Restructuring measures

The restructuring plan includes the following key measures aimed at strengthening the Company’s financial position and creating sustainable long-term operating conditions:

• A composition agreement providing a 30 per cent settlement for unsecured creditors, corresponding to a 70 per cent debt reduction.
• A directed set-off issue to selected creditors.
• A rights issue of units of approximately SEK 15 million, guaranteed to at least SEK 11 million. The units consist of an equal number of shares and warrants. The warrants may be exercised for subscription during the period 1–12 June 2026 and may thereby provide the Company with additional liquidity, depending on the subscription price and exercise rate.

Liquidity

As a result of the restructuring measures, Peptonic will be debt-free as of February. The Board of Directors assesses that the combined proceeds from the rights issue, the warrants, and expected sales from the Company’s portfolio of intimate care products will cover the Company’s liquidity needs for at least the coming twelve-month period.

Focus on commercial development

In parallel with the restructuring process, Peptonic has worked to strengthen the commercial operations of its core business. The Company has focused on increasing sales and expanding into new markets, primarily Norway, the United Kingdom, and the United States, while also increasing market share in its home market, Sweden. Margins have improved through optimisation of inventory management, logistics, pricing, and production processes. The sales model has shifted from a primary focus on white-label solutions to sales under the Company’s own brands, which deliver significantly improved profit margins.

Recently, the Company entered into a strategic distribution agreement with JoyLux for the United States, Canada, Mexico, and the United Kingdom. JoyLux is a well-established player in intimate self-care with a strong market presence. The first order is currently in production, and product launch is expected during the second quarter.

Based on developments over the past year, the core brand VagiVital has demonstrated solid growth, and the Company reports a markedly improved operating result relative to sales.

Organization

Over the past two years, the Company has deliberately divested and scaled down parts of the Group that were not considered core to its strategy or where a turnaround was deemed unfeasible, such as the Finnish company Lune and the Israeli manufacturing unit. These actions have significantly reduced the Group’s cost base.

At the same time, the organization has been adapted to the Company’s current operations and scale. Administrative functions have been continuously streamlined, while sales and marketing capabilities have been strengthened. To maintain organizational flexibility during the transformation, external resources have been engaged within administration, finance, e-commerce, and marketing, providing both flexibility and high competence at a lower cost compared to permanent staffing.

Going forward, functions that are critical to the Company’s operations will be gradually strengthened and, where appropriate, recruited, including the position of Chief Executive Officer. The new management structure will be tailored to the Company’s size and needs, providing Peptonic with strong conditions to grow in line with its business development.

Anders Blom, Chairman of the Board, comments:

"The Company’s financing is supported by a strong financial cornerstone investor and several committed stakeholders. During the restructuring, the Company has benefited from clear shareholder support. In addition, there are underwriting commitments that can secure capital if needed. Confidence in and willingness to continue investing in the Company’s future remain strong. The business has been significantly streamlined over the past 18 months, and we now exit the restructuring process as a debt-free company. This marks a clear new beginning."

For further information, please contact:
Anna Linton, CEO, Peptonic Medical AB                                                                                                     

Email: anna.linton@peptonicmedical.se                                                                                                                    

Phone: +46 70-244 92 07

About Peptonic Medical AB                                                                                                       

Peptonic Medical AB (publ) is a pioneering Swedish medtech company specializing in the development and sale of clinically proven self-care products for women’s intimate health. Through its brands VagiVital and Vernivia, the Company offers a broad over-the-counter portfolio of effective and gentle products designed to help women understand, treat, and prevent common medical conditions in the intimate area. Peptonic’s growth strategy centers on geographic expansion, particularly in the U.S. and Europe, while continually enhancing its product portfolio through in-house development and strategic acquisitions.

The Company is headquartered in Stockholm, Sweden, and operates the subsidiaries, Peptonic Medical Inc. and Common Sense Marketing Inc., in the U.S. Peptonic Medical was founded in 2009 and has been listed on the Spotlight Stock Market since 2014.