Derivative financial instruments

6 Months Ended

Jun. 30, 2026

24. Derivative financial instruments

As part of its investment in Stalicla SA (note 23), the Group was granted several related financial instruments. These comprised an anti-dilution protection through a contingent ratchet mechanism, 23,342 phantom shares entitling the Group to proceeds equivalent to those distributable to 23,342 ordinary shares, 23,342 warrants with a ten-year exercise period at a strike price of CHF 34.05 to purchase 23,342 ordinary shares and 3,591 warrants with a five-year exercise period, a strike price of CHF 0.10 to purchase 3,591 preferred shares. These financial instruments are classified as derivatives and valued at fair value (level 3) using Black-Scholes and binomial valuation models. On initial recognition, their aggregate fair value amounted to CHF 509,067. The fair value of phantom shares was capped at the fair value of the preferred shares, as management concluded that the two values should be deemed equivalent. As a result, the amount of CHF 111,552 was not recorded as phantom shares.

As of June 30, 2026, the fair value (level 3) of these derivative financial instruments, driven by the value of Stalicla SA shares (note 23), remained unchanged:


	June 30, 2026		December 31, 2025
Phantom shares	285,962		285,962
Anti-dilution protection	102,547		102,547
Warrants	120,558		120,558
Total	509,067		509,067

The following table presents the Group’s financial assets measured and recorded at fair value at June 30, 2026, and December 31, 2025:


		Levels 1 and 2				Level 3
		June 30,		December 31,		June 30,		December 31,
		2026		2025		2026		2025
Financial assets at fair value through profit and loss (FVPL)
Phantom shares (Stalicla SA)		—		—		285,962		285,962
Anti-dilution protection (Stalicla SA)		—		—		102,547		102,547
Warrants (Stalicla SA)		—		—		120,558		120,558
Financial assets at fair value through other comprehensive income (OCI)
Preferred shares (Stalicla SA) (note 23)		—		—		285,962		285,962
Total financial assets		—		—		795,029		795,029

Certain inputs used to measure the fair value of the financial instruments related to the investment in Stalicla SA (note 23) were not based on observable market data and have been classified at a level 3 in the fair value hierarchy.

The following table summarizes the quantitative information about the significant unobservable inputs used in level 3 fair value measurement and how a reasonable possible change in the input would affect the fair values:

Fair value at

Range of inputs

June 30,

December 31,

June 30,

December 31,

Relation of unobservable inputs to

Description

 

2026

 

2025

 

Unobservable inputs

 

2026

 

2025

 

fair value

Preferred shares (Stalicla SA)

285,962

(1)

CHF17-CHF30

(2)

Phantom shares (Stalicla SA)

285,962

Stalicla share price used in Black-Scholes valuation model, determined by the price paid by external investors. The fair value of phantom shares is capped at the fair value of preferred shares

CHF17

A 10% increase or decrease in Stalicla’s share price would increase or decrease the fair value by CHF 39,682 and CHF 36,138, respectively. In both cases the fair value would remain capped at the fair value of preferred shares.

Anti-dilution protection (Stalicla SA)

102,547

Sale price of Stalicla shares used in the different scenarios in binomial valuation model

CHF17-CHF30

CHF17 -CHF30

A 10% increase or decrease in the sale price of Stalicla shares under the scenario used in the binomial valuation model, would increase or decrease the fair value by CHF 25,064 and CHF 18,949, respectively.

Warrants (Stalicla SA)

60,547

Stalicla share price used in Black-Scholes valuation model, determined by the price paid by external investors

CHF17

A 10% increase or decrease in Stalicla’s share price would increase or decrease the fair value by CHF 15,673 and CHF 12,791, respectively.

Warrants (Stalicla SA)

60,011

Stalicla share price used in Black-Scholes valuation model, determined by the price paid by external investors

CHF17

A 10% increase or decrease in Stalicla’s share price would increase or decrease the fair value by CHF 6,091 and CHF 5,538, respectively.

(1)The fair value of the preferred shares was determined as the residual amount between the subscription price of CHF 795,029 and the fair value of the derivative financial instruments measured using Black-Scholes and binomial valuation models. The fair value of the phantom shares was capped at the fair value of the preferred shares.

(2)An increase or decrease of 10% in Stalicla’s share price used to calculate the fair value of the anti-dilution protection through a ratchet mechanism and warrants would result in a decrease or increase in fair value by CHF 21,697 and CHF 20,357, respectively.