Mölnlycke sets sail with ocean biofuel: A step towards greener logistics

Gothenburg, Sweden 15 July 2024. Mölnlycke Health Care, a world-leading MedTech company specialising in solutions for wound care and surgical procedures, announced today an investment of US $15m in MediWound Ltd. (Nasdaq: MDWD)(MediWound) through a definitive share purchase agreement in a private investment in public equity (PIPE). MediWound, a global leader in next-generation enzymatic therapeutics focused on non-surgical wound debridement, has a vision to improve the existing standards of care and patient experiences, while reducing costs and unnecessary surgeries. Debridement is a standard of care step to prepare the wound bed for healing and can help in the management of infection. It involves the removal of dead or devitalised tissue from a wound. “We are very excited to make this strategic investment in MediWound. It aligns with our strategy to bring radical innovations into the wound care space and provide alternative solutions to the more traditional debridement options to improve clinical outcomes and patient experience,” said Zlatko Rihter, CEO of Mölnlycke. “This investment will support Mölnlycke’s Wound Care mission to ‘help free patients from the burden of wounds’ and I look forward to this partnership.” Mölnlycke and MediWound have also entered into a collaboration agreement to strengthen their partnership. Under the key terms of this agreement, Mölnlycke is granted specific rights, including having a representative attend meetings of MediWound’s R&D Committee and will also be able to participate in potential strategic partnership discussions and M&A processes under certain circumstances. “We are delighted to have Mölnlycke’s support. This substantial investment will empower us to strengthen our strategic plans, creating significant long-term value for our stakeholders and help to improve standards of care for patients” said Ofer Gonen, CEO of MediWound. For more information, please contact: Jennifer Doak, Global Communications Director Wound Care Email: jennifer.doak@molnlycke.com Phone: +1 678 206 6179 Ellie Hanson, FINN Partners for MediWound Email: ellie.hanson@finnpartners.com Phone : +1 929-588 2008         About Mölnlycke Mölnlycke Health Care is a world-leading MedTech company that specialises in innovative solutions for wound care and surgical procedures. Mölnlycke products and solutions are used daily by hospitals, health care providers and patients in over 100 countries around the world. Founded in 1849, Mölnlycke is owned by Investor AB and headquartered in Sweden. www.molnlycke.com About MediWound MediWound Ltd. (Nasdaq: MDWD) is the global leader in next-generation enzymatic therapeutics focused on non-surgical tissue repair. The Company specializes in the development, production and commercialization of rapid and effective biologics that improve existing standards of care and patient experiences, while reducing costs and unnecessary surgeries. MediWound first drug, NexoBrid®, is an FDA and EMA-approved orphan biologic for eschar removal in deep partial-thickness and/or full-thickness thermal burns, which can significantly reduce surgical interventions. Utilizing the same core biotherapeutic enzymatic platform technology, MediWound has developed a strong R&D pipeline, including the company’s lead drug under development, EscharEx®. EscharEx is a Phase III-ready biologic for the debridement of chronic wounds, offering significant potential advantages over the dominant $360+ million product and an opportunity to expand the market. For more information visit www.mediwound.com and follow the Company on LinkedIn.

