Affimed Announces Filing for the Opening of Insolvency Proceedings

Rhea-AI Summary

Affimed N.V. (AFMD), a clinical-stage immuno-oncology company, has announced filing for insolvency proceedings with the local court of Mannheim, Germany. Despite ongoing fundraising efforts, the company failed to secure sufficient capital to continue operations of Affimed N.V. and its subsidiaries Affimed GmbH and Affimed Inc.

The management has determined that both Affimed N.V. and Affimed GmbH are overindebted (Überschuldung), necessitating insolvency filing under German law. As a result of these proceedings, Affimed's common shares will be suspended from trading and subsequently delisted from The Nasdaq Global Market. The company's current liquidity condition raises substantial doubt about its ability to continue as a going concern.

Positive

• None.

Negative

• Company is filing for insolvency due to inability to raise sufficient capital
• Operations cannot continue due to financial constraints
• Company is overindebted (Überschuldung)
• Stock will be suspended and delisted from Nasdaq
• Substantial doubt about company's ability to continue as a going concern

Insights

Bankruptcy Law Expert

Affimed's insolvency filing signals imminent delisting from NASDAQ and likely liquidation after failed fundraising attempts.

Affimed's insolvency filing represents a terminal event for this clinical-stage immuno-oncology company. The company has explicitly declared it's overindebted (Überschuldung) under German law, which indicates liabilities exceed assets with no reasonable prospect of recovery. This filing wasn't merely precautionary—management determined they cannot continue as a going concern.

The simultaneous filing for both the parent company (Affimed N.V.) and its German subsidiary (Affimed GmbH) with the Mannheim court suggests a comprehensive collapse of the corporate structure. Under German insolvency law, this triggers an automatic stay against creditors and appointment of a preliminary insolvency administrator who will assess whether sufficient assets exist to cover procedural costs.

Shareholders should understand that the imminent delisting from NASDAQ will eliminate their liquid market for shares, and typically in such proceedings, equity holders stand last in the recovery line, usually receiving nothing. The company's candid disclosure that it "has not been able to raise sufficient additional funds to continue operations" despite "continuous and ongoing fundraising efforts" signals that sophisticated investors found no viable path forward.

This insolvency represents the unfortunate but common endpoint for many clinical-stage biotech companies that exhaust capital before achieving marketable products or attractive acquisition targets.

MANNHEIM, Germany, May 13, 2025 (GLOBE NEWSWIRE) -- Affimed N.V. (Nasdaq: AFMD), a clinical-stage immuno-oncology company committed to giving patients back their innate ability to fight cancer, today announced its decision to file an application for opening of insolvency proceedings with the local court of Mannheim in Germany.

As previously reported, Affimed N.V. (the “Company”) has been engaged in discussions with potential investors and partners with respect to potential strategic transactions to raise additional capital. Despite its continuous and ongoing fundraising efforts, the Company has not been able to raise sufficient additional funds to continue the operations of the Company and its controlled (and wholly owned) subsidiaries Affimed GmbH and Affimed Inc. Further, based on currently available information, the Company’s liquidity condition raises substantial doubt about the Company’s ability to continue as a going concern.

As a consequence, the members of the management board of the Company have determined in respect of the Company and the managing directors of Affimed GmbH have determined in respect of Affimed GmbH that the companies are overindebted (Überschuldung). The management of the Company and the management of Affimed GmbH have determined with regards to the respective company that they must file for insolvency under German law.

Following such determination, on May 13, 2025, the members the management board of the Company filed for the opening of ordinary insolvency proceedings over the assets of the Company and the managing directors of Affimed GmbH filed for the opening of ordinary insolvency proceedings over the assets of Affimed GmbH with the local court of Mannheim in Germany. There can be no assurance as to the outcome of any preliminary or formal insolvency proceedings with respect to the Company or Affimed GmbH or as to whether the companies will emerge from insolvency as a going concern. Further, the insolvency filing in respect of the Company and resulting preliminary and formal insolvency proceedings will also result in the Company’s common shares being suspended from trading on, and subsequent delisting from, The Nasdaq Global Market.

About Affimed N.V.

Affimed (Nasdaq: AFMD) is a clinical-stage immuno-oncology company committed to giving patients back their innate ability to fight cancer by actualizing the untapped potential of the innate immune system. The Company’s innate cell engagers (ICE^®) enable a tumor-targeted approach to recognize and kill a range of hematologic and solid tumors. ICE^® are generated on the Company’s proprietary ROCK^® platform which predictably generates customized molecules that leverage the power of innate immune cells to destroy tumor cells. A number of ICE^® molecules are in clinical development, being studied as mono- or combination therapy. Headquartered in Mannheim, Germany, Affimed is led by an experienced team of biotechnology and pharmaceutical leaders united by the bold vision to stop cancer from ever derailing patients’ lives. For more about the Company’s people, pipeline and partners, please visit: www.affimed.com.

FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements. All statements other than statements of historical fact are forward-looking statements, which are often indicated by terms such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “goal,” “intend,” “look forward to,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “will,” “would” and similar expressions. Forward-looking statements include, among other things, statements regarding the Company’s and Affimed GmbH’s liquidity condition and their ability to continue as a going concern, the insolvency proceedings and the listing or trading of the Company’s common shares. Actual results may differ materially from the results anticipated by the Company’s forward-looking statements due to certain risks, uncertainties and other factors described under the heading “Risk Factors” in the Company’s filings with the Securities and Exchange Commission. Given these risks, uncertainties and other factors, you should not place undue reliance on these forward-looking statements, and the Company assumes no obligation to update these forward-looking statements, even if new information becomes available in the future.

Investor Relations Contact
Alexander Fudukidis
Director, Investor Relations
E-Mail: a.fudukidis@affimed.com
Tel.: +1 (917) 436-8102

Media Contact
Mary Beth Sandin
Vice President, Marketing and Communications
E-Mail: m.sandin@affimed.com

FAQ

Why is Affimed (AFMD) filing for insolvency in 2025?

Affimed is filing for insolvency because it failed to raise sufficient capital to continue operations, resulting in overindebtedness (Überschuldung) of both Affimed N.V. and Affimed GmbH.

What happens to Affimed (AFMD) stock after the insolvency filing?

Affimed's common shares will be suspended from trading and subsequently delisted from The Nasdaq Global Market.

Which court is handling Affimed's insolvency proceedings?

The insolvency proceedings were filed with the local court of Mannheim in Germany.

What subsidiaries are affected by Affimed's insolvency filing?

The insolvency affects Affimed N.V. and its controlled subsidiaries Affimed GmbH and Affimed Inc.

Is there a chance for Affimed to continue operations after insolvency?

There is no assurance that Affimed will emerge from insolvency as a going concern, and the company has expressed substantial doubt about its ability to continue operations.