LAVAL, QC, June 11 /CNW/ - BioSyntech, Inc. (TSX: BSY) (the Company) gave
notice to its debentureholders that it exercised its right to make the
interest payment of $745,800 due on June 30, 2009 by issuing common shares.
The number of common shares to be issued on June 30, 2009 will be equal to the
amount of the interests, divided by 95% of the volume weighted average trading
price per common share for the five trading days immediately preceding.
On July 15, 2008, the Company closed a bought deal financing of 11,000
subordinated secured convertible debentures units of the Company, each
comprised of $1,000 principal amount of subordinated secured convertible
debentures and 2,500 warrants, representing gross aggregate proceeds of
$11,000,000 to the Company. On July 18, 2008, the underwriters exercised part
of an over-allotment option to purchase an additional 1,550 Units for gross
proceeds of $1,550,000. The debentures mature on December 31, 2009 and bear
interest to an annual rate of 12.0% payable semi-annually, not in advance, on
June 30 and December 31 of each year.
Change in Board of Directors
BioSyntech also announced today that Mr. Nick Losey has tendered his
resignation as member of the Board. This resignation is subsequent to Mr.
Losey's resignation from Highland Capital Management. Under the terms of an
underwriting agreement signed in connection with the July 2008 debenture
financing, Highland Capital Management has the right to nominate one member to
the Board of the Company. No replacement has been appointed at this time.
BioSyntech is a medical device company specialized in the development,
manufacturing and commercialization of advanced biotherapeutic thermogels for
regenerative medicine (tissue repair) and therapeutic delivery. BioSyntech's
platform technology is a family of hydrogels called BST-Gel(R), some of which
are liquid at low temperature and solid at human body temperature. These gels
can be injected or applied to a specific local site and offer beneficial
properties for the local repair of damaged tissue such as cartilage, bone and
chronic wounds and provide the benefit of avoiding invasive surgery. For
additional information, visit www.biosyntech.com.
This press release contains forward-looking statements and information
which are subject to material risks and uncertainties. Such statements are not
historical facts and are based on the current expectations of management. You
are cautioned that such statements are subject to a multitude of risks and
uncertainties that could cause actual results, future circumstances, or events
to differ materially from those projected in the forward-looking information.
These risks include, but are not limited to, those associated with our
capacity to finance our activities, the adequacy, timing, and results of our
clinical trials, the regulatory approval process, competition, securing and
maintaining corporate alliances, market acceptance of the Company's products,
the availability of government and insurance reimbursements for the Company's
products, the strength of intellectual property, the success of research and
development programs, reliance on subcontractors and key personnel, and other
risks and uncertainties detailed from time-to-time in our filings with the
Canadian securities commissions.
Readers should not place undue reliance on the forward-looking
information, given that (i) our actual results could differ materially from a
conclusion, forecast or projection in the forward-looking information, and
(ii) certain material factors or assumptions which were applied in drawing a
conclusion or making a forecast or projection as reflected in the
forward-looking information, could prove to be inaccurate. Additional
information about (i) the material factors that could cause actual results to
differ materially from the conclusion, forecast or projection in the
forward-looking information, and (ii) the material factors or assumptions that
were applied in drawing a conclusion or making a forecast or projection as
reflected in the forward-looking information, is contained in the Company's
annual report and other documents filed from time to time with the Canadian
securities commissions which are available at www.sedar.com. These statements
speak only as of the date they are made, and we assume no obligation to revise
such statements as a result of any event, circumstance or otherwise, except in
accordance with law.
For further information:
For further information: James Smith, The Equicom Group, (416) 815-0700