Kiadis Pharma launches a private placement of approximately 2.6 million new shares

Amsterdam, The Netherlands, March 12, 2018 – Kiadis Pharma N.V. (“Kiadis Pharma” or the “Company”) (Euronext Amsterdam and Brussels: KDS), a clinical stage biopharmaceutical company developing a T-cell immunotherapy product designed to reduce Graft versus Host Disease (GVHD) in hematopoietic stem cell transplantations (HSCT) today announces the launch of a private placement of approximately 2.6 million new shares to institutional investors, representing approximately 14.8% of the Company’s current issued capital (the “Placing”). Existing shareholders of the Company will not have pre-emptive rights in relation to the new shares to be issued. The new shares will rank pari passu in all respects with the currently outstanding shares of the Company. With the capital increase, the Company intends to make full use of the remaining authority that the shareholders
meeting has granted to the Company’s Management and Supervisory Boards to issue new shares.

Kiadis Pharma intends to use the net proceeds of the Placing to:
– continue the Phase 3 international, randomized, controlled, multicentre clinical trial for ATIR101 in the United States, Canada and Europe;
generate additional manufacturing capacity at vendors and to refurbish, equip and staff its leased manufacturing facility;
– further prepare the Company for commercialization by investing into a commercial organization, market access preparation and reimbursement discussions;
– support further production process optimization of ATIR;
– expand the organization to accommodate the increased number of activities;
– start a further clinical trial to assess the benefit of ATIR101 in conjunction with
another T-cell depleted hematopoietic stem cell transplantation (HSCT) protocol or with a cyclophosphamide-based haplo transplantation protocol;
– apply funds for debt repayment, capital expenditures, general and administrative expenses, general corporate purposes in line with Kiadis Pharma’s strategy and other working capital needs; and
– finance potential opportunities to broaden and diversify the research and development portfolio (e.g. through in-licensing or acquiring programs and companies with synergistic or complementary technologies, products and/or product candidates).

The new shares will be placed with institutional investors through an accelerated bookbuilding process and the subscription price and the number of shares to be issued in the Placing will be determined through this process. The bookbuilding period for the Placing will commence today with immediate effect and will close at short notice. In relation to the Placing, the Company has, subject to customary exemptions, agreed to a lock-up undertaking for a period of 90 calendar days after the settlement date on future share issuances. In addition, and also subject to customary exemptions, the two largest shareholders of the Company (funds represented by and/or affiliated with Life Sciences Partners and Draper Esprit, together representing 43.8% of the share capital of the Company) as well as all members of the Company’s Management Board and Supervisory Board have agreed to a lock-up undertaking for a period of 90 calendar days after the settlement date on future share disposals.

The Company will announce the number of new shares placed and the subscription price in the Placing in a subsequent press release expected to be published before the beginning of trading on Euronext Amsterdam and Euronext Brussels on Tuesday March 1.

A registration document, approved by the Netherlands Authority for the Financial Markets (AFM) on March 12, 2018, is available free of charge on the Company’s website (www.kiadis.com). A summary and securities note, which together with the registration document will form the listing prospectus on the basis of which the new shares will be admitted to trading on Euronext Amsterdam and Euronext Brussels, will be submitted to the AFM with a view to receiving its approval on or about March 13, 2018, following which it will be made available free of charge on the Company’s website (www.kiadis.com).

Jefferies International Limited is acting as Sole Bookrunner, Canaccord Genuity Limited as Lead Manager, Chardan as Co-Lead Manager and LifeSci Capital LLC as Co-Manager in connection with the Placing. Saola Healthcare Partners is acting as financial advisor to the Company.

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