RNS Number : 5517W
Xenetic Biosciences PLC
01 February 2012
Xenetic Biosciences plc
('Xenetic' or 'the Company')
Proposed Open Offer Cancelled
Xenetic Biosciences plc (LSE: XEN.L), a bio-pharmaceutical company specialising in the development of high-value differentiated biological and vaccines and novel cancer drugs, announces that the Open Offer as proposed as set out in the Shareholder Circular dated 4th August as approved by shareholders in General Meeting on 2nd September 2011 will not be implemented.
The genesis of the underlying proposal to make an Open Offer to shareholders on the register as at 3rd August 2011 was to allow them to participate in the then- upcoming financing round to raise £12,463,000 (before expenses) by way of share placings at 11 pence per share to SynBio and Serum Institute of India, alongside the Acquisition of SymbioTec GmbH by the Company.
Completion of the Acquisition proved to be a much protracted process, eventually occurring only on 16th January 2012, and in the months leading up to completion of the Acquisition, market uncertainties saw the market price of the Company's shares fall to an eventual low of 6.5 pence on 22 November 2011.
Against this background, and in spite of the completion of all the Proposals, the [9.00 pence] share price at close of business on 31 January 2012 remains below the Open Offer price of 11 pence per share. The Directors have therefore determined that in these circumstances it is not in the best interests of the Company to implement the Open Offer at this time.
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