Corporate Action – iZafe Group

iZafe Group secures loan of SEK 5.5 million and cancels previously issued warrants of series TO14B

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN THE UNITED STATES, AUSTRALIA, BELARUS, HONGKONG, JAPAN, CANADA, NEW ZEALAND, RUSSIA, SWITZERLAND, SINGAPORE, SOUTH AFRICA, SOUTH KOREA OR ANY OTHER JURISDICTION WHERE SUCH RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE UNLAWFUL OR WOULD REQUIRE REGISTRATION OR ANY OTHER MEASURES. PLEASE REFER TO IMPORTANT INFORMATION AT THE END OF THE PRESS RELEASE.

iZafe Group AB ("iZafe Group" or the "Company"), a company engaged in the research, development, and marketing of digital medical solutions and services for safer medication management at home, announce today that the Board of Directors of iZafe Group has decided to enter into a loan agreement of SEK 5.5 million (the "Loan") issued by Exelity AB (the "Lender"). The Loan has been secured because the board has determined that the issuance of the warrants of series TO14B (the "Warrants") would entail excessive administrative costs and financial uncertainty.

Background and rationale for the Loan
In connection with a directed issue conducted on April 9, 2024, the board of iZafe Group, with the authorization granted by the annual general meeting on May 16, 2023, decided to issue 25,053,288 warrants of series TO14B. These warrants were intended to be issued free of charge to the Company, which would then transfer them free of charge to the shareholders of the Company in proportion to the number of shares each shareholder owned on the record date for the warrant issue.

Since the decision was made, new information has been provided to the Company, revealing that the warrant issue would entail significantly higher costs than previously indicated. Given the financial uncertainty associated with the outcome of the warrants, the board of iZafe Group has decided that it is more advantageous for the Company to cancel the issued Warrants and instead secure the Loan.

iZafe Group's CEO, Anders Segerström, comments on the Loan: "Considering the new information we have received and the uncertainty that the warrant exercise would entail, we are convinced that the decision to replace the warrant exercise with this loan is the best solution for iZafe Group. This decision ensures the necessary financing to continue our growth journey and meet the increasing demand for our products. By scaling up production and strengthening our recurring revenue, which is at the core of our business model, we are creating significant value over time.

Our original ambition with the directed issue and the warrant exercise was to raise SEK 10 million, and although the conditions have changed, we have found a stable and sustainable solution with this loan. This will provide us with the financial stability and resources we need to increase sales and strengthen our recurring license revenue, which is crucial for achieving a cash flow-positive result."

Loan terms
The Loan amounts to SEK 5.5 million. The payment occurs upon signing of the loan agreement. The Loan matures for payment on June 30, 2025.
The Loan is subject to a set-up fee of 5.0 percent of the Loan amount and carries a monthly interest rate of 1.3 percent on the borrowed amount. Interest accrues from the payment until the loan amount and accrued interest are fully repaid. The Company has the option to repay the Loan before the maturity date without any redemption fee. The Lender has the right to convert the Loan into shares of the Company at any time during the term at a subscription price of SEK 0.24 per share. The board has assessed the loan terms as market competitive and considers taking the Loan to be in the best interest of both the Company and its shareholders.

Use of the Loan
The net proceeds from the Loan are intended to be used for the following purposes:

Ensuring larger production volumes
Sales and marketing activities to boost sales in existing and new markets

Advisor
Mangold Fondkommission AB is financial advisor to the Company in connection with the Loan.

Important information
The publication, disclosure, or distribution of this press release may be subject to restrictions under law in certain jurisdictions. Recipients of this press release in jurisdictions where it has been published, disclosed, or distributed should acquaint themselves with and comply with such legal restrictions. The recipient of this press release is responsible for using this press release and the information herein in accordance with applicable rules in their respective jurisdiction. This press release does not constitute an offer to, or an invitation to, acquire or subscribe for any securities in iZafe Group in any jurisdiction, either from the Company or any other entity.

This press release does not constitute an offer or invitation to acquire or subscribe for securities in the United States. The securities mentioned herein may not be sold in the United States without registration or an applicable exemption from registration under the U.S. Securities Act of 1933 ("Securities Act"), and may not be offered or sold in the United States without being registered, exempt from registration, or in a transaction not subject to the registration requirements of the Securities Act. There is no intention to register any securities mentioned herein in the United States or to make a public offering of such securities in the United States. The information in this press release may not be published, disclosed, copied, reproduced, or distributed, directly or indirectly, in whole or in part, in or to the United Kingdom, the United States, Canada, Japan, Australia, Belarus, Hong Kong, New Zealand, Russia, Switzerland, Singapore, South Africa, South Korea, or any other jurisdiction where such publication, disclosure, or distribution of this information would violate applicable laws and regulations.

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

Forward-Looking statements
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 "intended", "assessed", "expected", "may", "plans", "believes", "estimates", and other expressions that imply indications or predictions about future development or trends, and which are not based on historical facts, constitute forward-looking information. Forward-looking information is by its nature associated with both known and unknown risks and uncertainty factors because it depends on future events and circumstances. Forward-looking information does not constitute any guarantee regarding future results or development, and the actual outcome may materially differ from what is stated in the forward-looking information.

About iZafe Group AB (publ.)

iZafe Group is a Life Science company that conducts research, development and marketing of digital medical solutions and services for safer medication management at home.

The company leads the development of digital drug dispensing through the drug robot Dosell as well as the SaaS solution Pilloxa with the smart pillbox. The company's solutions reduce the risk of incorrect medication in the home, increase compliance, relieve public health care, increase the quality of life for patients and create a safer environment for relatives.

The customers consist of private individuals, pharmaceutical companies and public and private healthcare providers in Sweden, the Nordics and globally. iZafe Group primarily sells through well-established partners who already have long and deep customer relationships with the prioritized customer groups. The head office is in Stockholm.

iZafe Group AB has been listed on the Nasdaq First North Growth Market since 2018. Mangold Fondkommission AB is the company's Certified Adviser. Further information is available at www.izafegroup.com

iZafe Group secures loan of SEK 5.5 million and cancels previously issued warrants of series TO14B

Business Partners 4

The board of iZafe Group AB has decided to carry out a directed issue of shares and an issue of warrants

The board of iZafe Group AB ("iZafe Group" or the "Company") has today, April 9, 2024, with authorization from the annual general meeting on May 16, 2023, decided on a directed issue of 25,000,000 shares of series B to certain shareholders (the "Directed Issue"). The Directed Issue is carried out at a subscription price of SEK 0.20 per share, equivalent to a discount of approximately 6.0 percent to the volume-weighted average price of the Company’s shares on the Nasdaq First North Growth Market during the last five (5) trading days. The board has also, with authorization from the annual general meeting on May 16, 2023, decided on a directed issue of 25,053,288 warrants of series TO14B to the Company, which will transfer these free of charge to shareholders in relation to the number of shares held as of the record date (the “Warrants Issue”). Through the Directed Issue, iZafe Group will receive SEK 5 million before transaction costs. Upon full utilization of TO14B, the Company may receive an additional maximum of approximately SEK 7.5 million SEK before transaction costs.

