Hofseth Biocare ASA: NOTIFIABLE TRANSACTIONS IN CONNECTION WITH PRIVATE PLACEMENT

Hofseth Biocare ASA

Reference is made to the stock exchange notice from Hofseth BioCare ASA ("HBC" or the "Company") published on 3 July 2022 regarding the completion of a private placement raising gross proceeds of approximately NOK 141 million (the "Private Placement") through issuance of new shares (the "Offer Shares") in the Company with a subscription price of NOK 4 per Offer Share (the "Offer Price").

The following persons discharging managerial responsibilities and their close associates have been allocated Offer Shares the Private Placement at the Offer Price:

i) RH Industri AS, a close associate of CEO Roger Hofseth, has been allocated 17,800,190 Offer Shares, for a total subscription amount of NOK 71,200,760; and
ii) In order to facilitate for partial settlement on a delivery versus payment basis of Offer Shares in the Private Placement, a share lending agreement has been entered into between the Company and Ødegård Prosjekt AS (a close associate of CFO Jon Olav Ødegård). Pursuant to such share lending agreement, Ødegård Prosjekt AS has agreed to lend 958,810 existing shares in the Company to certain investors in the Private Placement.

Following the Private Placement, Roger Hofseth and close associates will have a total holding of 110,825,444 shares and votes in the Company, corresponding to 32.70% of the shares and votes outstanding after the Private Placement.

Please see attached notification forms for further information.

For further information, please contact:

Jon Olav Ødegård, CFO at HBC
Phone: +47 936 32 966
E-mail: joo@hofsethbiocare.no

James Berger, CCO at HBC
Phone: +41 79 950 1034
E-mail: jb@hofsethbiocare.no

About HBC:

HBC is a Norwegian consumer and pet health ingredient supplier and an incubator for new pharmaceutical drug leads. Research is ongoing to identify the individual elements within its ingredients that modulate inflammation and the immune response with pre-clinical studies ongoing in multiple clinics and university research labs. Lead clinical and pre-clinical candidates are focused on developing an oral treatment for inflammatory disease driven by eosinophils (a type of white blood cell). Clinical trial work with the oil is ongoing to ameliorate lung inflammation in eosinophilic asthma and COPD ("smokers lung") as well as in COVID. Other leads are focused on the protection of the Gastro-Intestinal (GI) system against inflammation (including ulcerative colitis and the orphan condition necrotising enterocolitis) and using peptide fractions of salmon protein hydrolysate (SPH also known as 'ProGo') as a Medical Food to help treat age-related Sarcopenia, and as a treatment for Iron Deficiency Anemia.

The company is founded on the core values of sustainability, optimal utilization of natural resources and full traceability. Through an innovative hydrolysis technology, HBC can preserve the quality of the lipids, proteins and calcium from fresh salmon off-cuts. HBC's headquarters are in Ålesund, Norway with branches in Oslo, London, Zürich, Ningbo, New Jersey and Palo Alto.

HBC is listed on Oslo Børs with ticker "HBC". More information about HBC at hofsethbiocare.com and facebook.com/hofsethbiocare.

This information is subject to the disclosure requirements pursuant to Regulation EU 596/2014 (MAR) article 19 and the Norwegian Securities Trading Act section 5-12.

Attachments

• 220702 - Notification form - RH Industri AS

• 220702 - Notification form - Odegard Prosjekt AS - Share lending