(Finance) – The Board of Directors of CircleInnovative SME listed on the Euronext Growth market, has resolved to increase the share capital, for a fee, in a divisible manner, for a nominal maximum of Euro 11,055, plus premium, with the overall contribution of a maximum of Euro 1,179,750.00 (including premium) , through the issuance of maximum no. 165,000 (one hundred and sixty-five thousand) new ordinary shares without indication of par value and with regular dividend rights (the “Capital Increase”).
In particular, a note explains, the exclusion of right of option in favor of Algebris Investments Limited (“Algebris”) is motivated by strategic reasons; the further opening to institutional investors aims, in fact, to support the growth of Circle’s core business, without any burden on the financial position and on the income statement, as well as, in particular, to further evolve its innovative portfolio of products and continue along the path of Systematic Merger & Acquisition, exploiting the opportunities present on the market, in line with the “Connect 4 Agile Growth” Plan. The newly issued ordinary shares were offered in a private placement, without publication of a public offering prospectus.
The 165,000 new Circle ordinary shares resulting from the Capital Increase were entirely subscribed by Algebriswho will therefore become the owner of n. 220,770 Circle ordinary shares (considering the 55,770 Circle ordinary shares already held by the same) and therefore a stake equal to 4.62% of the share capital.
The regulation of the subscription operations will take place through delivery and payment of the new shares on 30 December 2024.
In execution of the Capital Increase resolution, the issue price of the new ordinary shares, equal to Euro 7.15 per share (of which Euro 0.067 to be attributed to share capital), was determined according to the criteria established by the Board of Directors, based on the value resulting from the weighted average for the volumes traded (Volume Weighted Average Price or “VWAP”) of the value of the Circle stock calculated over the period of 1 (one) month prior to today’s date (more precisely, of 31 days calculated starting from the last trading day preceding (inclusive) today’s date) and, adjusted by applying a discount of approximately 7.53% compared to this weighted average (the “Price”). For completeness, it is also specified that the Price incorporates a premium of approximately 1.56% compared to the closing price of the stock on 20 December 2024.
Luca Abatello, president of Circle Groupcommented “This capital increase was considered strategic for the importance of the international investor of the caliber of Algebrisfor the strong confidence confirmed in the “Connect 4 Agile Growth” plan, for the particular moment in the financial markets and on EGM, all aspects that further strengthen this choice and its value”.