Optimization of capital structure
Stockholm, Sweden — Medivir AB (Nasdaq Stockholm: MVIR) announces the intention of launching a voluntary share redemption program.
“The successful market introduction of simeprevir has led to a very strong cash position and profitability for Medivir within a short time frame. Based on our strategy update and plan, which will be presented today at the Capital Markets Meeting, the company has analysed its capital structure and come to the conclusion that there is room for a larger capital distribution to the shareholders”, says Niklas Prager, CEO of Medivir.
The Board has decided to recommend a two-step approach:
- Short-term, a one-off distribution of 625 MSEK (20 SEK/share) through a voluntary redemption of shares for all shareholders. The Board expects to convene an Extraordinary General Meeting in the next few days, proposing the full resolutions to be passed for the purpose of the redemption. The Extraordinary General Meeting is expected to be held on 20 November 2014. The redemption procedure will run into Q1 2015.
- Seek mandate for a share buy-back programme at the Annual General Meeting in May 2015.
“Going forward, Medivir has the intention to work continuously with optimising the capital structure, based on an assessment of financial position and investment opportunities”, adds Niklas Prager, CEO of Medivir
The Capital Market Meeting will be held today at 14.00 CET at the Conference Center Nio Rum, and will also be available on-line via Webcast, accessible through Medivir’s website www.medivir.com.
For more information please contact:
Rein Piir, EVP Corporate Affairs & IR, mobile: +46 708 537 292
Medivir is required under the Securities Markets Act to make the information in this press release public.
The information was submitted for publication at 13.45 CET on 16 October 2014.
Medivir is an emerging and profitable research‐based pharmaceutical company with an established marketing and sales organisation in the Nordic region with a broad portfolio of prescription pharmaceuticals.
Medivir receives royalties from Johnson & Johnson on the global sales of the hepatitis C pharmaceutical, Olysio®. In addition, revenues for sales of Olysio in the Nordic region are generated through the company’s own sales and marketing organisation. Medivir’s research and development portfolio of pharmaceuticals is based on the company’s expertise within protease inhibitor design and nucleoside/nucleotide science. The company’s research and development focus is within infectious diseases and oncology and the on-going clinical projects in osteoarthritis and neuropathic pain.
Medivir is listed on the Nasdaq Stockholm Mid Cap List.