GBC Research publishes Update on Successful Completion of SYGNIS AG Capital Increase
- Capital increase strengthens liquidity and finances further growth
- Break-even expected in 2014
- Buy rating and target price of € 4.35 per share confirmed
Madrid/Heidelberg, 31 October 2013 – SYGNIS AG (Frankfurt: LIO1; ISIN: DE000A1RFM03; Prime Standard segment of the German Stock Exchange), the DNA amplification and sequencing company, announced today that GBC Research, a German independent research house focusing on listed small, and midcap companies, has published a research update following the successful completion of the Company’s capital increase as of October 28, 2013.
With gross proceeds of EUR 2.7 million GBC sees the Company well financed to drive its operating business and further growth. The subscription price was € 2.65 per share. New shares that were not subscribed in the course of the rights offering by existing shareholders were offered to selected German and international institutional investors in a private placement at a purchase price equivalent to the subscription price. In the transaction 1,019,309 new shares were subscribed against cash.
GBC forecasts that the transaction provides the Company with the financial flexibility needed to further execute on its business plans and closes the gap to break-even expected in 2014.
GBC confirmed the target price valuation of € 4.35 per share. The fair value of the Company was determined on the basis of a DCF model, taking into account the capital increase (post money). GBC’s total valuation of the Company is now at EUR 45 million, an increase compared with the initial valuation in July of EUR 42.6 million. In light of the current price level of 2.71 (XETRA closing price on 28/10/2013), GBC also confirmed their BUY rating.
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