The Directed Issue
The board of iZafe Group has, with authorization received at the annual general meeting of May 16, 2023, today decided to carry out a directed issue of 25,000,000 shares of series B with deviation from existing shareholders’ preferential rights. The subscription price per share amounts to SEK 0.20. The Company hereby receives approximately SEK 5 million before transaction costs. The Directed Issue is carried out to the Company’s major shareholders Patrik Björn and Stefan Wård (through company). The subscription price in the Directed Issue has been determined through arm’s length negotiations with the investors, based on the current share price of the Company’s share of series B. The subscription price corresponds to a discount of approximately 6.0 percent of the volume weighted average price of the Company's share on the Nasdaq First North Growth Market during the last five (5) trading days, from and including April 2, 2024, up to and including April 8, 2024, which amounted to approximately 0.213 SEK. Furthermore, the board has ensured the market adequacy of the subscription price in consultation with financial advisors based on current market conditions and previously indicated price levels in discussions with potential investors. Against this background, the board considers the subscription price to be market adequate.

The reason for the deviation from the shareholders' preferential right is that the Company's board considers, on the basis of an overall assessment and after careful considerations of available financing solutions, that the Directed Issue is a better alternative for the Company and its shareholders than a rights issue at prevailing market conditions. The board also assesses that it is objectively in the interest of both the Company and its shareholders to carry out the Directed Issue. The board's assessment is that the Directed Issue is the most appropriate financing solution to promptly ensure the Company's capital requirements in order to meet the increasing demand for the Company's products and to ensure the capacity for larger production volumes, which is crucial to support the Company's continued development and growth. A rights issue is deemed to entail significantly increased costs for the Company where, among other things, a possible underwriting consortium would have to be procured and would take longer time.

After consultation with financial advisors, the board also assesses that a rights issue, or a directed issue to a broader group of external investors or existing shareholders, would only be feasible at a significantly discounted share price, which under the current circumstances was judged not to be beneficial for either the Company or its shareholders. The Directed Issue enables the Company to raise capital in a fast, cost-effective, and resource-efficient manner. It also provides an opportunity to capitalize on current interest in the Company's stock among subscribers at a price that is in line with the prevailing share price, which is why subscribers are granted subscription in the Directed Issue.

In light of the above, the board assesses that the Directed Issue enables the Company to raise capital on favorable commercial terms and in a fast, cost- and resource-efficient manner. Additionally, the Directed Issue is objectively advantageous for the shareholders compared to an alternative issuance structure or financing solution. Therefore, the board considers that the reasons for deviating from the shareholders' preferential rights to outweigh the reasons justifying the general rule that new issuances should be conducted with preferential rights for shareholders.

iZafe Group's CEO, Anders Segerström, comments on the Directed Issue: "I'm pleased that our major shareholders are showing their support for the Company in this crucial phase. We see an urgent need to expand our workforce to meet the growing demand and keep pace with all the development projects we have underway. Right now, we're in a situation where our product team risks becoming a bottleneck for sales, especially as we expand our partnerships in both existing and new markets. With this injection of capital, we not only have the opportunity to hire more talent but also ensure that our production capacity isn't a limiting factor. This is crucial for swiftly launching our devices into the market. By accelerating the rollout of more units, we can increase our monthly license revenues, which is a critical factor in achieving profitability faster.”

The Warrants Issue
The board of iZafe Group has also today, with the support of authorization from the annual general meeting of May 16, 2023, decided on the Warrants Issue, whereby 25,053,288 warrants of series TO14B are issued to the Company. The warrants are issued free of charge to the Company, which will transfer them free of charge to the shareholders in the Company in relation to the number of shares that each shareholder holds on the record date for the Warrants Issue. The record date for the Warrant Issue will be announced as soon as it is determined by the board of the Company. The warrants of series TO14B are intended to be admitted to trading on the Nasdaq First North Growth Market.

Eleven (11) shares held on the record date means that shareholders are allotted one (1) warrant of series TO14B. Final distribution and allocation upon transfer of the warrants of series TO14B to iZafe Group's shareholders will take place through a separate board resolution. The Warrants Issue can provide iZafe Group with a maximum of approximately SEK 7.5 million in the event that all warrants of TO14B are exercised for subscription of new shares of series B in the Company.

Main terms of warrants of series TO14B
iZafe Group will issue a total of 25,053,288 warrants of series TO14B. One (1) warrant of series TO14B entitles the holder to subscribe for one (1) new share of series B in the Company during the period that runs from and including September 30, 2024 to and including October 14, 2024. The subscription price for shares supported by warrants of series TO14B amounts to 70 percent of the volume weighted average price of the Company's share of series B on the Nasdaq First North Growth Market during the period from and including September 13, 2024 to and including September 26, 2024, however, the share's minimum quota value (currently SEK 0.20) and a maximum of SEK 0.30.

Use of issue proceeds from the Directed Issues
The proceeds from the Directed Issue of SEK 5 million is intended to be used for the following:

Expansion of personnel in the product team
Ensuring larger production volumes
Sales and marketing activities to boost sales in existing and new markets

Number of shares, share capital and dilution
The Directed Issues result in a total dilution effect of approximately 9.1 percent of the number of shares and 8.9 percent of the votes in the Company. Through the Directed Issue, the number of outstanding shares of series B increases by 25,000,000 shares of series B, from 250,586,171 shares of series B to 275,586,171 shares of series B. The number of shares after the Directed Issue will amount to 275,586,171 shares, of which 600,000 are shares of series A and 274,986,171 are shares of series B. The Company's share capital increases by SEK approximately 5,000,000.00, from SEK 50,117,234.20 to approximately SEK 55,117,234.20.

Upon exercise of all warrants of series TO14B issued in the Warrants Issue, the number of outstanding shares will increase by an additional 25,053,288 shares, from 275,586,171 shares to 300,639,459 shares and the share capital will increase by an additional approximately SEK 5,010,657.60, from approximately SEK 55,117,234.20 to approximately SEK 60,127,891.80, implying an additional dilution of approximately 8.3 percent of the number of shares and 8.2 percent of the votes in the Company.

