While the rights issue came short of our expected level (close to full), the larger share of SciBase’s current raise comes from the directed issue. Assuming the directed issue is approved by the EGM, the full capital raise would still reach 88% of the maximum proceeds and close successfully. This would imply only small changes to the company’s cash runway and our valuation where we assumed 100% success. We will update our valuation and recommendation for the stock at the latest in connection with SciBase’s Q1 report in a few weeks. Rights issue came in short, full capital raise still looks successful On Friday, SciBase announced that their rights issue reached 61% of the maximum subscriptions or around 9 MSEK before expenses. The unit rights were used to subscribe for 37% of the full rights issue, while an additional 24% was subscribed for without the support of unit rights. As the warrants connected to the unit rights subscription have a significant claim to SciBase’s equity value upside, we expected close to full subscription, and the low level of unit right usage (37%) came as a surprise. However, we recognize that the rights issue happened at a time where SciBase is still building visibility towards the success of their commercial ramp-up in the US, and the related risks may have kept investors cautious. Regardless, SciBase’s overall capital raise also consisting of a directed issue still seems successful. The directed issue, subject to EGM approval on May 13th, would deliver 33 MSEK of new capital before expenses. With the 9 MSEK gross proceeds from the rights issue and 33 MSEK from the directed share issue (which is not yet completed), SciBase would still raise 42 MSEK out of the around 48 MSEK maximum, meaning an 88% success rate for gross proceeds before costs. This means the company would mostly retain the additional cash runway targeted with the raise, implying only minor changes to our valuation. Hence, we do not make immediate changes to our valuation or recommendation and will update these at the latest in connection with Scibase’s Q1 report in a few weeks.

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