Longstanding partners, Mölnlycke Health Care and Scan Global Logistics (SGL), have entered an agreement for the purchase and deployment of ocean biofuel covering trade lanes from Asia to Europe to further reduce carbon emissions. This decision supports the global MedTech company Mölnlycke's commitment to reducing greenhouse gas (GHG) emissions and reaching Net Zero by 2050. For over 15 years, Scan Global Logistics have had a close global partnership with Mölnlycke, marked by a shared focus on supply chain optimisation and mitigating greenhouse gas (GHG) emissions associated with maritime transportation. In recent years, this collaboration has seen a heightened emphasis on sustainability initiatives, culminating in exploring actions to reduce environmental impact, which resulted in the company now buying ocean biofuel. Eric de Kesel, COO & EVP Sustainability, Mölnlycke, elaborates on this decision: “We are committed to driving our sustainability efforts forward and firmly believe we can reduce emissions while maintaining the quality of our business operations. The partnership with Scan Global Logistics to purchase a significant amount of biofuel for our ocean shipments is important and beneficial from a business, economic, and environmental standpoint, particularly for our Asia-Europe routes.” Striking a balance: Sustainable and economical solutions in logistics Both companies recognise the importance of offering tangible solutions to address climate change-related  concerns, anchoring their collaboration in a mutual commitment to push for positive change. Kim Fischer, Corporate EVP, Global Sales & Corporate Strategic Accounts in Scan Global Logistics, reinforces this commitment: “Mölnlycke is very important to us, and our relationship dates back over a decade. This initiative underlines the dynamic and innovative approach that both companies are investing in a successful business collaboration. Further sustainability initiatives have already been discussed with Mölnlycke, and we value such entrepreneurship, which aligns with our business approach.” Marc Bach Spangsberg Sørensen, Global Head of Program Management at Scan Global Logistics, continues: ”We are dedicated to expanding the portfolio of relevant products offered to our customers in an ever-changing world. Through strategic collaborations, we promote the agenda for alternative fuel types, contributing to the long-term transition to low-emisssion transport solutions.” Central to this collaboration is the ability to provide customers like Mölnlycke with accessible, measurable, and ready-for-use products that facilitate GHG emission reduction. By leveraging biofuel for ocean freight, SGL aim to deliver environmental and economic benefits through cost-effective pricing structures. Partnerhips as  drivers for positive change Martin Andersen, Global Head of Sustainability & ESG at Scan Global Logistics, is excited about the collective courage among companies which will support the demand for ocean biofuel and actual emission reductions: ”It is paramount and uplifting to see responsible companies drive their decarbonisation journey. It is a challenge, but we all must contribute and support each other with collaboration across industries and supply chains, which is essential to making progress. The window for meaningful change is closing; now is the time to drive collective courage for a low-carbon future.” In conclusion, this partnership for ocean biofuel represents a positive step towards low-carbon logistics. While navigating the complexities of modern logistics, collaborations like these serve as examples of optimism and pave the way towards a more sustainable future for the industry.  

Today, Mölnlycke Health Care, a world leading MedTech company, announces that its near-term GHG emission reduction targets submitted to the SBTi have been validated and deemed to be compliant with all applicable requirements. Specifically, Mölnlycke has committed to reduce absolute scope 1 and 2 GHG emissions by 50% by 2030, from a 2021 base year, to increase active annual sourcing of renewable electricity from 23% in 2021 to 100% by 2024, and to continue sourcing of 100% renewable electricity through 2030. Furthermore, the company committed to reducing absolute scope 3 GHG emissions from purchased goods and services, fuel and energy related activities, upstream transportation and distribution and waste generated in operations by 20% by 2028, from a 2021 base year. Finally, Mölnlycke committed that 63% of its suppliers by emissions covering purchased goods and services, capital goods, and upstream transportation and distribution, will have set science-based targets by 2028. “SBTi validation is a key milestone in our long-term strategy to help decarbonise the healthcare sector” said Zlatko Rihter, Chief Executive Officer, Mölnlycke Health Care. “We are committed to reach Net Zero by 2050 at the latest, and are accelerating the process of minimising both the direct and indirect impact of our operations on the planet.” Mölnlycke stands well poised for reaching the targets through a series of impact initiatives: For scope 1 and scope 2 targets concerning our own manufacturing facilities and headquarters, Mölnlycke’s implementation of a renewable electricity roadmap is well underway and will be achieved through a combination of virtual Power Purchase Agreements, renewable energy certificates (RECs) and investments in higher additionality energy sources, e.g. photovoltaic systems. For scope 3 and the supplier engagement target, Mölnlycke has already initiated activities under the Sustainable Procurement framework aimed at increasing collaboration with suppliers to bring innovation in raw materials and improved transportation routes that are needed to transition to a low-carbon economy. Mölnlycke are ensuring a defined set of suppliers commit to reducing emissions through the SBTi. The official information on Mölnlycke’s commitment can be found here. About SBTi The Science Based Targets Initiative (SBTi) is a global partnership made up of leading climate organisations, including the Carbon Disclosure Project, the United Nations Global Compact, World Resources Institute (WRI) and the World Wide Fund for Nature (WWF). The SBTi defines and promotes best practice in emissions reductions and Net-zero targets in line with science. It provides technical assistance and expert resources to companies that set science-based targets, to ensure their alignment with the Paris Agreement, to limit global warming to 1.5C.