Notification Obligation
As a result of Patrik Björn and Stefan Wård increasing their ownership in the Company in a manner that triggers a notification obligation according to the Foreign Direct Investments Screening Act (2023:560), allocation in this part shall occur only when the investment can be executed under said law, which is expected to occur indicatively before the end of May 2024.

Advisor
Mangold Fondkommission AB is the financial advisor to iZafe Group in connection with the Directed Issue and the Warrant Issue.

About iZafe Group AB (publ.)

iZafe Group is a Life Science company that conducts research, development and marketing of digital medical solutions and services for safer medication management at home.

iZafe Group AB has been listed on the Nasdaq First North Growth Market since 2018. Mangold Fondkommission AB is the company's Certified Adviser. Further information is available at www.izafegroup.com

The board of iZafe Group AB has decided to carry out a directed issue of shares and an issue of warrants

100512242 Dosell Lkemedelsautomat

iZafe acquires Pilloxa, carries out a directed issue of shares and warrants to qualified investors and issues warrants free of charge to existing shareholders

iZafe Group AB (publ) ("iZafe" or the "Company") has today entered into a share purchase agreement with the owners of Pilloxa AB ("Pilloxa") regarding the acquisition of all outstanding shares of Pilloxa in accordance with the letter of intent communicated by press release on August 18, 2022. Access to the shares in Pilloxa was completed today. iZafe has also successfully completed a directed issue of 20,833,334 units, each unit consisting of one (1) share and two (2) warrants of series TO13B. The subscription price per unit amounts to SEK 0.24, corresponding to a price per share of SEK 0.24 as the warrants are issued free of charge and the Company is thereby provided with approximately SEK 5 million before transaction costs (the "Directed Issue"). Qualified investors such as Jan Hardenborg, Eva Redhe, Fredrik Sjödin, Filippa Lindström, Karin Forseke, Peter Jörgensen, Lars Wedenborn and Mangold Fondkommission have through subscription commitments undertaken to participate in the Directed Issue. The Company has also decided to distribute 76,890,165 warrants of series TO13B to all shareholders in the Company after the acquisition of Pilloxa to capitalize the Company and to compensate for the dilution from the Directed Issue.

The Directed Issue

The Board of Directors of iZafe has, with the support of the authorization received at the Extraordinary General Meeting on September 28, 2022, today decided to carry out a directed issue of 20,833,334 units with deviation from existing owners' preferential rights, each unit consists of one (1) share and two (2) warrants of series TO13B. The subscription price per unit amounts to SEK 0.24, corresponding to a price per share of SEK 0.24, the warrants are issued free of charge. The Company receives approximately SEK 5 million before deductions for transaction costs. The subscription price for the Directed Issue has been determined through arm's length negotiations with several strategic and long-term investors over a period of time. The subscription price corresponds to a discount of 10 percent in relation to the volume weighted average price of the Company's share on the Nasdaq First North Premier Growth Market during the last five (5) trading days, from and including November 22, 2022, to and including November 28, 2022, which amounted to approximately 0.262 SEK. The Board of Directors thus assesses the subscription price to be at market terms.

Each warrant of series TO13B gives the right to subscribe for one (1) new share in the Company during the period from and including February 23, 2023, to and including March 8, 2023. The subscription price for shares of series B supported by warrants of series TO13B amounts to 70 percent of the volume weighted average price of the Company's share on the Nasdaq First North Premier Growth Market during the period from and including February 9, 2023, to and including February 22, 2023, however, the share's minimum quota value (currently SEK 0.20) and a maximum of SEK 0.30.

Background and motive for the Directed Issue

In order to satisfy the demand from existing customers, as well as meet the demand from new customers, iZafe deems it necessary to raise additional capital. iZafe intends to use the issue proceeds from the Directed Issue to increase sales of Dosell and Pilloxa's solutions.

More specifically, the Company intends to use the issue proceeds for:

Sales efforts of Dosell against Pilloxa's established customers and network.
Sales efforts of Pilloxa’s solutions towards iZafe’s partner network.
Integration between Dosell and Pilloxa's system and product.

The reason for that, and for the deviation from the shareholders' preferential rights, is to strengthen the Company's shareholder base with long-term strategic and qualified investors and at the same time in a quick and cost-effective way finance the Company's need for working capital, which has been slightly increased with the acquisition of Pilloxa. Also, the Board of Directors considers implementing a rights issue in current market conditions would entail a risk that the Company fail to meet its capital needs and by so fail to maintain an optimal capital structure. The Company's Board of Directors has made an overall assessment and carefully considered the possibility of raising capital through a rights issue. The Board of Directors has taken into account, among other things the high number of recent rights issues on the Nasdaq First North Premier Growth Market, and that the additional cost of a rights issue, such as advisory fees and underwriting compensation, would be unproportional to the limited size of the short term required capital. The conclusion of the Board of Directors' assessment is that the Directed Issue is objectively the best alternative for the Company and its shareholders.

The acquisition of Pilloxa

Pilloxa has developed a technology platform to support better medication adherence that pharmaceutical and healthcare companies use to design digital patient supports. The acquisition creates a new company in digital health that is well positioned to become a leading player in better and safer drug use. The purchase price amounts to approximately SEK 13.75 million and is paid through a directed offsetting issue of a total of 50,000,000 shares in iZafe ("Compensation Shares"). The subscription price for the Compensations Shares amounts to SEK 0.275. The basis for the subscription price is the share's market value based on the closing price for the Company's share of series B on the Nasdaq First North Premier Growth Market on Friday November 25, 2022.

Through the acquisition of Pilloxa, we are taking an important step towards our vision of improved health with better adherence. This creates an attractive and complete offer, access to a larger customer base and more sales channels. Through the Directed Issue, we are bringing in more strong owners to iZafe, and the warrants awarded to all shareholders are expected to provide a capital injection at the beginning of 2023. We will now increase the pace of sales of the joint company's products and services towards all our different customer categories. Together, we are creating a very strong offer within the framework of digital health, says Anders Segerström, CEO of iZafe.

With Pilloxa's digital offering and long-term collaboration with the pharmaceutical industry, we can together offer a comprehensive solution for patients, healthcare staff and the pharmaceutical industry. Pilloxa's promise to our customers, SME pharmaceutical companies, is a complete digital solution for patient support within one month of the first customer meeting. We are therefore used to rapid integrations and will immediately begin work on offering a joint digital solution, says Helena Rönnqvist, CEO at Pilloxa.

