OR YEHUDA, Israel, Sept. 21, 2014 /CNW/ - Peregrine Investment Management Ltd. (an Israeli company), Peregrine Investment Management Ltd. (a British Virgin Islands corporation) and Peregrine II G.P. Ltd. (an Israeli company) (collectively, the "Peregrine Managers") announced today that limited partnerships (the "Peregrine LPs") under their control and direction have agreed to sell 2,000,000 common shares ("Shares") of Neovasc Inc. ("Neovasc"), or 3.72% of the issued and outstanding Shares, to Fidelity Select Portfolios: Medical Equipment and Systems Portfolio, under a prospectus supplement dated September 19, 2014 to Neovasc's base shelf prospectus dated May 13, 2014, at a sale price of US$6.00 per Share (approximately C$6.58 per Share).
The Peregrine LPs acquired ownership of 4,565,707 Shares and warrants to purchase 1,225,113 Shares on July 1, 2008 in connection with the acquisition by Neovasc (formerly Medical Ventures Inc.) of Neovasc Medical Ltd. and B-Balloon Ltd. All of the warrants to acquire Shares have been exercised. At the time of acquisition, the Peregrine Managers also managed 949,157 Shares beneficially owned by third parties (which management arrangements were subsequently terminated in December 2010), for an aggregate total of 5,514,864 Shares under the control of the Peregrine Managers (not including the warrants).
As a result of the disposition referred to above, the Peregrine Managers now control 3,790,820 Shares, or 7.05% of the issued and outstanding Shares. The sale of the Shares controlled by the Peregrine Managers was made pursuant to a letter agreement with Leerink Partners LLC (the "Placement Agent") under which the Placement Agent will receive a fee of 1.5% on the gross proceeds of the sale of the Peregrine LP's Shares.
The Peregrine LPs hold the Shares for investment purposes only. The Peregrine LPs or other entities managed by the Peregrine Managers may acquire or dispose of additional Shares depending on factors including general market and economic conditions and other available investment opportunities. The Peregrine Managers are under common control.
A copy of the early warning report to be filed in connection with this transaction may be obtained from SEDAR or by contacting the Peregrine Managers at 6 Yoni Netanyahu Street, Or Yehuda, Israel, Attention: Tal Carasso 972-3-6349990.
SOURCE: Peregrine Ventures
For further information: Tal Carasso 972-3-6349990