Equity Financing-Centered Fundraising and Dilution of Share Value
First written in FY2016. 30 of 39 entries say "Materialised", first in FY2017-Q1. Latest entry: 2026-08-13.
Kidswell Bio moved to the "Worse" side of this theme in 2016.
0 other companies' latest entry also says "Mitigated".
- FY2026MaterialisedAnnual report
「The 5,742,406-share increase in issued common shares resulted from the exercise of convertible bonds with stock acquisition rights and stock acquisition rights.」
The exercise of convertible bonds with stock acquisition rights and stock acquisition rights increased the number of shares by 5,742,406 during the fiscal year, giving concrete form to continued dilution from share issuance. - FY2026-H1MitigatedAnnual report
「With respect to financing from the equity market, the company also conducted refinancing in December 2024 by purchasing and cancelling existing stock acquisition rights whose exercise prices had diverged substantially from the share price, causing the financing process to become protracted, and issuing the 23rd and 24th series of stock acquisition rights aligned with the prevailing share price. As a result, all of the 24th series of stock acquisition rights had been exercised by April 2025. In addition, the substantial progress in conversions of the fourth series of unsecured convertible bonds with stock acquisition rights issued in July 2022 since April 2025 has reduced concerns about an overhang in the company’s shares and improved supply and demand conditions toward creating an environment in which the company’s business performance is appropriately reflected in its share price.」
The company states that the purchase and cancellation of existing stock acquisition rights, refinancing through the 23rd and 24th series of stock acquisition rights, full exercise of the 24th series, and progress in conversions of the convertible bonds with stock acquisition rights have improved concerns about overhang and supply and demand conditions. - FY2025ReframedAnnual report
「On 26 December 2024, the company resolved to purchase and cancel the 15th and 18th series of stock acquisition rights (existing rights) and issue the 23rd and 24th series of stock acquisition rights (new rights) as a refinancing transaction.」
The company reorganized its financing method from raising funds through existing stock acquisition rights to refinancing through the purchase and cancellation of existing rights and their replacement with new rights. The smaller issuance size indicates consideration for dilution of shareholder value and overhang. - FY2025-H1MaterialisedAnnual report
「During the interim consolidated accounting period, the eighth, 12th, 14th and 18th series of stock acquisition rights were exercised. As a result, capital stock and capital surplus each increased by ¥122.813 million,」
The exercise of stock acquisition rights increased the total number of issued shares by 1,717,200 during the interim consolidated accounting period, giving concrete form to continued financing, primarily through capital increases, and the increase in the number of shares. - FY2024-Q3MaterialisedAnnual report
「Under these circumstances, in July 2023 the company issued stock acquisition rights by third-party allotment, subject to an exercise-price adjustment clause, to fund working capital for the biosimilar business described above, raising approximately ¥900 million in total, excluding the stock acquisition rights that remained unexercised.」
The company issued stock acquisition rights by third-party allotment to fund working capital for the biosimilar business and raised approximately ¥900 million. Financing, primarily through a capital increase, and dilution of shareholder value have taken concrete form. - FY2024-Q2MaterialisedAnnual report
「During the cumulative second-quarter period, the seventh, eighth, 12th and 18th series of stock acquisition rights were exercised. As a result, capital stock and capital surplus each increased by ¥317.622 million, bringing capital stock to ¥1,827.120 million and capital surplus to ¥11,132.721 million at the end of the second-quarter accounting period.」
The exercise of multiple series of stock acquisition rights increased the total number of issued shares by 3,771,600 during the cumulative period, and capital stock and capital surplus also increased. In addition, approximately ¥600 million was raised through the 18th series of stock acquisition rights issued in July 2023, excluding the unexercised portion, giving concrete form to the capital increase and dilution of shareholder value. - FY2024-Q1MaterialisedAnnual report
「Under these circumstances, in July 2023 the company issued stock acquisition rights by third-party allotment, subject to an exercise-price adjustment clause, to fund working capital for the biosimilar business described above, raising approximately ¥100 million in total, excluding the stock acquisition rights that remained unexercised.」
The company issued stock acquisition rights by third-party allotment to fund working capital associated with growing demand for GBS-007 and raised approximately ¥100 million. In addition, rights representing 510,000 shares were exercised after the filing, giving concrete form to financing involving an increase in the number of shares and dilution. - FY2023MaterialisedAnnual report
「The 622,166-share increase in issued common shares resulted from the exercise of stock acquisition rights.」
During the fiscal year, 622,166 shares were issued through the exercise of stock acquisition rights, giving concrete form to continued financing, primarily through capital increases, and dilution from the increase in the number of shares. - FY2023-Q3MaterialisedAnnual report
