Is this the way transactions are going to be done to cover routine operation?
Yes, this transaction represents the primary option that Brighter currently has decided on to finance its routine operations. We have other types of transactions available to us as well, similar to this one, and we are continuously evaluating what type of transaction that is most efficient for the company as well as its shareholders at any given time.
Further to that the Board and Leadership team are working on and evaluating additional financing options to secure the funds and resources needed to pursue the ambitious expansion strategy. E.g. Directed share issues to institutions, family offices and other professional investors, and financial agreements/prepayments from large customers/distributors.
Is Unwrap Finance Nordic to be regarded as a long-term investor?
Unwrap Finance Nordic is a financial investor with whom Brighter has a long and solid relationship, but is not to be regarded as an institutional investor in that sense.
Why did you not have a lock-in clause for this transaction?
A lock-in clause is not standard when it comes to directed issues. The discount in this transaction is standard. Addition of nonstandard clauses for such a transaction would have come at a cost of a significantly higher discount.
What differentiates this transaction from the ones done with L1 and Winance? Is this a “DSF”?
This transaction with Unwrap Finance Nordic is a regular directed share issue and has no relation to the kind of agreements that were signed with L1 Capital and Winance. Those agreements had transactions with convertibles and warrants linked to them. Neither of the agreements with L1 Capital or Winance were so-called DSF either, as Brighter protected its shareholders by making sure that the shareholders received free warrants and not just the investor. Following is a visualization of the Brighter share price development during the period of L1 Capital transactions.
Will there be additional directed share issues?
Yes, likely and Unwrap Finance is likely to be part of some of these. The priority, however, is to attract long-term institutional investors, but that is not short term.
Why are you not directing a share issue to larger institutional investors, with long-term focus, instead?
Larger institutional and professional value investors typically don’t invest smaller sums that would be appropriate in this situation. With Brighter’s current market cap of approximately SEK 600 million, a large investment would also lead to a significant dilution for the current shareholders.
However, it is a priority to bring aboard this type of investors and we are actively working on making that happen, taking into account the interests of shareholders. Key is to reach the next phase in our commercialization efforts.
Does this transaction affect the terms of the outstanding TO5 warrants?
No, according to the terms for TO5 a directed issue does not trigger a recalculation. This is standard terms for warrants. Recalculation is normally triggered by preferential rights issues (företrädesemission).