Incorrect or deficient medication is a major and costly problem for the individual, healthcare and for pharmaceutical companies, and costs society significant sums. Offering patients support to take their medication correctly has been shown to be an effective way to achieve better medical outcomes. Both iZafe and Pilloxa today offer solutions that support patients in safe medical treatment. The merger means a broader and more attractive offer to healthcare providers, patients, the pharmaceutical industry, and consumers, broadens the customer base and is expected to contribute to accelerated market penetration through clear sales and margin synergies.

Warrants to existing shareholders of iZafe

The Company has decided to distribute 76,890,165 warrants of series TO13B to all shareholders in the Company after the acquisition of Pilloxa in order to capitalize the Company and to compensate for the dilution from the Directed Issue. The warrants are subscribed by the Company and will be distributed free of charge to existing shareholders in the Company, where the Company's existing shareholders will receive one (1) free warrant of series TO13B for every two (2) shares held in the Company on the record date. The Board of Directors has been authorized to determine the record date, thus information about the record date for the allotment of warrants of series TO13B will be communicated via a separate press release.

Each warrant of series TO13B gives the right to subscribe for one (1) new share in the Company during the period from and including February 23, 2023, to and including March 8, 2023. The subscription price for shares of series B supported by warrants of series TO13B amounts to 70 percent of the volume weighted average price of the Company's share on the Nasdaq First North Premier Growth Market during the period from and including February 9, 2023 to and including February 22, 2023, however, the share's minimum quota value (currently SEK 0.20) and a maximum of SEK 0.30.

Terms, number of shares, share capital and dilution

Through the acquisition of Pilloxa, the number of shares in the Company increases by 50,000,000 B shares, from 82,946,996 shares (600,000 A shares and 82,346,996 B shares) to 132,946,996 shares, and the share capital will increase by SEK 10,000,000.00, from SEK 16,589,399.20 to SEK 26,589,399.20. The issue of shares as a result of the acquisition of Pilloxa entails a dilution for the Company's existing shareholders of approximately 37.61 percent.

The Directed Issue comprises 20,833,334 units, each unit consisting of one (1) share and two (2) warrants of series TO13B. The Directed Issue will increase the number of shares in the Company by 20,833,334 shares, from 132,946,996 shares to 153,780,330 shares, and the share capital will increase by SEK 4,166,667.80, from SEK 26,589,399.20 to SEK 30,756,066.00. The Directed Issue entails a dilution for the Company's existing shareholders of approximately 13.55 percent.

As a result of the acquisition and the Directed Issue, the total number of shares in the Company will increase by 70,833,334 shares, from 82,946,996 shares to 153,780,330 shares, and the share capital will increase by SEK 14,166,666.80, from SEK 16,589,399.20 to 30,756,066.00 SEK. Which entails a total dilution for the Company's existing shareholders of approximately 46.06 percent.

41,666,668 warrants of series TO13B are allotted to the investors in the Directed Issue and 76,890,165 warrants of series TO13B are allotted to the shareholders of the Company after the completion of the acquisition and the Directed Issue. In the event of full utilization of warrants of series TO13B, the Company can receive an additional maximum of approximately SEK 35.6 million, depending on the subscription price. If all of the Company's 118,556,833 issued warrants of series TO13B are exercised, the number of shares in the Company will increase by 118,556,833 shares, from 153,780,330 shares to 272,337,163 shares, and the share capital will increase by SEK 23,711,366.60, from SEK 30,756,066.00 to SEK 54,467,432.60. Which entails a total dilution for the Company's existing shareholders of approximately 43.53 percent.

Advisors
Mangold Fondkommission AB is the finacial advisor to iZafe in connection with the acquisition of Pilloxa and the Directed Issue.

About Us

iZafe Group is a Swedish Life-Science company that develops and markets medical and digital security solutions to create safer drug handling at home. The company’s digital medication dispenser Dosell reduces the risk of incorrect medication, increases security for family and relatives and relieves public care personnel. The products form a holistic concept that facilitates patient medication and gives those who are treated at home better conditions for a happy and safe life. Customers today consist of public and private care providers in Sweden, the Nordic countries and globally. iZafe Group sells primarily through well-established partners who already have long and deep customer relationships with the priority customer groups. The head office is located in Stockholm.

The company is listed on the NASDAQ First North Premier Growth Market. FNCA Sweden AB is the company's Certified Adviser. Phone: +46 (0) 8 528 00 399. E-mail: . Further information is available at www.izafe.se/investor-relations/.

iZafe acquires Pilloxa, carries out a directed issue of shares and warrants to qualified investors and issues warrants free of charge to existing shareholders

iZafe signs a Letter of Intent to acquire Pilloxa AB

iZafe Group AB (publ) ("iZafe" or the "Company") has signed a Letter of Intent with Pilloxa AB ("Pilloxa") regarding the acquisition of 100 percent of the shares in Pilloxa (the "Acquisition"). Pilloxa has developed a technical platform for better compliance that pharmaceutical companies use to design digital patient support. A new company within digital health is created through the acquisition that is well positioned to become a leading company within better and more secure use of pharmaceuticals.

The Letter of Intent concerns 100 percent of the shares in Pilloxa. The purchase price is paid at 100 percent of 70,874,308 newly issued iZafe shares at an indicative value of approximately SEK 30 million. The indicative value of Pilloxa may be adjusted upwards or downwards depending on the development of the share price on the day of entry. Given that the indicative offer is accepted, the shareholders in Pilloxa will own 50 percent of the shares in the joint company after the takeover, which is expected to take place during Q3 2022. The acquisition is subject to approval at an extraordinary general meeting of iZafe Group AB. More information about the extraordinary general meeting will be published in a separate press release.

– For a long time, we have developed the drug dispensing robot Dosell and established a network of partners
and collaborations that see great value in medication data to enable proactive care. Through the acquisition of Pilloxa, we are now taking the next step towards our vision of improved health with better compliance, whose digital platform can be leveraged and integrated directly into our existing products and offerings. It creates an attractive and complete offer, access to a larger customer base and additional sales channels. Together we are creating something unique within the framework of digital health, says Anders Segerström, CEO of iZafe.

– With Pilloxa's digital offering and long-term collaboration with the pharmaceutical industry and together with iZafe, we are able to offer a comprehensive solution for our customers; patients, healthcare professionals and the pharmaceutical industry. Pilloxa's promise to our customers today is a complete digital solution for patient support within one month of the initiation meeting. We are therefore used to rapid integrations and will immediately begin to work on offering a joint digital solution, says Helena Rönnqvist, CEO of Pilloxa.