「During the third quarter, share acquisition rights relating to bonds with share acquisition rights and other instruments with an exercise price adjustment clause were exercised as follows.」
In the third quarter, 5 stock acquisition rights and other rights were exercised, and 416,666 shares were delivered. Cumulative shares delivered reached 1,582,166, giving concrete form to continued dilution from the capital increase and increase in the number of shares. - FY2023-Q2MaterialisedAnnual report
「Subsequently, in response to sales of the ranibizumab biosimilar, launched in December 2021, performing better than expected, the company raised ¥1 billion in additional long-term borrowings from Mizuho Bank, Ltd. in June 2022 to support increased production and supply of the active pharmaceutical ingredient. In July 2022, it also conducted an additional issuance by third-party allotment of unsecured convertible bonds with stock acquisition rights subject to an exercise-price adjustment clause and stock acquisition rights to fund capacity expansion for stable medium- to long-term supply, raising approximately ¥500 million, excluding the stock acquisition rights that remained unexercised.」
The company raised ¥1 billion in additional borrowings and approximately ¥500 million through convertible bonds with stock acquisition rights and stock acquisition rights to increase production capacity and expand facilities for the ranibizumab biosimilar, giving concrete form to financing involving a capital increase and dilution. - FY2023-Q1MaterialisedAnnual report
「Based on a resolution adopted at the Board of Directors meeting held on 23 June 2022 concerning the issuance by third-party allotment of the fourth series of unsecured convertible bonds with stock acquisition rights and the 15th series of stock acquisition rights, payment for the issuance was completed on 14 July 2022.」
Payment for the issuance of ¥500 million in convertible bonds with stock acquisition rights and the 15th series of stock acquisition rights representing 1,374,600 shares, allocated to CVI Investments, Inc., was completed, giving concrete form to financing involving a capital increase and dilution. - FY2022MaterialisedAnnual report
「The 1,814,700-share increase in issued common shares resulted from the exercise of stock acquisition rights.」
During the consolidated fiscal year, 1,814,700 shares were issued through the exercise of stock acquisition rights, giving concrete form to continued financing, primarily through capital increases, and dilution from the increase in the number of shares. - FY2022-Q3MaterialisedAnnual report
「During the nine-month consolidated period, stock acquisition rights attached to the third series of unsecured convertible bonds with stock acquisition rights, as well as the seventh, ninth and tenth series of stock acquisition rights, were exercised. As a result, both stated capital and the capital surplus increased by ¥387.850 million. At the end of the third-quarter consolidated accounting period, stated capital was ¥1,420.030 million and the capital surplus was ¥10,725.630 million.」
The exercise of stock acquisition rights attached to convertible bonds with stock acquisition rights and multiple series of stock acquisition rights increased both stated capital and the capital surplus by ¥387.850 million, and dilution of equity value through equity financing continued to materialise. - FY2022-Q2MaterialisedAnnual report
「During the six-month consolidated period, stock acquisition rights attached to the third series of unsecured convertible bonds with stock acquisition rights, as well as the ninth and tenth series of stock acquisition rights, were exercised.」
The exercise of stock acquisition rights and other rights increased the total number of issued shares by 1,260,000 from July to September 2021 and increased both stated capital and the capital surplus by ¥269.281 million. The increase in shares and dilution through equity financing continued to materialise. - FY2022-Q1MaterialisedAnnual report
「During the first quarter, stock acquisition rights attached to bonds with stock acquisition rights containing an adjustment clause for the exercise price and other instruments were exercised as follows.」
During the quarter, 10 stock acquisition rights and other rights were exercised, resulting in the delivery of 466,200 shares. The total number of issued shares increased by 551,200 during the quarter, and dilution through equity financing and the increase in shares continued to materialise. - FY2021MaterialisedAnnual report
「The increase of 1,975,861 in issued common shares was attributable to the exercise of stock acquisition rights」
During the consolidated fiscal year, 1,975,861 shares were issued through the exercise of stock acquisition rights, and fundraising focused on equity financing and dilution from the increase in shares continued to materialise. - FY2021-Q3MaterialisedAnnual report
「During the third quarter, share acquisition rights relating to bonds with share acquisition rights and other instruments with an exercise price adjustment clause were exercised as follows.」
Two stock acquisition rights were exercised during the third quarter, resulting in the delivery of 94,117 shares. Cumulatively, 30 rights have been exercised and 1,411,761 shares delivered, with the increase in shares and dilution through equity financing continuing to materialise. - FY2021-Q2MaterialisedAnnual report
