Resverlogix Corp. announces completion of spin-out transaction
CALGARY, June 3, 2013 /CNW/ - Resverlogix Corp. ("Resverlogix") (TSX: RVX) today announced the successful completion of its previously announced Plan of Arrangement under the Business Corporations Act (Alberta) (the "Arrangement") pursuant to which Resverlogix spun-out RVX Therapeutics Inc. ("Therapeutics") to Zenith Epigenetics Corp. (formerly 1741273 Alberta Ltd.) ("Zenith"). Shareholders of Resverlogix now own one new common share of Resverlogix and one common share of Zenith for each common share of Resverlogix held immediately prior to the Arrangement becoming effective.
Pursuant to the Arrangement, Resverlogix has retained its research and development activities related to the development of compounds for applications with indications involving a therapeutic increase in Apolipoprotein A-1 (ApoA-I), including the clinical program related to RVX-208, a first in class small molecule for the treatment of atherosclerosis. Resverlogix has completed the spin-off of all other research and development activities related to its epigenetic platform technology to Zenith. Pursuant to the Arrangement, Zenith was also issued royalty preferred shares in the capital of Resverlogix which will provide Zenith with a dividend equal to six to 12 percent of "Net Apo Revenue" as described in the Information Circular of Resverlogix dated April 29, 2013. As part of the Arrangement, Resverlogix also transferred to Zenith all of the indebtedness of Therapeutics owing to Resverlogix as well as $10 million in cash to provide for the initial capitalization of Zenith.
With the completion of the Arrangement, the common shares of Resverlogix will continue to trade on the Toronto Stock Exchange under the symbol "RVX".
Resverlogix Corp. (TSX:RVX) is a clinical stage cardiovascular company developing compounds involving a therapeutic increase in Apolipoprotein A-1 (ApoA-I). Resverlogix's RVX-208 is a first-in-class small molecule for the treatment of atherosclerosis and other chronic diseases such as diabetes mellitus and Alzheimer's disease. RVX-208 is the first BET bromodomain inhibitor in clinical trials. Resverlogix's common shares trade on the Toronto Stock Exchange (TSX: RVX). For further information please visit www.resverlogix.com. We can be followed on our blog at http://www.resverlogix.com/blog.
Donald J. McCaffrey
President and CEO
Director of Investor Relations
SOURCE: Resverlogix Corp.