aap Implantate AG: Capital increase concluded successfully

aap Implantate AG, a medical technology group specialized in fracture healing, joint replacement and biomaterials, has brought to a successful conclusion a capital increase and rights issue. The capital increase was placed in full by the issue of 9,739,058 ordinary shares, of which around 1.4 million were acquired by existing shareholders and the remainder by new investors, employees and individuals associated with the company. After the successful placement and entry of the capital increase in the commercial register at Berlin's Charlottenburg district court, the company's capital stock will increase by EUR 9,739,058 from the present EUR 4,869,529 to EUR 14,608,587, consisting of 14,608,587 ordinary shares. The new shares will probably be listed along with the existing shares on the Frankfurt stock exchange in mid-September 2004.

The capital increase will result in a gross inflow of funds amounting to around EUR 9.7 million that is intended to be used to redeem in full all outstanding loans and to repay trade creditors and other liabilitiests. The remaining funds are to be used to boost sales and to develop and launch new products.