Irisity AB: Irisity conducts a private placement of approximately SEK 50 million to institutional investors and convenes an Extraordinary General Meeting

The Board of Directors of Irisity has decided, conditional on the subsequent approval of the Extraordinary General Meeting, and in accordance with what was indicated in the Company’s press release earlier today, on a directed new issue of 2,463,053 shares to Swedish institutional investors. The private placement is subscribed for by TIN Fonder (SEK 30 million), Handelsbanken Fonder (SEK 15 million) and Lannebo Fonder (SEK 5 million). The subscription price amounts to SEK 20.30 per share and is in line with the share closing price at Nasdaq First North Growth Market on October 19, 2020. The subscription price has been determined through the Bookbuilding procedure through the Company’s financial advisor Erik Penser Bank AB, so it is the Board’s assessment. is market-based and reflects prevailing market conditions and demand.

Through the Private Placement, Irisity will receive approximately SEK 50 million before issue costs. The issue proceeds are intended to be used for continued sales, development and marketing activities of the Company’s deep learning algorithm services. The Board has decided to deviate from the shareholders’ preferential rights in order to provide capital to Irisity in a time- and cost-effective manner and to strengthen the ownership base with strategic and institutional owners.

”I am very positive about the increased institutional interest in Irisity’s business concept and business opportunities. Strengthened by this, and through the capital injection from the private placement, we are now continuing to work vigorously to accelerate the market presence of the company’s coveted security solutions, both in Sweden and internationally, ”says CEO Marcus Bäcklund.

The Private Placement is conditional on the Extraordinary General Meeting approving the Board’s decision on the Private Placement. Notice of an Extraordinary General Meeting is published separately today and contains the Board’s complete decision on the Private Placement.

The private placement entails a dilution effect of approximately 9.5 percent of the number of shares and votes in the Company. Through the Private Placement, the number of outstanding shares increases by 2,463,053 from 23,377,851 to 25,840,904. The company’s share capital increases by SEK 221,674.77 from SEK 2,104,006.59 to SEK 2,325,681.36.

Irisity has hired Erik Penser Bank and Bird & Bird as financial and legal advisers in connection with the Private Placement.

For further information:

Marcus Bäcklund, Irisity CEO

Phone: +46 771 41 11 00

Email: marcus.backlund@irisity.com

Andreas Höye, Irisity CFO

Phone: +46 769 01 34 51

Email: andreas.hoye@irisity.com

This information is information that Irisity AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 19:30 CEST on October 19, 2020.

Important information

Publication, publication or distribution of this press release may in certain jurisdictions be subject to legal restrictions. Persons in the jurisdictions in which this press release has been published or distributed should inform themselves of and observe such restrictions. The recipient of this press release is responsible for using this press release and the information herein in accordance with the applicable rules of the respective jurisdiction. This press release does not constitute an offer of, or invitation to, acquire or subscribe for any securities of Irisity in any jurisdiction, either from Irisity or from anyone else.

This press release does not constitute an offer or invitation to acquire or subscribe for securities in the United States. The securities referred to herein may not be sold in the United States without registration, or without the application of an exemption from registration, in accordance with the U.S. law in force at any given time. Securities Act of 1933 (”Securities Act”), and may not be offered or sold in the United States without being registered, covered by an exemption from, or in a transaction not covered by the Securities Act registration requirements. There is no intention to register any securities mentioned herein in the United States or to make a public offering in respect of such securities in the United States. The information in this press release may not be published, published, copied, reproduced or distributed, directly or indirectly, in whole or in part, in or to Australia, Hong Kong, Japan, Canada, New Zealand, Switzerland, Singapore, South Africa, the United States or any other jurisdiction where such publication, publication or distribution of this information would be contrary to applicable rules or where such a measure is subject to legal restrictions or would require further registration or other measures than those that follow from Swedish law.

This press release does not constitute a prospectus in accordance with Regulation (EU) 2017/1129 (the ”Prospectus Regulation”) nor has it been approved by any competent authority in any jurisdiction. Irisity has not accepted any offer to the public of shares or others

About Irisity

Irisity AB (publ) is a leader in intelligent camera surveillance. Using AI and proactive, self-learning algorithms, we upgrade both existing and new surveillance cameras and monitoring systems from passive to proactive alarming devices. IRIS™, Irisity’s SaaS solution, turns attention on true events rather than false alarms. Irisity’s high-precision AI algorithms detect human activity at long distances during all light conditions down to few pixels only.

IRIS™ currently serves a wide range of security applications for customers internationally.

Video: https://www.youtube.com/watch?v=KQikmTVqajM

Irisity AB (publ) är noterat på Nasdaq First North under kortnamn IRIS

The Irisity AB (publ) share IRIS is listed on Nasdaq First North Stockholm, Sweden

Certified Adviser: Erik Penser Bank AB · +46 8 463 83 00 ·  certifiedadviser@penser.se