Meda reveals shareholder vote of confidence

A rights issue from Meda has been over subscribed, with 99.84 per cent of the offered shares being taken up.

The offer, comprising more than 11 million shares, was oversubscribed by around 56 per cent, the pharmaceutical company said, indicating that this revealed a vote of confidence from its stockholders.

SEB Enskilda advised Meda on the issue, which will see shares not taken up under subscription rights allotted to shareholders without preferential rights.

The issue increased the group’s outstanding share capital by 11,610,484 shares, worth 23 million Swedish krona (1.686 million pounds), while the group’s 116,104,842 shares following the sale will be worth 232 million krona.

New shares are to be traded on the Stockholm Stock Exchange starting Thursday March 1st 2007.

Anders Lonner, chief executive of Meda, said: “The acquisition of 3M’s European pharmaceutical division positions Meda as a leading European specialty [pharmaceutical] company.

“It is very gratifying that the company’s shareholders have confidence in our further build-up.”

The specialist firm decided to issue the shares in December of last year, Swedish publication sakerhetscentret.se said, with the proceeds being used to finance Meda’s acquisition of 3M.