The bond was more than five times oversubscribed with an orderbook of over EUR 2,700M at its peak. There was strong and widespread demand from leading investors in Germany, Austria and Switzerland 32%, UK & Ireland 28%, Nordics 18%, France 12% and Other 10%. Asset Managers represented 87% of investors, followed by Insurance and Pension Funds with 9% and Banks with 4%. The proceeds will be used to finance a Tender Offer of Mölnlycke’s outstanding EUR 500M notes maturing in 2025 as well as for general corporate purposes. The bond further extends the duration of Mölnlycke’s well-spread debt maturity profile. The bond will be listed on the Euro MTF market of the Luxembourg Stock Exchange. BNP Paribas, ING, JP Morgan and SEB acted as joint bookrunners for the transaction.

The Tamer Mölnlycke Care joint venture was initiated in 2021 with the agreement to develop a customised surgical procedure tray factory in Saudi Arabia, with first production expected in Q4 2024. The increased investment allows for an expansion in the range of Mölnlycke products manufactured and distributed in the country and to the neighbouring region. Adding drapes and gowns, emollient range and selected wound care products to the offering allows more healthcare professionals and patients in the region to benefit from Mölnlycke products and solutions. Zlatko Rihter, CEO, Mölnlycke Health Care comments “To ensure we meet customer demand, geographical expansion is a strategic priority for Mölnlycke Health Care. Increased investment in our existing long-term partnership with Tamer Group will importantly enable healthcare professionals and patients in Saudi Arabia access to our quality products and solutions helping to improve outcomes, and is a step closer to realising the potential of this rapidly growing healthcare market.” Speaking on behalf of Tamer Group, Chairman Ayman Tamer adds “This investment is key to enabling future growth in the region as outlined in the Saudi Vision 2030 - supporting the regional healthcare ecosystem, including exporting goods to the Middle East and Africa region, whilst developing local skills and expertise.” Mahmoud Wagih, CEO, Tamer Mölnlycke Care comments “I am delighted to lead this business where Mölnlycke and Tamer will build a strong, long-term successful joint venture, bringing superior health care solutions to our region.” The Tamer Mölnlycke Care joint venture is a long-term agreement between two organisations who have been working in partnership over the past decade; and are committed to meeting customer demand in the evolving healthcare landscape of Saudi Arabia and the wider region. For more information, please contact:  Liz Neal Director of Communications Email: liz.neal@molnlycke.com Phone: +44 7787432560 About Mölnlycke   Mölnlycke is a world-leading medical products and solutions company that equips healthcare professionals to achieve the best patient, clinical and economic outcomes. The core business is within the four Business Areas Wound Care, Operating Room Solutions (ORS), Gloves and Antiseptics.  Mölnlycke employs around 8,700 people. The headquarters are in Gothenburg, Sweden, and the company operates in more than 100 countries worldwide. Mölnlycke is owned by Patricia Industries AB, which is part of Investor AB, an engaged owner of high-quality, global companies founded by the Wallenberg family in 1916. www.molnlycke.com   

Gothenburg 12 April 2024: Mölnlycke, a world leading MedTech company specialised in wound care and wound management, announced today it signed an agreement to acquire P.G.F. Industry Solutions GmbH, the Austrian manufacturer of Granudacyn wound cleansing and moisturising solutions. Mölnlycke and P.G.F. have worked together for five years on the manufacturing and distribution of Granudacyn, a range of solution and gel products intended for use in the cleansing, irrigation and moisturisation of various wound types. The high quality and composition of Granudacyn ensures good biocompatibility, allowing it to be effectively used on a broad range of tissues in burns, as well as acute and chronic wounds. Mölnlycke currently distributes Granudacyn in over 50 countries around the world. “With an ageing population in combination with increased chronic wounds, such as diabetic foot ulcers or venous leg ulcers, it is our obligation to help ease the burden of wounds on national healthcare regimes” says Zlatko Rihter, CEO of Mölnlycke Health Care. “The acquisition of P.G.F. and its state-of-the-art manufacturing plant, will allow Mölnlycke to aggressively expand our Granudacyn business to improve the lives of even more patients.” “I’m excited for P.G.F. to become part of Mölnlycke and for the team to continue to manufacture products that support Mölnlycke’s Wound Care mission to help free patients from the burden of wounds” says Peter Fritz, P.G.F. founder and CEO, who will continue to lead this team and manufacturing process from P.G.F.’s Austria headquarters. Closure is expected after certain milestones are reached and will be communicated separately. For more information, please contact: Jennifer Doak Global Communications Director Wound Care Email: jennifer.doak@molnlycke.com Phone: +1 678 206 6179 About Mölnlycke® Mölnlycke Health Care is a world-leading MedTech company that specialises in innovative solutions for wound care and surgical procedures. Mölnlycke products and solutions are used daily by hospitals, health care providers and patients in over 100 countries around the world. Founded in 1849, Mölnlycke is owned by Investor AB and headquartered in Sweden. www.molnlycke.com About P.G.F. Industry Solutions P.G.F. Industry Solutions was founded in 2005 by Peter Fritz to develop and produce ecologically compatible hypochlorous acid based products to protect the user and their environment. The company is founded on more than 30 years of experience in research, development, production, and worldwide distribution of medical and measurement products. P.G.F. employs approximately 25 employees and is headquartered in Elixhausen, Austria. www.veriforte.com.