「Stock acquisition rights attached to the second series of unsecured convertible bonds with stock acquisition rights were exercised. As a result, both stated capital and the capital surplus increased by ¥280.000 million. At the end of the second-quarter consolidated accounting period, stated capital was ¥891.711 million and the capital surplus was ¥10,197.311 million.」
The exercise of stock acquisition rights attached to convertible bonds with stock acquisition rights resulted in the delivery of 235,294 shares during the cumulative period and increased both stated capital and the capital surplus by ¥280.000 million. Dilution from equity financing and the increase in shares continues to materialise. - FY2021-Q1MaterialisedAnnual report
「During the first quarter, stock acquisition rights attached to bonds with stock acquisition rights containing an adjustment clause for the exercise price and other instruments were exercised as follows.」
Twenty-three stock acquisition rights attached to the second series of unsecured convertible bonds with stock acquisition rights were exercised, resulting in the delivery of 1,082,350 shares. Both stated capital and the capital surplus increased by ¥230.000 million, and fundraising involving equity financing and an increase in the number of shares continues to take concrete form. - FY2020MaterialisedAnnual report
「In October 2019 and April 2020, the company issued unsecured convertible bonds with stock acquisition rights through private placements and stock acquisition rights with an adjustment clause for the exercise price. In addition, it borrowed funds from Mizuho Bank, Ltd. in December 2019, raising approximately ¥1.8 billion in total, excluding stock acquisition rights that remained unexercised」
Fundraising combining stock acquisition rights, convertible bonds with stock acquisition rights and borrowings was carried out, and fundraising involving equity financing and dilution of equity value continues to take concrete form. - FY2020-Q3MaterialisedAnnual report
「On 16 October 2019, the company issued the second series of unsecured convertible bonds with stock acquisition rights and the ninth series of stock acquisition rights, with CVI Investments, Inc. as the allottee, and raised approximately ¥600 million. At the same time, it acquired and cancelled the sixth-series stock acquisition rights with an adjustment clause for the exercise price, issued on 19 June 2018 with Daiwa Securities Co., Ltd. as the allottee, and changed its funding method to one suited to its current business strategy. In December 2019, it also borrowed ¥600 million from Mizuho Bank, Ltd., strengthening funds for future operations.」
The company changed from raising approximately ¥600 million through the previous stock acquisition rights to raising funds through convertible bonds with stock acquisition rights and stock acquisition rights, and additionally borrowed ¥600 million. A funding approach combining equity financing and borrowing has taken concrete form. - FY2020-Q2ReframedAnnual report
「On 30 September 2019, the company resolved to issue the second series of unsecured convertible bonds with stock acquisition rights and the ninth series of stock acquisition rights, with CVI Investments, Inc. as the allottee, and confirmed payment of approximately ¥600 million of the issue price of the convertible bonds with stock acquisition rights and stock acquisition rights on 16 October of the same year. At the same time, it acquired and cancelled the remaining sixth-series stock acquisition rights with an adjustment clause for the exercise price, issued on 19 June 2018 with Daiwa Securities Co., Ltd. as the allottee, and changed its funding method to one suited to its current business strategy.」
The company changed its funding method from financing through the sixth series of stock acquisition rights to issuing the second series of unsecured convertible bonds with stock acquisition rights and the ninth series of stock acquisition rights, with CVI Investments, Inc. as the allottee. It acquired and cancelled the remaining sixth-series stock acquisition rights, explaining the change as a response to the lack of progress in raising additional funds through the existing method. - FY2020-Q1MaterialisedAnnual report
「During the first quarter, stock acquisition rights attached to bonds with stock acquisition rights containing an adjustment clause for the exercise price and other instruments were exercised as follows.」
With respect to the sixth series of stock acquisition rights, 269 rights were exercised during the first quarter, resulting in the delivery of 53,800 shares and fundraising of ¥40.638 million. Cumulatively, 6,282 rights have been exercised, 1,256,400 shares delivered and ¥1,015.921 million raised, with dilution through equity financing continuing to materialise. - FY2019MaterialisedAnnual report
「Cash provided by financing activities was ¥978.446 million, compared with no change in the same period of the previous year. This was attributable to proceeds of ¥973.093 million from the issuance of shares through the exercise of stock acquisition rights and ¥5.352 million from the issuance of stock acquisition rights」
The exercise of stock acquisition rights resulted in the issuance of 1,202,600 shares and fundraising of ¥973.093 million. Equity-financing-focused fundraising and dilution of equity value continue to materialise. - FY2019-Q3MaterialisedAnnual report
「During the third quarter, share acquisition rights relating to bonds with share acquisition rights and other instruments with an exercise price adjustment clause were exercised as follows.」