Incorrect or inadequate medication is a major and expensive problem for both the individual and drug development companies and costs society significant sums. Offering patients support to take their medication correctly has been shown to be an effective way to achieve better medical outcomes. Both iZafe and Pilloxa today offer solutions that support patients in safe medical treatment. The merger means a broader and attractive offer to both healthcare providers, the pharmaceutical industry and consumers, broadens the customer base and is expected to contribute to accelerated market penetration through clear sales and margin synergies.

About Pilloxa
Pilloxa is a Swedish company that develops apps for patients to support them in adherence to their treatment and to connect patients, healthcare providers and the pharmaceutical industry. The company provides a SaaS platform where pharmaceutical companies and other customers can design digital patient support quickly, securely and at a low cost. Connected aids such as Pilloxa's self-developed smart medication dose can also be connected to the service to support patients in taking the correct medication. Customers and partners of Pilloxa include pharmaceutical companies such as Bayer Nordics and the Nordic office of Chiesi Global Rare Diseases, university hospitals such as the University Hospital in Oslo and universities such as the University of Gothenburg.

Advisor
Mangold Fondkommission AB is the financial advisor to iZafe in connection with the Acquisition.

About Us

iZafe signs a Letter of Intent to acquire Pilloxa AB

iZafe announces outcome of rights issue

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED KINGDOM, THE UNITED STATES, CANADA, JAPAN, AUSTRALIA, HONG KONG, NEW ZEALAND, SWITZERLAND, SOUTH AFRICA OR ANY OTHER JURISDICTION WHERE SUCH RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE UNLAWFUL OR WOULD REQUIRE REGISTRATION OR ANY OTHER MEASURES .

iZafe Group AB (publ) ("iZafe" or the "Company") has completed the rights issue of units, consisting of shares and warrants of series TO10 B, resolved upon by the Board of Directors on September 6, 2021 (the "Rights Issue"). The Rights Issue has been subscribed for to a total of 100 percent, where approximately 43.6 percent was subscribed for by use of units rights, approximately 4.1 percent was subscribed for without use of units rights and approximately 52.3 percent was subscribed for by underwriters. The over-allotment issue described in the prospectus that was published on September 24, 2021, will not be carried out.

The subscription period in the Rights Issue ended on October 18, 2021. The final outcome shows that a total of 35,435,674 units have been subscribed for through the Rights Issue and the Company will thus receive approximately SEK 53.2 million before issue costs. Upon full exercise of all warrants of series TO10 B, the Company may be provided with an additional capital injection of up to approximately SEK 80 million after the exercise period that runs from and including September 27, 2022 to and including October 11, 2022.

Allocation of units subscribed for without the support of unit rights has taken place in accordance with what is stated in the prospectus that the Company published on September 24, 2021 due to the Rights Issue (the "Prospectus"). Notification of such allocation is announced separately by a settlement note sent out. Nominee-registered shareholders receive notification of allotment in accordance with instructions from the respective nominee.

Through the Rights Issue, the number of shares in the Company increase by 35,435,674 shares, from 35,435,674 shares to 70,871,348 shares and the share capital increase by SEK 35,435,674, from SEK 35,435,674 to SEK 70,871,348. In the event that all warrants are also fully exercised for subscription of new shares in the Company, the number of shares in the Company will increase with an additional maximum of 35,435,674 shares, from 70,871,348 shares to 106,307,022 shares, and the share capital will increase with an additional maximum SEK 35,435,674, from SEK 70,871,348 to SEK 106,307,022. Each warrant of series TO10 B entitles the holder to subscribe for one (1) new share in the Company at an exercise price corresponding to seventy (70) percent of the volume-weighted average price of the Company's share on Nasdaq First North Premier Growth Market during the period from and including September 12, 2022 to and including September 23, 2022, however a minimum of SEK 1.00 and a maximum of SEK 2.25 per share.

The Extraordinary General Meeting on September 23, 2021, resolved to authorize the Board of Directors to resolve on the over-allotment issue described in the prospectus that was published on September 24, 2021, in order to satisfy any oversubscription in the Rights Issue. However, the outcome in the Rights Issue means that the over-allotment issue will not be carried out.

Trading with BTU (Paid Subscribed Unit) takes place on Nasdaq First North Premier Growth Market until the conversion of BTU into shares and warrants after the Rights Issue has been registered with the Swedish Companies Registration Office. Registration with the Swedish Companies Registration Office is expected to take place during week 43, 2021.

In connection with the Rights Issue, a number of external investors have made underwriting commitments. For underwriting commitments made, underwriting compensation of 10 percent of the underwritten amount is paid in cash or alternatively 12 percent of the underwritten amount in the form of newly issued shares in the Company. Underwriters who wish to receive underwriting compensation in the form of newly issued shares must notify Mangold Fondkommission AB no later than 25 October, 2021. The subscription price for shares issued as underwriting compensation has been set at SEK 1.50 per share. In total, a maximum of 3,501,700 new shares may be issued as underwriters compensation to the underwriters.

Advisors
Mangold Fondkommission AB is the financial advisor to iZafe in connection with the Rights Issue. Eversheds Sutherland Advokatbyrå AB is the legal advisor to the Company in connection with the Rights Issue.

Important information
Release, announcement or distribution of this press release may, in certain jurisdictions, be subject to restrictions according to law and people in those jurisdictions, in which this press release has been announced or distributed, should inform themselves of and follow such legal restrictions. This press release does not constitute an offer, or a solicitation of any offer, to buy or subscribe for any securities in iZafe in any jurisdiction. Invitation to the persons concerned to participate in the Rights Issue has only taken place through the EU growth prospectus which the Company published on September 24, 2021.

This press release does not constitute or form part of an offer or solicitation to purchase or subscribe for securities in the United States. The securities referred to herein may not be sold in the United States absent registration or an exemption from registration under the US Securities Act of 1933, as amended. The information in this press release may not be announced, published or distributed in or into the United Kingdom, the United States, Canada, Japan, Australia, Hong Kong, New Zealand, Switzerland, South Africa or in any other jurisdiction where the announcement, publication or distribution of the information would not comply with applicable laws and regulations.

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

This press release contains certain forward-looking information that reflects the Company’s present view of future events as well as financial and operational development. Words such as “intend”, “assess”, “expect”, “may”, “plan”, “believe”, “estimate” and other expressions entailing indications or predictions of future development or trends, not based on historical facts, constitute forward-looking information. Forward-looking information is inherently associated with both known and unknown risks and uncertainties as it depends on future events and circumstances. Forward-looking information is not a guarantee of future results or development and actual outcomes may differ materially from the statements set forth in the forward-looking information.

