aXichem announces outcome of the rights issue

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aXichem AB (publ) (“aXichem” or the “Company”) today announces the outcome of the rights issue of shares and warrants (“Units”), announced on February 1, 2024, with the last day for subscription on March 25, 2024 (the “Rights Issue”). A total of 2,701,257 Units, corresponding to approximately 50,3 percent of the Rights Issue, were subscribed for by exercise of unit rights. In addition, 14,182 Units were subscribed for without unit rights, corresponding to approximately 0,3 percent of the Rights Issue. Finally, 1,046,419 Units were subscribed for based on the guarantee commitments entered, corresponding to approximately 19.5 percent of the Rights Issue. Accordingly, a total of 3,761,858 Units were subscribed for and the Rights Issue was thus subscribed to 70 percent. Through the Rights Issue, aXichem will receive issue proceeds of approximately SEK 28.2 million before issue costs.

Outcome

2,701,257 Units, corresponding to approximately 50.3 percent of the Rights Issue, were subscribed for by exercise of unit rights. In addition, 14,182 Units were subscribed for without unit rights, corresponding to approximately 0.3 percent of the Rights Issue. 1,046,419 Units, corresponding to approximately 19.5 percent of the Rights Issue, were subscribed for by guarantors who entered guarantee commitments in connection with the Rights Issue. The Rights Issue was thus subscribed to 70 percent and aXichem will receive issue proceeds of approximately SEK 28.2 million before issue costs.

Allocation notice

Those who have subscribed for Units without unit rights will be allocated Units in accordance with the allotment principles set out in the prospectus prepared in connection with the Rights Issue and which was published by the Company on March 8, 2024. Notice of allocation to the persons who subscribed for Units without unit rights is expected to be distributed on 27 March 2024. Subscribed and allotted Units shall be paid in cash in accordance with the instructions on the settlement note. Investors who have subscribed through a trustee will receive notice of allotment in accordance with their respective trustee's procedures. Only those who have been allotted Units will be notified.

Trading in BTU

Trading in paid subscribed units (“BTU”) is currently conducted on Nasdaq First North Growth Market and will end when the Rights Issue has been registered with the Swedish Companies Registration Office. Registration with the Swedish Companies Registration Office is expected to take place around week 15, 2024. BTU will then be converted into shares and warrants of series TO1A.

Number of shares and share capital

Through the Rights Issue, the number of shares in aXichem increases by 18,809,290, from 21,496,325 to 40,305,615 and the share capital increases by 3,761,858 SEK, from SEK 4,299,265 to 8,061,123 SEK. Upon full exercise of the warrants of series TO1A issued in connection with the Rights Issue, the number of shares will increase additionally by 18,809,290, from 40,305,615 to 59,114,905, and the share capital will increase by 3,761,858 SEK, from 8,061,123 SEK to 11,822,981 SEK.

Financial advisers, legal advisers and issuing agent

Västra Hamnen Corporate Finance AB is financial advisor and Advokatfirman Vinge is legal advisor to aXichem in connection with the Rights Issue. Nordic Issuing acts as issuing agent.

For more information:

Torsten Helsing,

CEO, aXichem AB, phone: +46 706 863 355

Email: [email protected]

or visit: www.axichem.com

Certified adviser for aXichem is Västra Hamnen Corporate Finance AB.

The information was submitted, through the agency of the above contact person, for publication on March 26, 2024, at 16:45 CET.

About aXichem

aXichem develops, patents and markets natural analogue industrial chemicals, i.e., synthetically produced substances that have similar and comparable properties to natural substances. The company's first product is phenylcapsaicin, which the company commercializes under two brands, aXiphen® and aXivite®, as an ingredient in animal feed and dietary supplements, respectively. The business is divided into three market areas with different applications for phenylcapsaicin: as an ingredient in feed for poultry, such as chicken and turkey, as an ingredient in food supplements for gut health, weight control and sports and exercise, and as an ingredient in food supplements for the bio-enhancement of curcumin and melatonin. aXichem is listed on the Nasdaq First North Growth Market. More information is available at www.axichem.com.

Important information

Release, publication, or distribution of this press release may be subject to restrictions in certain jurisdictions. Recipients of this press release in the jurisdictions where this press release has been released, published, or distributed should inform themselves of and comply with such restrictions.

This press release does not constitute an offer to, or an invitation to, acquire or subscribe for any securities in aXichem in any jurisdiction. The invitation to interested persons to participate in the Rights Issue will only take place through the Prospectus that the Company has published in connection with the Rights Issue.

This press release does not constitute an offer or invitation to acquire or subscribe for securities in the United States. The securities referred to herein may not be sold in the United States without registration, or without application of an exemption from registration, under the U.S. Securities Act of 1933. The information in this press release may not be disclosed, published, copied, reproduced or distributed, directly or indirectly, in whole or in part, in or to the United States, Australia, Belarus, Hong Kong, Japan, Canada, New Zealand, Russia, Switzerland, Singapore, South Africa, South Korea, or any other jurisdiction where such disclosure, publication or distribution of this information would be contrary to applicable laws and regulations.

Within the European Economic Area, no offer to the public of securities is made in any country other than Sweden. In other member states of the European Union, such an offer can only be made in accordance with exceptions in the Prospectus Regulation (EU) 2017/1129.

This press release contains certain forward-looking information that reflects the Company's current view of future events as well as financial and operational development. Words such as "intends", "estimates", "expects", "may", "plans", "believes", "estimates" and other expressions that imply indications or predictions of future developments or trends, and are not based on historical facts, constitute forward-looking information. Forward-looking information is inherently associated with both known and unknown risks and uncertainties because it is dependent on future events and circumstances. Forward-looking information is not a guarantee of future performance or development, and actual outcomes may differ materially from what is stated in forward-looking information.