A3P Biomedical has successfully completed a Private Placement of SEK 400 million

May 5, 2022

A3P Biomedical AB (publ) (“A3P Biomedical” or the “Company”), a Swedish diagnostic company that specializes in advanced prostate cancer diagnostics, has successfully completed a private placement of shares (the “Private Placement”) of SEK 400 million to Stena Sessan AB, TomEqt Private AB (1), Flerie Invest AB, The Foundation for Baltic and East European Studies (Östersjöstiftelsen) and Inbox Capital (2). The purpose of the Private Placement is to finance the Company’s growth strategy and accelerate the commercialization of Stockholm3, as well as to broaden the investor base.

“We welcome the new shareholders in A3P Biomedical and are very happy and proud to have completed a successful private placement of SEK 400 million in a volatile financial market. It is a quality stamp which confirms the confidence in A3P Biomedical and our product Stockholm3. We now have the financial muscles needed to accelerate our global growth with the aim of generating long-term value both for society and our shareholders”, says David Rosén, CEO of A3P Biomedical.

The Board of Directors of A3P Biomedical has, with support from the authorization granted by the Annual General Meeting held on 22 June 2021, decided to complete a SEK 400 million private placement. The Board has also decided on a directed share issue to existing shareholders at a maximum value of approximately SEK 40 million, and further information will shortly be sent to the Company’s shareholders. The purpose of these share issues is to finance the Company’s growth strategy and accelerate the commercialization of Stockholm3 – a blood test for early detection of prostate cancer – as well as to broaden the shareholder base.

The Private Placement attracted strong interest and was subscribed by Stena Sessan AB, TomEqt Private AB (1), Flerie Invest AB, The Foundation for Baltic and East European Studies and Inbox Capital (2).

“We are impressed by the team at A3P Biomedical and Stockholm3 as a diagnostic test. We see significant potential in the opportunities to improve male health by early detection of prostate cancer – the second most common cancer among men – and look forward to being part of A3P Biomedical’s global growth journey”, says Thomas von Koch, owner, TomEqt Private AB.

“It is promising that the Stockholm3 test has already replaced PSA at leading Nordic prostate cancer clinics and, at the same time, can be cost-efficient for broader implementation in the European and US healthcare systems. We look forward to being part of A3P’s continued work within this important therapeutic area”, says Thomas Eldered, Flerie Invest AB.

“From what we can assess, A3P Biomedical has developed a unique diagnostic test, which with improved accuracy can detect prostate cancer in early stages compared to today’s more blunt testing methods. We are impressed by the clinical evidence behind Stockholm3 where data from more than 75,000 men has been included in studies and published in global, highly ranked scientific journals like The Lancet Oncology and European Urology”, says Mattias Klintemar, Investment Director, The Foundation for Baltic and East European Studies.

The Board has used the authorization by the annual general meeting to direct the first portion of the share issue to a few long-term shareholders with strong capital resources and extensive industrial experience which, for A3P Biomedical and thus for its shareholders, was considered to be the most favorable way of raising the desired capital. Concurrently, the Board has seen to the best interests of existing shareholders and decided on a directed share issue to them, in accordance with the existing shareholders’ agreement, as a complement to the Private Placement.

Advisers
Carnegie Investment Bank AB (publ) acted as sole financial adviser to A3P Biomedical. Advokatfirman Vinge KB acted as legal adviser to A3P Biomedical.

(1) Thomas von Koch and Christian Kinch via TomEqt Private AB, KinKon AB and KK Invest AB.
(2) Via Inbox Investment AB and Inbox Intressenter 5 AB.

About A3P Biomedical

A3P Biomedical is a company that specializes in advanced prostate cancer diagnostics. A3P’s main product, Stockholm3, is a clinically and commercially validated blood test for early detection and risk stratification of aggressive prostate cancer. A3P Biomedical is headquartered in Stockholm, Sweden. For more information, please visit www.a3p.com 

About Stockholm3

Stockholm3 is a blood-based test, that runs a combination of protein biomarkers, genetic biomarkers and clinical information through an algorithm to find the probability of clinically significant cancer at biopsy.

Stockholm3 has been evaluated in clinical studies including more than 90,000 men. It is extensively tested in large population-based screening trials, as well as in real world clinical utility studies in primary care, as a reflex test to PSA at values 1.5-20 ng/ml.  Benefits include the ability to reduce unnecessary MRIs, benign and Grade Group 1 prostate biopsies for men with elevated PSA, while simultaneously improving detection of clinically significant cancers in men with low or normal PSA values.  Using Stockholm3 leads to a more accurate risk assessment than the current PSA standard. Stockholm3 detects 40-90% more men with aggressive prostate cancer and, at the same time, reduces over-detection by 40-50% compared to PSA.

Multiple Stockholm3 studies have been published in high-impact journals such as The Lancet Oncology, Journal of Clinical Oncology, and European Urology. The studies address both the specificity and sensitivity of Stockholm3 in multi-ethnic populations as well as health-economic benefits of implementing it in clinical care. For more information about our clinical studies please visit www.a3p.com.

About prostate cancer

Prostate cancer is the most common cancer in men. In 2020, the global incidence of new prostate cancer cases was 1.4 million, and prostate cancer specific mortality 370,000. Global prostate cancer incidence and mortality is expected to rise by 100% and 85% respectively by 2040, driven by an ageing population.

Press contact:
Cecilia Edström
cecilia.edstrom@a3p.com
+46 72 226 2328