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Mar 18, 2019

Verseon Corporation (“Verseon” or the “Company”)

Verseon announces security token offering to accelerate the development of its drug pipeline and proposed subscription strengthening working capital position

Fremont, Calif.—Verseon, the clinical-stage pharmaceutical company developing disruptive life-science technologies to advance global health, today announces that it intends to undertake a security token offering (“STO”) in 2019. The offering is expected to raise funds from a global investor base to accelerate the development of the Company’s diverse pipeline of novel drug candidates.

Using its computationally driven drug discovery platform, Verseon has built a rapidly growing pipeline of promising drug candidates that are now entering clinical trials. In keeping with Verseon’s philosophy of approaching problems from new perspectives, the Company is also pioneering the use of blockchain technology to create a new funding model for the 21st century. Verseon’s STO is expected to use the technology and services of the Company’s subsidiary BlockRules Ltd. to facilitate a regulations-compliant offering across various global jurisdictions.

“We believe that blockchain technology has the potential to transform fundraising by bringing greater efficiency, cost savings, and additional liquidity to capital markets,” said Eniko Fodor, COO of Verseon. “Regulations-compliant STOs can give companies a new way to support their growth and connect with a global investor community.”

It is expected that each Verseon security token will be a form of preferred share that grants its holder rights to a percentage of the Company’s future drug program revenues. Initially, Verseon intends to conduct a private offering of its security token, followed by a public token sale upon approval of a prospectus.

Working with its advisors and legal counsel, Verseon is currently producing the prospectus for its security token. Once approved by the appropriate regulators, the Company expects its security token to be available to investors in the UK and EU and to investors in certain other jurisdictions, subject to the Company receiving additional approval from local regulators. The token will also be available to accredited investors, including those in the US. The BlockRules Compliance Engine will enforce ongoing regulations-compliance for any token transfer.

While the Company executes this strategy, Verseon intends to raise approximately US$ 10 million for working capital through a subscription of its common shares. Further details of the subscription are expected to be released shortly. The Company continues to have a strong balance sheet with approximately US$ 25 million in net assets (unaudited) as of December 31, 2018, comprising primarily of real-estate holdings in the form of its research and development facility which can be utilized to realize additional liquidity if desired.

“We are structuring our STO as one of the first truly global offerings backed by a prospectus,” said Adityo Prakash, CEO of Verseon. “We are excited to pioneer this new funding model and share the rewards of our growing drug pipeline with investors worldwide.”

About Verseon

Verseon Corporation (www.verseon.com, AIM: VSN) is a technology-based pharmaceutical company that pairs a proprietary, computational drug discovery platform with a comprehensive in-house chemistry and biology workflow to develop novel therapeutics that are unlikely to be found using conventional methods. The Company is applying its platform to a growing drug pipeline and currently has four active drug programs in the areas of anticoagulation, diabetic macular edema, hereditary angioedema, and oncology.

Find Verseon on Twitter and LinkedIn.

About BlockRules, Ltd.

BlockRules Ltd., a wholly owned subsidiary of Verseon, is a blockchain technology company supporting the sale, launch and trading of securities. By enforcing multijurisdictional regulatory compliance directly on the blockchain, the company facilitates issuance and decentralized trading that is secure, transparent and verifiable. BlockRules Ltd. handles the registration of investor KYC (“know your customer”) information for its products and is providing this service to prospective investors at www.blockrules.com.

Find BlockRules on Twitter, Telegram Telegram, and LinkedIn.

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For further information please contact

Verseon Corporation www.verseon.com
Sebastian Wykeham +1 (510) 225 9000
Arden Partners (NOMAD and Joint Broker)
Ruari McGirr / Maria Gomez De Olea +44 (0) 20 7614 5900
Cantor Fitzgerald Europe (Joint Broker)
Marc Milmo / Phil Davies +44 (0) 20 7894 7000

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