SOURCE: Pharming Group N.V.

April 15, 2009 02:05 ET

Pharming secures EUR 20 million long term Standby Equity Agreement with Yorkville Advisors

LEIDEN, NETHERLANDS--(Marketwire - April 15, 2009) - Biotech company Pharming Group NV ("Pharming" or "the Company") (NYSE Euronext: PHARM) today announces that it has entered into a Standby Equity Distribution Agreement (SEDA) with Yorkville Advisors Global Master SPV LTD ("YA Global"). At the sole and exclusive discretion of Pharming, this agreement provides Pharming the option to take up YA Global's commitment to subscribe and pay for newly issued Pharming shares up to a total of EUR 20 million at any time during the 36 month agreement.

Pharming is entitled to request YA Global to subscribe to and purchase newly issued shares in regular tranches of up to EUR 400,000 per tranche. YA Global can either place these shares in the market or accumulate them up to a maximum holding in Pharming of 4.99% of the number of outstanding shares. YA Global is committed not to short sell or enter into any hedging transactions related to Pharming stock.

The proceeds to Pharming from future newly issued shares will equal 95% of the market price. Calculation of the market price is based on the volume weighted average price of Pharming shares over a period of five consecutive trading days following the date of Pharming's request notice to sell these new shares. Pharming will transfer a one-time commitment of EUR 400,000 paid in shares for EUR 0.50 per share to YA Global and legal and structuring fees of EUR 45,000 in total.

"We are very pleased to have arranged this stand-by agreement. It provides us with the flexibility to raise finance through equity at our discretion, whilst minimising dilution for our current shareholders. This agreement is an important step towards securing sufficient financing to reach commercialisation stage with our lead product Rhucin," said Dr. Sijmen de Vries, Chief Executive Officer of Pharming. "As stated before, we continue to look at additional financing opportunities to further improve our financial position. At the same time we continue to discuss early redemptions and conversions of our remaining EUR 45 million convertible debt."

Dr. Michael J. Nowak, Managing Director at Yorkville Advisors, LLC, a New Jersey fund with approximately $ 900 million of assets under management, led the investment into Pharming. Dr. Nowak, Head of the Healthcare Group at Yorkville, stated: "Yorkville provides flexible and innovative financing tools for public companies to expand and grow their businesses. We are particularly excited to invest in Pharming, an important player in the space of transgenic protein production and development, and our first transaction in a Euronext Amsterdam-listed healthcare company."

About Pharming Group NV

Pharming Group NV is developing innovative products for the treatment of genetic disorders, ageing diseases, specialty products for surgical indications, intermediates for various applications and nutritional products. Pharming has two products in late stage development - Rhucin® for Hereditary Angioedema and human Lactoferrin for use in food products and one product in early stage clinical development - Prodarsan® for Cockayne Syndrome. The advanced technologies of the Company include innovative platforms for the production of protein therapeutics, technology and processes for the purification and formulation of these products, as well as technology in the field of DNA repair (via DNage). Additional information is available on the Pharming website,

This press release contains forward looking statements that involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the Company to be materially different from the results, performance or achievements expressed or implied by these forward looking statements.


Sijmen de Vries, Pharming Group NV, T: +31 (0)71 52 47 400

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