News

Galapagos raises EUR20 million with IPO on Euronext Brussels and Euronext Amsterdam

Date: 05/05/2005

Mechelen, Belgium – Galapagos NV, a genomics-based drug discovery company, announces the details of its capital increase and listing on Euronext Brussels and Euronext Amsterdam. Galapagos will issue 2,857,142 shares (excluding the shares to be issued in connection with the over-allotment option and warrants) at a price of € 7.00 per share. As a result Galapagos raises € 20 million for financing its research in developing drugs for the bone and joint diseases. KBC Securities and Kempen & Co act as joint lead managers and joint bookrunners in this offering, Fortis is co-manager.

In total 2,939,704 new shares will be issued, of which 82,562 in connection with the exercise of warrants, excluding the over-allotment option. Together with the existing shares, the total number of outstanding shares will be 8,878,258. The issue price of € 7.00 is based on the bookbuilding system. Circa 91% of the shares will be allocated to institutional investors and circa 9% to retail investors.

The Galapagos shares will be listed on Eurolist by Euronext Brussels and Euronext Amsterdam. Trading in the shares will commence on Friday May 6, 2005, at 9.00 hours CET. Delivery and payment of the shares Galapagos will take place on Tuesday May 10, 2005. In relation with the offering, Galapagos has granted an over-allotment option to the lead managers to purchase up to 428,571 newly issued shares to cover over-allotments. This option is exercisable as of the first day of listing until 30 calendar days thereafter. The lead managers reserve the right to withdraw the transaction until the day of delivery and payment of the shares. Any allocations made will then be reversed. Payments, if any, on the allocated shares will be refunded excluding bared interest or other compensation.

In reaction to the placement, Onno van de Stolpe, CEO of Galapagos, said: “We are delighted with the success of the capital increase and the listing on Euronext. The book has been filled by a large number of quality investors throughout Europe. We are also pleased that in the end, after the adjustment of the offer size, the offer was substantially oversubscribed. We suffered from poor market sentiment during the book building and have adjusted the offering adequately. Galapagos now has almost € 30 million available to further develop our drugs for rheumatoid arthritis, osteoporosis and osteoarthritis and bring them to the clinic for at least two years. I am pleased that, in close cooperation with Kempen & Co and KBC Securities, we have been able to finalise the listing within only four months and that we can now focus again on further extending Galapagos as one of the top biotech companies in the Benelux.”