Carmat: launch of capital increase

(CercleFinance.com) - On Wednesday morning, Carmat shares were among the biggest decliners on the Paris Bourse, as the manufacturer of artificial hearts announced the launch of a 10.
3 million euro capital increase.

At around 10:00 a.m., the share price was down more than 14%, while the Paris market was broadly stable.

Last night, Carmat announced the launch of a capital increase with cancellation of preferential subscription rights, based on a price of 1.60 euros per share, a discount of over 21% on Monday evening's share price.

Beyond this discount, the operation is expected to be 15% dilutive for shareholders who do not take part.

Although the operation - already 65% subscribed to by investors - will strengthen the company's balance sheet, it has not managed to completely de-stress the market.

Assuming a successful fund-raising, the company explains that it would be in a position to finance its activities until the end of 2024, i.e. for just over three months.

Even after the offer, the company still estimates its financing requirements over a 12-month horizon, i.e. until the end of September 2025, at between 36 and 38 million euros, leading some analysts to say that the operation offers only short-term respite.

The need for financing is significant, but remains marginal in relation to the commercial potential", say the teams at All Invest, who will act as global coordinator and bookrunner.

"The newsflow in 2025 is crucial and should enable us to significantly increase the valuation", assures the brokerage firm.

Penalized by these major financing requirements and the downward revision of its sales outlook, Carmat has fallen by more than 70% since the start of the year on the Paris Bourse.

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