Orexo AB proposes SEK 250 million rights issue

Orexo AB, a Swedish pharmaceutical developer based in Uppsala, has announced a plan to conduct a rights issue of approximately SEK 250 million. The capital raise aims to strengthen the company's financial position and fund prioritized development activities, including the first pivotal clinical study for OX640, the development of OX390 and the AmorphOX platform, and the regulatory process for Izipry ahead of a potential FDA approval in early 2027.

The funds will also be used to cover the company's share of an expected settlement with the U.S. Department of Justice. Orexo has secured subscription commitments and underwriting guarantees covering up to approximately SEK 175 million, or about 70 percent of the total planned issue.

CEO Nikolaj Sørensen stated that the goal is to create conditions for partnerships for OX640 and Izipry to reduce the need for further external financing over time. The company believes the current plan provides sufficient funding for its business objectives over the next 12 months. Novo Holdings A/S has indicated it will not contribute new capital to this specific issue but has entered into a 180-day lock-up agreement.