About Us

iZafe announces outcome of rights issue

iZafe publishes prospectus due to the forthcoming rights issue of units

iZafe Group AB (publ) (“iZafe” or the “Company”) has prepared an EU growth prospectus (“The Prospectus”) for the forthcoming issue of units consisting of shares and warrants with preferential rights for existing shareholders, which was resolved on and announced on September 6, 2021 (the “Rights Issue”) as well as approved by the extraordinary general meeting on September 23, 2021. The Prospectus was approved and registered by the Swedish Financial Supervisory Authority today. The prospectus is now available on the Company’s website, www.izafe.se, and will be made available on Mangold Fondkommission AB’s website, www.mangold.se, as well as the Swedish Financial Supervisory Authority’s website, www.fi.se.

The Prospectus has been prepared due to the forthcoming issues of units with preferential rights and was approved and registered by the Swedish Financial Supervisory Authority as of today, September 24, 2021. The Prospectus, containing the full terms and conditions and other information about the Rights Issue is available on the Company’s website, www.izafe.se, as of today, September 24, 2021. The Prospectus will also be made available on Mangold Fondkommission AB’s website, www.mangold.se, as of October 4, 2021. Subscription forms and other information regarding the Rights Issue will be made available on the Company’s and Mangold Fondkommission AB’s website as of October 4, 2021. The Prospectus will also be available on the Swedish Financial Supervisory Authority’s website, www.fi.se.

The record date for obtaining unit rights is September 30, 2021. The subscription period will run from October 4, 2021 to October 18, 2021.

Important information
Release, announcement or distribution of this press release may, in certain jurisdictions, be subject to restrictions according to law and people in those jurisdictions, in which this press release has been announced or distributed, should inform themselves of and follow such legal restrictions. This press release does not constitute an offer, or a solicitation of any offer, to buy or subscribe for any securities in iZafe in any jurisdiction. Invitation to the persons concerned to participate in the Rights Issue will only take place through the EU growth prospectus which the Company has published in connection with the Rights Issue.

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

This press release contains certain forward-looking information that reflects the Company’s present view of future events as well as financial and operational development. Words such as “intend”, “assess”, “expect”, “may”, “plan”, “believe”, “estimate” and other expressions entailing indications or predictions of future development or trends, not based on historical facts, constitute forwardlooking information. Forward-looking information is inherently associated with both known and unknown risks and uncertainties as it depends on future events and circumstances. Forward-looking information is not a guarantee of future results or development and actual outcomes may differ materially from the statements set forth in the forward-looking information.

About Us

iZafe publishes prospectus due to the forthcoming rights issue of units

iZafe resolves on a fully guaranteed rights issue of units of approximately SEK 53 million

The Board of Directors of iZafe Group AB (publ) (“iZafe” or the “Company”) has today, subject to the shareholders' subsequent approval, decided to carry out of an issue of units consisting of shares and warrants with preferential rights for existing shareholders of approximately SEK 53 million (the “Rights Issue”). The Rights Issue is covered to approximately 18 percent through subscription commitments and to approximately 82 percent through underwriting commitments and is thus covered to 100 percent in total through subscription commitments and underwriting commitments. Notice to the extraordinary general meeting will be published in a separate press release.

Summary

The Board of Directors of iZafe has resolved to carry out the Rights Issue of units consisting of shares and warrants of series TO10 which, when fully subscribed, initially can provide iZafe with approximately SEK 53 million before issue costs. The resolution is subject to approval from an extraordinary general meeting in the Company. Should the Rights Issue be oversubscribed, the Board of Directors may decide to issue additional units corresponding to a value of up to approximately SEK 7 million against payment by set-off directed to an issuer of a credit facility (the "Over-Allotment Issue").
In the event of full subscription and full exercise of all warrants of series TO10 in conjunction with offered units, the Company may be provided with an additional maximum of either approximately SEK 80 million or approximately SEK 90 million, depending on whether the Over-Allotment Issue is carried out.
The Rights Issue is covered to approximately 18 percent through subscription commitments and to approximately 82 percent through underwriting commitments. Thus, the Rights Issue is covered to 100 percent in total through subscription commitments and underwriting commitments.
All existing shareholders will receive one (1) unit right for each one (1) share owned on the record date, September 30, 2021. One (1) unit right gives the right to subscribe for one (1) unit. One (1) unit consists of one (1) newly issued share and one (1) warrant of series TO10. The subscription price per unit is SEK 1.50, corresponding to SEK 1.50 per share (the warrants are issued free of charge).
The subscription period for the Rights Issue will run from October 4, 2021 to October 18, 2021.
The subscription price for subscription of shares with the support of warrants of series TO10 corresponds to 70 percent of the volume-weighted average price paid for the Company’s shares on Nasdaq First North Premier Growth Market during the period from September 12, 2022 to September 23, 2022, but not less than SEK 1.00 (the share’s quota value) and not more than SEK 2.25.
The exercise period for subscription of shares with the support of the warrants runs from September 27, 2022 to October 11, 2022.
The Rights Issue is carried out in order to be able to produce, continuously develop, sell and market Dosell to partners and consumers on a long-term and large-scale basis.

Comment from the CEO
“We are facing a number of exciting business opportunities in the coming years and need to strengthen the company financially ahead of our impending offensive expansion. Finally, as a company, we can go from being a start-up to becoming a scale-up where we launch Europe's first consumer-adapted pharmaceutical robot in Sweden and soon in Italy. We also look forward to delivering significant volumes to our partners in the Nordic region and developing sales through these so that we can adapt quickly and agile based on the needs of public care. With one leg in the consumer market and the other in the corporate market, we need to ensure long-term production, development and warehousing to fundamentally change healthcare and digitize drug management for users who want to live a safe and independent life at home longer – today and in the future”, comments Anders Segerström, CEO of iZafe.

Background and rationale in summary
iZafe is a medical technology company that develops digital solutions for easier and safer drug handling at home. The Company’s products and services reduce the risk of incorrect medication, increase security for family and relatives, and relieve public care. The Company’s main product, Dosell, is a patented digital machine that is placed in the home or within healthcare and ensures that the user receives the right medicine at the right time.

For the past two years, iZafe has streamlined its operations, invested in product development and pilot projects, and established a partner network. Thus, the Company is well positioned to grow and capitalize on the major challenges facing society today; the population is aging, an increasing amount of people are living longer lives, and the prescription of medicines to people over the age of 65 is increasing. When the increased efforts of society to digitize care are now implemented, and measures to strengthen care for the elderly are intensified, iZafe has positioned Dosell as the clear alternative.

