- Bondholders convert 26% (€3.0 million) of their bonds into Pharming Shares
Leiden, the Netherlands – 05 Dec 2017

Pharming Group N.V. (“Pharming” or “the Company”) (Euronext Amsterdam: PHARM) announced today that it has issued a total of 10,563,380 new shares from within the amount allocated to conversion of the Ordinary Convertible Bonds (the “Bonds”) to redeem €3.0 million of the Bonds being converted by their holders, thereby reducing the outstanding amount of the Bonds to €8.5 million.

The number of shares issued represents 2.0% of the outstanding shares immediately before the issue, and the number of issued shares following this conversion is 546,159,377.

At the same time, holders of 1,634,483 warrants to acquire Pharming shares have exercised their warrants cashless, resulting in the issue of 1,264,664 new Pharming shares. These warrants were responsible for some of the financial adjustment at the end of each quarter for the last four quarters, and therefore this exercise will further reduce the size of these IFRS adjustments.

As the conversion occurs within the fully diluted capital, there is no net effect on the available share capital (‘headroom’), which is however improved slightly by the cashless exercise of warrants to 142,906,743 shares.

Dr Sijmen de Vries, Chief Executive Officer of Pharming, commented: “This early conversion is very good news for Pharming shareholders. It reduces by more than 25% the effect of these bonds on our quarterly net results, where the change in the underlying value of the conversion shares is responsible for the large non-cash financial adjustments under IFRS. This conversion also saves Pharming cash and improves the bottom line through reduced interest payments. The cashless exercise of the warrants will also serve to reduce the non-cash adjustments each quarter, and reduces the future dilution risk from these warrants.”

Contacts for media inquiries or further information:

Pharming Group N.V.

Sijmen de Vries, CEO