuring working capital and strengthening of the balance sheet to ensure flexibility and continued development of the company. Indicated level was 25-40 MNOK, with pre-commitments of 17,8 MNOK. The private placement was concluded on October 5th, 2021, after an accelerated book building process October 4th and 5th raising NOK 26,3 million in gross proceeds. The Lifecare Board of Directors decided to allocate new shares with a price per offer share at market NOK 1,70. During the accelerated book building the company received several offers for new shares at a price lower than NOK 1,70, which was rejected as the Lifecare Board of Directors prioritized to raise funds without compromising the existing shareholders financial interests in the company. Several of Lifecares existing investors participated in the private placement, including 6 of our top-10 investors subscribing for a significant part of the total proceeds. Lifecare will consider the need for an additional capital raise during 2022. On the operational side we are happy to report that Lifecare Nanobiosensors MEMS & Sensor Research Laboratory in Reutlingen (DE) became operational in September, led by Dr. Boris Stamm. Furthermore, to improve the scientific throughput and access to solid development-data Lifecare has recently reengaged Cambridge Consultants (Cambridge, UK) to manufacture new test rigs for in-vitro testing at the laboratory in Mainz (DE) responsible for the Sencell sensor validation & evaluation. The new test rigs will be engineered on the basis of sensors built by Cambridge Consultants used in our previous pre-clinical trials (animal testing). The essential improvements of the new sensor test rigs include possibilities for re-usability so that Lifecare effectively can test various chemical substrates on the sensors based on conclusions from University of Bath on detecting other analytes than glucose. Throughout 2021 we have refurbished Lifecares visual identity. Working closely with the communication agency Leidar we have identified cornerstones for Lifecares communication going forward. In terms of visual identity, we aim to communicate technology and caring, as well as medical presence, as the key benefits and attributes of Lifecare. We are very happy with our new logo and overall visual identity and encourage a visit at www.lifecare.no for a closer review. In addition to the visual refurbishment, we have also restructured our webpage to ensure an informative and interactive landing page for communication with key stakeholders, including owners and commercial and academic partners. September 23 Lifecare hosted a webcast from the premises of the University of Bath. The pdf-presentation from the webcast can be downloaded from our webpage at www.lifecare.no/reports/. Oslo Børs recently resolved to impose Lifecare a violation charge of NOK 100,000 for breach of the duty to immediately disclose inside information one year ago: October 5th, 2020, Lifecare announced to participate in a research project which was granted project funding from the EU Commision under the Horizon 2020 program. Lifecare opened a dialogue with Oslo Børs prior to the public announcement in October 2020. Based on the information from Lifecare prior to and after the public announcement in October 2020, Oslo Børs considered that the inside information had been brought to the market with a delay representing a breach of the duty to disclose inside information to the market immediately. Lifecare will accept the violation charge from Oslo Børs. Lifecare has adjusted the internal procedures and ensured organizational adaptations to counteract the potential for recurrence of similar unfortunate incidents. Attachments