In the late spring of 2021, an upgraded version of Dosell was launched. Dosell 2.0 is a result of the ongoing work where iZafe, together with users, partners and participants in pilot studies, exchanged experiences and documented data that provided important information for the Company’s ongoing development process. In addition to previous capabilities, Dosell 2.0 has been supplemented to meet all Medical Device Regulation requirements and includes a host of improvements and new built-in features such as a safer and simpler process, rechargeable lithium-ion batteries, an updated Dosell app and updated design that makes the product more flexible and user-friendly.

In 2021, iZafe will also be the first supplier to market and provide a consumer version of a pharmaceutical robot with drug dispensing via sachets. With the launch of Dosell Consumer, a completely new market opens which consists of the approximately 200,000 people who already medicate via sachets and the approximately 500,000 people in Sweden who medicate manually, for example using dosages. The consumer version is a subscription service that provides the opportunity to subscribe privately to a pharmaceutical robot without being dependent on the care or home service providing the equipment.

In order to be able to produce, continuously develop, sell and market Dosell to partners and consumers on a long-term and large-scale basis, the Board for iZafe has now resolved to carry out the Rights Issue.

Terms for the Rights Issue
The Board of Directors of iZafe has resolved on the Rights Issue, subject to the subsequent approval from an extraordinary meeting in the Company, in accordance with the following main terms:

All existing shareholders will receive one (1) unit right for each (1) share owned on the record date, September 30, 2021, and one (1) unit right gives the right to subscribe for one (1) unit. One (1) unit consists of one (1) newly issued share and one (1) warrant of series TO10. The subscription price per unit is SEK 1.50, corresponding to SEK 1.50 per share (the warrants are issued free of charge).
The Rights Issue entails an issue of a maximum of 35,435,674 units, corresponding to 35,435,674 shares and 35,435,674 warrants.
Upon full subscription in the Rights Issue, the Company receives approximately SEK 53 million before issue costs.
The subscription period for subscription of units will run from October 4, 2021 to October 18, 2021.
Should the Rights Issue be oversubscribed, the Board of Directors may decide to carry out the Over-Allotment Issue of additionally not more than 4,666,666 units, corresponding to a value of up to SEK 7 million, directed to Formue Nord Markedsneutral A/S which provides the credit facility raised by the Company during the first quarter of 2021. Payment in the Over-Allotment Issue will be made by way of set off.
Through the Rights Issue, the share capital may increase by a maximum of SEK 35,435,674.00, from SEK 35,435,674.00 to SEK 70,871,348.00. If the Company carries out the Over-allotment Issue, the share capital may increase by a further maximum of SEK 4,666,666.00 to a total of a maximum of SEK 75,538,014.00. Upon full exercise of the warrants covered by the Rights Issue, the share capital may increase by an additional SEK 35,435,674.00. If the Over-Allotment Issue is carried out, the share capital can instead be increased by an additional SEK 40,102,340.00 as a result of full exercise of all warrants of series TO10.
The existing shareholders in the Company who do not subscribe for units in the Rights Issue will be subject to dilution. A fully subscribed Rights issue entails a dilution corresponding to 50.0 percent. If the Over-allotment Issue is carried out, the dilution amounts to approximately 53.1 percent. The maximum increase in the number of shares in the Company as a result of full subscription of the Rights Issue and full exercise of attached warrants of series TO10 may entail a total dilution of approximately 66.7 percent. The maximum increase in the number of shares in the Company as a result of full subscription in the Rights Issue and the Over-allotment Issue, including the exercise of all pending TO10 series warrants, may entail a total dilution of approximately 69.4 percent.
The exercise period for subscription of shares with the support of the warrants will run from September 27, 2022 to October 11, 2022.
The subscription price for subscription of shares with the support of warrants of series TO10 corresponds to 70 percent of the volume-weighted average price paid for the Company’s shares on Nasdaq First North Premier Growth Market during the period from September 12, 2022 to September 23, 2022, but not less than SEK 1.00 (the share’s quota value) and not more than SEK 2.25.
In the event of full subscription and full exercise of all warrants of series TO10 in conjunction with offered units, the Company may be provided with an additional maximum of either approximately SEK 80 million or approximately SEK 90 million, depending on whether the Over-Allotment Issue is carried out.
The warrants are intended to be admitted to trading on the Nasdaq First North Premier Growth Market after final registration with the Swedish Companies Registration Office.

Subscription commitments, underwriting commitments and lock up
The Rights Issue is covered to approximately 18 percent through subscription commitments and to approximately 82 percent through underwriting commitments. In total, 100 percent of the Rights Issue is covered by subscription commitments and underwriting commitments. The subscription commitments and underwriting commitments are not secured through bank guarantees, pledge or similar arrangements. Subscription commitments have been made by a number of existing shareholders in the Company (by, among others, Chairman of the Board Joachim Källsholm, Board member Richard Wolff, CEO Anders Segerström, CFO Ida Almgren, Sales Manager Tobias Johansson, former Chairman of the Board Carl Johan Merner and the Company’s founders Göran Sjönell and Sten Röing) as well as external investors. The underwriting commitments have been provided by external investors. For the underwriting commitments, an underwriting commission of ten (10) percent of the guaranteed amount in cash compensation or twelve (12) percent of the guaranteed amount in the form of shares is paid. The subscription price for any shares issued to underwriters shall correspond to the subscription price in the issue. No compensation is paid for the subscription commitments. Furthermore, the Company's CEO, Anders Segerström, has undertaken not to sell his shares in the Company for a period of 12 months through a so-called lock-up agreement.

Prospectus
An EU growth prospectus and application form will be available before the beginning of the
subscription period on the Company's website, www.izafegroup.com.

Timetable

September 28, 2021	Last day of trading in iZafe’s shares including the right to receive unit rights
September 29, 2021	Last day of trading in iZafe’s shares excluding the right to receive unit rights
September 30, 2021	Record date for obtaining unit rights. Shareholders who are registered in the share register kept by Euroclear Sweden AB on this day, receive unit rights for participation in the Rights Issue.
October 4 – October 13 2021	Trading in unit rights on Nasdaq First North Premier Growth Market
October 4 – October 18 2021	Subscription period for the Rights Issue
October 21, 2021	Estimated date for publication of issue results

Important information
Release, announcement or distribution of this press release may, in certain jurisdictions, be subject
to restrictions according to law and people in those jurisdictions, in which this press release has been
announced or distributed, should inform themselves of and follow such legal restrictions. This press
release does not constitute an offer, or a solicitation of any offer, to buy or subscribe for any
securities in iZafe in any jurisdiction. Invitation to the persons concerned to participate in the Rights
Issue will only take place through the EU growth prospectus which the Company intends to publish
in connection with the Rights Issue.