The facility is backed by a group of seven leading global and regional banks, well diversified to match Mölnlycke’s geographical footprint. The banks are BNP, Danske Bank, HSBC, ING, JP Morgan, Nordea and SEB as mandated lead arrangers. SEB acted as the coordinator, documentation agent and facility agent for the transaction. For more information, please contact:  Liz Neal Director of Communications Email: liz.neal@molnlycke.com Phone: +44 7787432560 About Mölnlycke   Mölnlycke is a world-leading medical products and solutions company that equips healthcare professionals to achieve the best patient, clinical and economic outcomes. The core business is within the four Business Areas Wound Care, Operating Room Solutions (ORS), Gloves and Antiseptics.  Mölnlycke employs around 8,700 people. The headquarters are in Gothenburg, Sweden, and the company operates in more than 100 countries worldwide. Mölnlycke is owned by Patricia Industries AB, which is part of Investor AB, an engaged owner of high-quality, global companies founded by the Wallenberg family in 1916. www.molnlycke.com 

Being born with a cleft lip or palate is more than just a cosmetic problem. Many children have issues eating or speaking. They can grow up isolated, unable to socialise and deprived of opportunities. The Philippines has one of the highest incidences of cleft palate and cleft lip in the world. A simple surgical procedure can correct cleft problems. But access to healthcare is low in the country, particularly for people living outside the two main islands, and there is a need to enhance the specialist cleft care skills of healthcare professionals. 10,000 surgeries in three years The centre, which is planned to open in Q4 2021, will serve the 27 million people who live on Cebu or one of the 150+ surrounding islands. In its first three years, Operation Smile and Mölnlycke estimate that the centre will support up to 10,000 surgeries, via a hub and spokes model in the community. More than 26,000 patients will receive consultations and 1,800 community health workers will be trained – alongside 400 Operation Smile volunteers and hospital staff. Supporting with funds, products and expertise Mölnlycke has committed to an initial three-year partnership agreement to support the centre at Cebu. In addition to funds, the company will donate products, train healthcare professionals in infection prevention and provide logistics support. As expertise within Cebu and the surrounding area grows, the ambition is for the centre to become less reliant on direct support and more self-sufficient. Zlatko cleft centre Quote Follow #Cebu10000 #Cebu10000 is the first time Mölnlycke has supported healthcare infrastructure and marks a significant step-change in the company’s relationship with its global charity partner Operation Smile. Since 2004, when Mölnlycke began its support of Operation Smile, the company has donated funds, volunteer time and more than 1.5 million pairs of Biogel® surgical gloves to support cleft procedures. A model of cleft care Bill Magee Cleft centre Quote   Press contact Liz Neal Director of Communications Email: liz.neal@molnlycke.com Phone: +44 7787432560   About Mölnlycke Mölnlycke Health Care is a world-leading MedTech company that specialises in innovative solutions for wound care and surgical procedures. Mölnlycke products and solutions are used daily by hospitals, health care providers and patients in over 100 countries around the world. Founded in 1849, Mölnlycke is owned by Investor AB and headquartered in Sweden. www.molnlycke.com