CS MEDICA

CS MEDICA ("CS MEDICA" or "The Company") aims to elevate the value of CS MEDICA's shares, targeting a preliminary valuation of CANNORDIC of MDKK 224. This is a Compliant Publication according to Article 17 MAR of Regulation (EU) No 596/2014.

The Board Members of CS MEDICA, with ISIN DK0061668225, announced the approval to spin off its wholly-owned subsidiary CANNORDIC A/S and to initiate preparations for a separate listing on one of the stock exchange-regulated trading venues in Germany.

Based on the pre-market sounding conducted during several roadshows in different German cities and the expressions of interest from institutional and semi-institutional investors, CS MEDICA anticipates raising up to MDKK 45 (EUR 6 million) in the pre-IPO phase of the spin-off. As part of the initial public offering (IPO), the first step involves placing up to 20% of CANNORDIC A/S shares with institutional and semi-institutional investors during the pre-IPO phase. The management will continuously evaluate the placement of additional shares during the post-market launch, maintaining the majority of the share capital of CANNORDIC A/S. This strategic move aims to secure initial investment and generate interest from key market players before the shares are publicly available.

Key Highlights:

• Spin-off Details: Up to 20% of CANNORDIC A/S shares will be spun off.
• Valuation and Funding: Pre-market sounding indicates a valuation of CANNORDIC A/S of MDKK 224 (EUR 30 million).
• Market Positioning: The spin-off aims to enhance the market positioning of both entities.
• Shareholder Approval: The transaction is subject to approval at an extraordinary general assembly.
• Transaction Timeline: The transaction and stock market listing are planned to be completed by the end of 2024.

"The decision to list CANNORDIC A/S on the German stock market is a strategic milestone for us. This spin-off underscores the commitment to leveraging market opportunities and aligning operations with the stringent requirements of the new EU MDR (Medical Device Regulation), ensuring sustained growth and market leadership. Additionally, it highlights the value of CS MEDICA's stock and will enhance our market presence, providing the necessary funding to accelerate our growth and innovation objectives", stated Lone Henriksen, CEO of CS MEDICA A/S.

Background Information for the Suggested Strategic Initiatives

CS MEDICA is a Group specializing in IPR management and strategic oversight, supporting its entities, while CANNORDIC specializes in R&D, MDR compliance, registration, manufacturing, and commercialization for greater efficiency.

"By listing CANNORDIC on the German Stock Exchange, we aim to advance its profile and reach its right potential in market valuation, attracting investors and partners on the most mature, well-fitted market in Europe for the Company's portfolio. This strategic initiative is expected to unlock the potential market value, increasing shareholder value for both the CS MEDICA Group and CANNORDIC. By raising up to MDKK 45 (EUR 6 million), we will also secure growth capital to accelerate and strengthen our market position." Lone Henriksen continues.

The extraordinary general assembly to approve this transaction is scheduled for June 2024. Additional details regarding the planned spin-off of the wholly-owned subsidiary CANNORDIC A/S will be published throughout the IPO process to keep all stakeholders informed and up to date.