This press release does not constitute or form part of an offer or solicitation to purchase or subscribe
for securities in the United States. The securities referred to herein may not be sold in the United
States absent registration or an exemption from registration under the US Securities Act of 1933, as
amended. The information in this press release may not be announced, published or distributed in
or into the United Kingdom, the United States, Canada, Japan, Australia, Hong Kong, New Zealand,
Switzerland, South Africa or in any other jurisdiction where the announcement, publication or
distribution of the information would not comply with applicable laws and regulations.

This press release contains certain forward-looking information that reflects the Company’s present
view of future events as well as financial and operational development. Words such as “intend”,
“assess”, “expect”, “may”, “plan”, “believe”, “estimate” and other expressions entailing indications
or predictions of future development or trends, not based on historical facts, constitute forwardlooking
information. Forward-looking information is inherently associated with both known and
unknown risks and uncertainties as it depends on future events and circumstances. Forward-looking
information is not a guarantee of future results or development and actual outcomes may differ
materially from the statements set forth in the forward-looking information.

About Us

iZafe resolves on a fully guaranteed rights issue of units of approximately SEK 53 million

Changed number of shares in iZafe Group AB

Stockholm, Sweden. iZafe Group AB (publ.) (NASDAQ First North: IZAFE B) – a leading life science company in the digitalization of medication management decided in November 2018 on a warrant program, TO 6 B. The exercise period for the warrants of series TO 6 B took place during the period 14 May 2021 to 28 May 2021 and has thus been completed. A total of 7,974 TO 6 B was used for subscription, implying a utilization rate of approximately two percent.

A total of 7,974 warrants were used, corresponding to approximately two percent of all issued warrants, for subscription of 7,974 Class B shares at a subscription price of SEK 2.60 per Class B share. Through the exercised warrants, iZafe Group will thus receive just over SEK 20 thousand before issue costs.

Number of shares and share capital
Through the exercise of the warrants, the number of shares in iZafe Group will increase by 7,974 Class B shares, from 34,827,700 to 34,835,674 Class B shares. The share capital thereby increases by SEK 7,974, from SEK 35,427,700 to SEK 35,435,674.

The issue entails a dilution effect of the share capital of approximately 0.02 percent.

About Us

iZafe Group is a Swedish med-tech company that develops and markets medical and digital security solutions to create safer drug handling at home. Our digital medicine dispenser Dosell reduces the risk of incorrect medication, increases security for family and relatives and relieves public care personnel. Our products form a holistic concept that facilitates patient medication and gives those who are treated at home better conditions for a happy and safe life.

Changed number of shares in iZafe Group AB

iZafe Group will receive SEK 2.6 million through the redemption of warrants of the TO9 series

iZafe Group AB (publ) (“iZafe Group” or “the Company”) issued 1,000,000 warrants (TO9) in connection with the procurement of a credit facility during April 2020. The exercise period for the TO 9 series warrants began on 12 April and ended on 16 April 2021. All warrants were subscribed, which adds SEK 2.6 million to iZafe Group before issue costs.

A total of 1,000,000 warrants were exercised, corresponding to 100 percent of issued warrants of series TO9. The subscription price per share would, in accordance with the warrant terms, correspond to 85 percent of the volume-weighted average price paid for the Company's B share during the period from 5 April 2021 to 9 April 2021 (5-day VWAP), but not less than SEK 2.20 and a maximum of SEK 2.60 per share and the subscription price has been set at SEK 2.60 per B share. Through the exercised warrants, iZafe Group is thus provided with SEK 2.6 million before issue costs.

"I am pleased that our lenders from 2020 are showing such great interest and believe in iZafe Group's continued journey towards strengthening our leading position in digital medicine dispensing." says iZafe Group's CEO Anders Segerström.

Number of shares and share capital
Through the exercise of the warrants, the number of shares in iZafe Group will increase by 1,000,000 Series B shares, from 34,427,700 to 35,427,700 Class B shares. The share capital increases by SEK 1,000,000, from SEK 34,427,700.00, to SEK 35,427,700.00.

The issue entails a dilution effect of the share capital of approximately 2.8 percent and of the number of votes of approximately 2.5 percent.

Advisor
Stockholm Corporate Finance AB is the financial advisor, KANTER Advokatbyrå KB is the legal advisor and Hagberg & Aneborn Fondkommission AB is the issuing institution in connection with the exercise of options.

About Stockholm Corporate Finance
Stockholm Corporate Finance is an independent privately owned financial advisor that offers services within qualified advice regarding capital raising, ownership changes, acquisitions, mergers and divestments (M&A) to listed and private companies and their owners. Stockholm Corporate Finance is the exclusive Swedish partner in the global network M&A Worldwide, which consists of 50 M&A advisers and investment banks in 35 countries. Stockholm Corporate Finance is an investment firm under the supervision of Finansinspektionen and is a member of the trade association SwedSec Licensiering AB. For more information see: www.stockholmcorp.se.

About Us

iZafe Group will receive SEK 2.6 million through the redemption of warrants of the TO9 series

Board of directors of iZafe Group resolves in favour of offset issue

Stockholm, Sweden – iZafe Group AB (publ) (NASDAQ First North: IZAFE B), a leading Life Science company focused on the digitalisation of healthcare, is announcing that the board of directors of iZafe Group AB (“iZafe” or “the company”) has today resolved to execute a new share issue.

Supported by the authorisation granted by the 2020 annual general meeting, the board of directors has today resolved to execute an offset issue (issue of shares in consideration for debt) directed at Sten Röing, who has a claim against the company of SEK 862,500 in total.

The offset issue will comprise a maximum of 349,190 Class B shares and will increase shares outstanding from 34,078,510 to 3,494,010 divided among 600,000 Class A shares and 34,341,010 Class B shares.

The subscription price for the offset issue will be SEK 2.47 per Class B share. The subscription price corresponds to the volume weighted average price, calculated as the daily volume-weighted price paid on Nasdaq Premier Growth Markets for Class B shares in the company during a period of 10 trading days immediately preceding the date of the board resolution, with a discount of five percent.

The board has elected to waive shareholders’ pre-emptive rights because the offset issue will strengthen the company’s financial position in a timely and cost-effective manner.

About Us

Board of directors of iZafe Group resolves in favour of offset issue