Pfizer Ireland has agreed to invest $1.5 million in cash to acquire 2,516,299 new Entelos shares, representing 3.3% of the enlarged share capital of Entelos.
Following the subscription, Pfizer Ireland will hold a total of 5,214,334 Entelos shares representing 6.9% of the enlarged share capital of Entelos.
All of the shares to be issued will be subject to an orderly marketing agreement which provides that, subject to certain limited exemptions, the new shares may not be disposed of within 12 months following the closing date of the subscription, which is expected to be 31 October 2007, other than through Evolution Securities Limited, the company’s broker and nominated advisor, so as to ensure an orderly market for the issued share capital of the company. An application will be made for the new Entelos shares to be admitted to trading on AIM and admission is expected to become effective on 9 November 2007.
James Karis, president and CEO of Entelos said: “We are pleased that Pfizer has agreed to increase its holding in the company. We plan to utilize the proceeds of this investment to facilitate the company’s growth strategy.”