Biovest Corp. I announces loan to Magor Communications Corp. in connection with qualifying transaction
OTTAWA, Dec. 21, 2012 /CNW/ - Biovest Corp. I ("Biovest") (TSXV: BVC.P), is pleased to announce that, in connection with its proposed Qualifying Transaction with Magor Communications Corp. ("Magor"), Biovest intends to advance, in accordance with the policies of the TSX Venture Exchange (the "Exchange") and subject to the approval of the Exchange, up to $200,000 to Magor, on an interest free basis, by way of secured promissory note (the "Loan"). The Loan will be secured by a general security agreement against all of the assets of Magor. In the event that the Qualifying Transaction is not completed, the Loan will mature 90 days following the date that the Amalgamation Agreement between Biovest and Magor, dated November 7, 2012, has been formally terminated. The Loan will be used by Magor to fund ongoing operating expenses such as payroll and other general and administrative expenses being incurred in the day-to-day operations; to fund the purchase of materials and labour in connection with the production, marketing, sale and support of Magor products; and for general working capital purposes. The Loan will only be advanced upon receipt of the Exchange's approval.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy of this press release.
This news release may contain "forward-looking information" within the meaning of applicable Canadian securities legislation. Statements made in this news release, other than those concerning historical financial information, may be forward-looking and therefore subject to various risks and uncertainties. The words "may", "will", "could", "should", "would", "suspect", "outlook", "believe", "plan", "anticipate", "estimate", "expect", "intend", "forecast", "objective", "hope", and "continue" (or the negative thereof), and words and expressions of similar import are intended to identify forward-looking statements. Certain material factors or assumptions are implied in making forward-looking statements and actual results may differ materially from those expressed or implied in such statements. Factors that could cause results to vary include those identified in the Biovest's Preliminary Prospectus and other such filings with Canadian securities regulatory authorities, such as the applicability of patents and proprietary technology; possible patent ligation; regulatory approval of products in development; changes in government regulation or regulatory approval processes; government and third party reimbursement; dependence on strategic partnerships; intensifying competition; rapid technological change in the industry; anticipated future losses; the ability to access capital; and the ability to attract and retain key personnel. All forward-looking information presented herein should be considered in conjunction with such filings. Except as required by Canadian securities laws, Biovest does not undertake to update any forward-looking statements; such statements speak only as of the date made.
SOURCE: Biovest Corp. IFor further information:
For further information about Biovest, please contact:
Dr. Calvin Stiller
Chairman and CEO
For further information about Magor, please contact:
President and CEO