During the third quarter, 1,541 sixth-series stock acquisition rights were exercised, resulting in the delivery of 308,200 shares and fundraising of ¥260.712 million. Cumulatively, 3,047 rights have been exercised, 609,400 shares delivered and ¥523.175 million raised, with the increase in shares through equity financing continuing. - FY2019-Q2MaterialisedAnnual report
「This was attributable to proceeds of ¥261.017 million from the issuance of shares through the exercise of stock acquisition rights and ¥5.502 million from the issuance of stock acquisition rights.」
The exercise of stock acquisition rights resulted in the delivery of 301,200 shares and recorded fundraising of ¥262.463 million. The risks associated with equity-financing-focused fundraising and dilution of equity value continue to materialise. - FY2019-Q1MaterialisedAnnual report
「From 1 July 2018 through 31 July 2018, the exercise of stock acquisition rights increased the total number of issued shares by 15,600 and increased both stated capital and the capital surplus by ¥6.189 million.」
Following the issuance of the sixth series of stock acquisition rights, the issuance of 15,600 shares through their exercise actually occurred during the filing period, making the dilution risk from equity financing more concrete. - FY2018MaterialisedAnnual report
「At a meeting of the Board of Directors held on 1 June 2018, the company resolved to issue the sixth series of stock acquisition rights with an adjustment clause for the exercise price through a private placement as described below, and payment in full of the total issue price of the stock acquisition rights was completed on 19 June 2018」
Regarding its equity-financing-focused funding policy, the private placement of 15,000 sixth-series stock acquisition rights, representing 1,500,000 potential shares, with estimated net proceeds of ¥3,059.455 million was completed after the filing, making the dilution risk more concrete. - FY2018-Q3RestatedAnnual report
「Accordingly, until a stable earnings base is established, raising funds through indirect financing will be difficult, and the company believes that direct financing will be the primary source of funding.」
The company has reaffirmed its policy of relying primarily on direct financing until a stable earnings base is established. - FY2018-Q2RestatedAnnual report
「Accordingly, until a stable earnings base is established, raising funds through indirect financing will be difficult, and the company believes that direct financing will be the primary source of funding.」
The company has reaffirmed its policy of relying primarily on direct financing until a stable earnings base is established. The increase in shares resulting from previous equity financings and other transactions remains a disclosed fact. - FY2017MaterialisedAnnual report
「The increase of 6,682,481 in issued common shares consisted of 4,503,358 shares from the stock split, 1,359,534 shares from the issuance of new shares through a private placement, 593,208 shares from the exercise of stock acquisition rights, 185,381 shares from the exercise of stock acquisition rights attached to convertible bonds with stock acquisition rights, and 41,000 shares from the exercise of stock options」
The issuance of shares through the private placement and the exercise of stock acquisition rights and other rights has actually progressed, making the potential increase in shares and dilution a reality. - FY2017-Q3MaterialisedAnnual report
「As a result of a private placement and the exercise of stock acquisition rights during the third quarter, the number of shares increased by 361,407. Together with the increase from the stock split described above, the total number of issued shares was 9,368,123 at the end of the third quarter.」
The issuance of shares through the private placement and exercise of stock acquisition rights continued, bringing the total number of issued shares to 9,368,123. The dilution risk from equity financing continued to materialise as an actual increase in the number of shares. - FY2017-Q2MaterialisedAnnual report
「This was attributable to proceeds of ¥1,990.634 million from the issuance of shares through a private placement and ¥1,134.869 million from the issuance of shares through the exercise of stock acquisition rights, despite a net decrease of ¥306.720 million in short-term borrowings.」
Proceeds from the issuance of shares through the private placement and the exercise of stock acquisition rights were recognised as an increase in cash from financing activities for the six-month period, confirming the continuation of equity-financing-focused fundraising. - FY2017-Q1MaterialisedAnnual report
「As a result of a private placement and the exercise of stock acquisition rights during the first quarter, the total number of issued shares increased by 1,617,916 to 4,503,358 at the end of the first quarter.」
The number of issued shares increased through the private placement and exercise of stock acquisition rights, making the dilution risk associated with equity-financing-focused fundraising evident in the actual increase in shares. - FY2016First statedAnnual report
「Until a stable earnings base is established, raising funds through indirect financing will be difficult, and the company intends to raise funds primarily through equity financing. In that case, the total number of issued shares could increase, potentially diluting equity value per share」
Against the backdrop of the long-term and high-risk nature of research and development investment, the company relies primarily on direct financing and identifies dilution from equity financing and difficulty raising funds as risks.