Results of General Meeting & Open Offer

RNS Number : 6308G

Eden Research plc

18 March 2020

 

18 March 2020

Eden Research Plc

("Eden" or "Company")

Results of General Meeting & Open Offer  

Eden Research plc (AIM: EDEN), the AIM-quoted company that develops and supplies breakthrough biopesticide products and natural microencapsulation technologies to the global crop protection, animal health and consumer products industries, is pleased to announce that at the General Meeting held earlier today, all resolutions proposed were duly passed by shareholders. Details of the votes cast by proxy will be published on the Company's website shortly.

Furthermore, the Open Offer closed for acceptances at 11.00 a.m. on 17 March 2020 with final valid applications from Qualifying Shareholders in respect of 4,817,558 Open Offer Shares including 1,475,496 applications under the Excess Application Facility, representing a take-up of approximately 58.13 per cent. of the Open Offer Shares.

Accordingly, the Company will raise a total of approximately £10.4 million (before expenses) through the Placing, Subscription and Open Offer through the  issue and allotment of 173,150,892 new Ordinary Shares. An application has been made for the 86,182,500 EIS/VCT Placing Shares to be admitted to trading on AIM, which is expected to take place at 8.00 a.m. on 19 March 2020. A further application has been made for the 86,968,392 Ordinary Shares being the General Placing Shares, the Subscription Shares and the Open Offer Shares to be admitted to trading on AIM, which is expected to take place at 8.00 a.m. on 20 March 2020.

The Company expects to apply the net proceeds of the Fundraise to advance the development, registration and commercialisation of new key product categories, including new insecticide formulations and seed treatments. The Company also plans to continue developing the use of Sustaine ä , one of the only viable, proven solutions to the microplastics problem in formulations requiring encapsulation, for a broader range of products.

Following Admission, the Company's issued share capital will comprise 380,340,229 Ordinary Shares, of which none are held in treasury. The above figure of 380,340,229 may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the voting rights of the Company under the FCA's Disclosure Guidance and Transparency Rules.

Unless otherwise defined herein, capitalised terms used in this announcement shall have the same meanings as defined in the circular sent to shareholders of the Company on 2 March 2020.

For further information contact:

Eden Research plc	www.edenresearch.com
Sean Smith Alex Abrey	01285 359 555
Cenkos Securities plc (Nominated advisor and broker)
Giles Balleny / Cameron MacRitchie (corporate finance) Michael Johnson (sales)	020 7397 8900
Hawthorn Advisors (Financial PR)
Lorna Cobbett Jana Tsiligiannis	[e-mail]

 Notes:

Eden Research    is an AIM quoted company that develops and supplies breakthrough biopesticide products and natural microencapsulation technologies to the global crop protection, animal health and consumer products industries

Eden's Sustaine encapsulation technology harnesses the biocidal efficacy of naturally occurring chemicals produced by plants (terpenes) and can be used with both natural and synthetic compounds to enhance their performance and ease-of-use.

Sustaine    microcapsules are naturally derived, plastic-free, biodegradable micro-spheres derived from yeast extract. They produce stabilised aqueous suspensions which, are easy to mix and apply, have phased release patterns, are safer for the environment and the crops themselves.

The European Chemicals Agency (ECHA) has proposed an EU-wide restriction on the placing on the market or use of "intentionally-added" microplastic particles. The proposed restriction includes the use of microplastics for agricultural and horticultural purposes, including polymers utilized for controlled-release fertilizers, encapsulated plant protection products (PPPs), seed coatings, and biocides.

By 2025 in the EU, pesticides containing synthetic polymer microplastics are likely to be banned and removed from the market. The only acceptable alternative is the substitution with biodegradable formulations. Reformulated products will need to be evaluated and registered within the five-year transition period.

Sustaine   is one of the only viable, proven and immediately registerable solutions to the microplastics problem in formulations requiring encapsulation.

Historically, terpenes have had limited commercial use in the agrochemical sector due to their volatility, phytotoxicity and poor solubility. Sustaine provides a unique, environmentally friendly solution to these problems and enables terpenes to be used as effective, low-risk agrochemicals.

Eden is developing these technologies through innovative research and a series of commercial production, marketing and distribution partnerships.

The Company has a number of patents and a pipeline of products at differing stages of development targeting specific areas of the global agrochemicals industry. To date, the Company has invested in the region of 14m in developing and protecting its intellectual property and seeking regulatory approval for products that rely upon the Company's technologies. Revenues earned by the Company have been modest whilst the Company has concentrated on securing patent protection for its intellectual property, gaining regulatory approvals, identifying suitable industrial partners, and entering into commercial agreements. 

In May 2013, the three actives that comprise Eden's first commercial product, Mevalone, were approved as new ingredients for use in plant protection products by the European Commission ("EC"). This represented a major milestone in the commercialisation of Eden's technology and is a significant accomplishment for any company.  To illustrate this point, one should note that in 2013, Eden's approvals represented 3 of only 10 new active ingredients approved by the EC.

Mevalone    is a foliar fungicide which has been authorised for sale in Kenya, Malta, Greece, Bulgaria, Spain, Italy, France, Cyprus, Albania, Portugal and Macedonia.

Cedroz    is a nematicide which has been authorised for sale in Malta, Belgium and Mexico.

Eden was admitted to trading on AIM on 11 May 2012 and trades under the symbol EDEN.

 

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