Precise Biometrics Initiates SEK 110.3 Million Rights Offering with Official Information Document Released

Rights Issue Authorization and Regulatory Compliance at Precise Biometrics

Precise Biometrics AB has advanced its planned capital increase by issuing a formal information document detailing a new ordinary share offering with pre-emptive rights for existing shareholders. The rights issue, valued at around SEK 110.3 million, received approval from the Annual General Meeting on 21 May 2026 and was ratified by the Board of Directors on 20 July 2026. This staged approval aligns with Swedish corporate governance protocols and ensures transparency for stakeholders ahead of the subscription period.

Prepared under Article 1.5 ba of Regulation (EU) 2017/1129 (the Prospectus Regulation) and Annex IX requirements, the document’s registration with the Swedish Financial Supervisory Authority (Finansinspektionen) confirms regulatory clearance. By publishing the document on its official website and through financial adviser DNB Carnegie, Precise Biometrics guarantees broad investor access. This regulatory foundation is vital for a smooth execution of the rights issue within the designated timeframe.

Subscription Timeline and Trading Details for the Rights Offering

The company’s timeline begins with the last day for trading shares including subscription rights on 23 July 2026. From 24 July 2026, shares will trade ex-rights, meaning new buyers will not be eligible for the rights issue. The record date to identify shareholders entitled to participate is 27 July 2026, with the information document published on 28 July 2026. These dates clarify eligibility and trading parameters for subscription rights.

Subscription rights trading is planned from 29 July to 7 August 2026, enabling shareholders to buy or sell rights during this period. The subscription phase runs from 29 July through 12 August 2026, providing a 15-day window for commitments. Trading in paid subscribed shares (BTA) will be permitted from 29 July until 18 August 2026. The final subscription results will be announced on 13 August 2026, offering timely confirmation of the capital raise. All dates are subject to company discretion as noted in the announcement.

Precise Biometrics’ Comprehensive Biometric Solutions and Market Reach

As a global biometrics leader, Precise Biometrics delivers security, access control, and identity verification solutions across both physical and digital platforms. Its portfolio includes biometric algorithms, SaaS offerings, sensors, and integrated systems backed by extensive industry expertise. The company describes its suite as "one of the industry's most comprehensive," serving enterprises, governments, technology partners, and OEMs worldwide. Its solutions power hundreds of millions of devices and facilitate billions of daily authentications, demonstrating significant market penetration.

Use cases span consumer electronics, mobile authentication, enterprise access control, visitor management, and government identity programs. This broad sector coverage provides revenue stability and reduces reliance on any single market segment. Listed on Nasdaq Stockholm under ticker PREC, Precise Biometrics operates globally with headquarters in Lund, Sweden, and offices in France, the US, China, India, Japan, and South Korea. This geographic footprint supports multinational client service and regional growth, especially in Asia-Pacific where biometric adoption is rapidly increasing.

Shareholder Pre-emptive Rights and Capital Utilization Strategy

The rights issue structure allows existing shareholders to maintain proportional ownership by participating pro-rata in the share offering. This pre-emptive rights approach complies with Swedish law and corporate governance best practices, protecting shareholder interests and minimizing dilution for participants. It also reflects management’s confidence in the company’s strategic direction.

The announcement does not specify how the SEK 110.3 million proceeds will be used. Investors should consult the detailed information document for plans regarding research and development, geographic expansion, acquisitions, debt repayment, or working capital. The omission aligns with Swedish regulatory norms where detailed capital deployment information is reserved for the prospectus or information document rather than initial press releases.

Financial and Legal Advisors Supporting the Rights Issue Process

DNB Carnegie Investment Bank AB acts as financial adviser for the rights issue, while Stockholm-based law firm Vinge serves as legal counsel. These appointments are standard for Nasdaq Stockholm equity raises. DNB Carnegie, a subsidiary of Nordic banking group DNB ASA, brings extensive capital markets and regulatory expertise. Hosting the information document on DNB Carnegie’s platform (www.dnbcarnegie.se) facilitates investor access and orderly market conduct.

Vinge ensures compliance with Swedish corporate law and EU regulations, overseeing documentation, shareholder resolutions, and subscription terms. The involvement of reputable financial and legal advisers assures investors of the transaction’s governance and procedural integrity, helping to mitigate regulatory or procedural risks.

Jurisdictional Distribution Restrictions and Regulatory Compliance

The announcement includes comprehensive disclaimers restricting distribution in jurisdictions such as Australia, Belarus, Canada, Hong Kong, Japan, New Zealand, Russia, Singapore, South Africa, South Korea, Switzerland, the UK, and the US, unless legal requirements or registrations are met. These restrictions reflect diverse international securities laws and foreign ownership regulations.

In the UK, the offering is limited to "qualified investors" and "relevant persons" under the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, excluding retail investors. The US restrictions explicitly state no registration with the SEC or public offering intent. These measures are common for European-listed rights issues, reflecting regulatory complexity and cost considerations. Investors in restricted regions should seek independent legal advice before engaging.

Forward-Looking Statements and Associated Risks

The announcement contains cautionary notes on forward-looking statements, highlighting risks, uncertainties, and assumptions that may cause actual outcomes to differ materially. This aligns with Swedish disclosure safe-harbour provisions and acknowledges the inherent unpredictability of capital raises and future business performance. Investors are advised not to overly rely on such statements, which are current only as of the announcement date.

Precise Biometrics commits to updating forward-looking statements only as legally required, placing responsibility on investors to monitor ongoing disclosures. Operating in a rapidly evolving biometrics sector, the company faces technological, regulatory, and competitive risks that investors should consider beyond this capital raise context.

Market Context and Competitive Landscape Driving the Capital Raise

The SEK 110.3 million rights issue is set against strong global demand for biometric authentication and identity solutions, driven by government digitalization, enterprise cybersecurity needs, and consumer device integration. Precise Biometrics’ presence in Asia-Pacific, where biometric adoption is accelerating, positions it well to capitalize on regional growth exceeding Western markets.

The biometrics industry is highly competitive, featuring players like NEC Corporation, IDEMIA, and Thales Group alongside specialized firms and large tech conglomerates. Effective capital deployment—whether for R&D, expansion, or acquisitions—will be critical for Precise Biometrics to sustain competitive advantages and grow market share. Its vertically integrated portfolio of algorithms, SaaS, sensors, and systems may offer end-to-end solution benefits. Investors should watch how proceeds are allocated to maintain technological leadership and expand in high-growth areas.

Important Dates and Participation Details for Investors

Shareholders recorded on 27 July 2026 are eligible to participate in the rights issue. The subscription period runs from 29 July to 12 August 2026. Shareholders unable or unwilling to subscribe may trade their rights between 29 July and 7 August 2026 to potentially realize value. Trading of paid subscribed shares (BTA) continues until 18 August 2026, offering liquidity options for early transactions.

The final subscription outcome announcement on 13 August 2026 will disclose subscription rates, shares issued, and capital raise completion details. This information is crucial for shareholders assessing dilution and for investors evaluating the post-raise capital structure. All dates are preliminary and may change at the company’s discretion. Investors should monitor Precise Biometrics’ regulatory releases and DNB Carnegie’s platform for updates. The full information document provides comprehensive subscription procedures, allocation methods, and terms.