OTTAWA, Oct. 2, 2012 /CNW/ - PharmaGap Inc. (TSX-V: GAP; OTC.BB: PHRGF)
("PharmaGap" or "the Company") today announced that it is suspending
all operations pending completion of the previously announced licensing
transaction with Clinical Value Corporation ("CVC") as approved by
independent PharmaGap shareholders at its Annual General Meeting on
August 3, 2012.
Robert McInnis, President of PharmaGap said "until the transaction with
CVC is completed it is important that operating expenses be held to a
minimum to focus resources on preserving the assets to be transferred
Mr. Roderick M. Bryden, Chairman of PharmaGap and sole owner of CVC said
today that "We continue to meet with potential investors to participate
in capital funding for CVC to implement the licensing transaction with
PharmaGap. It is likely that a number of weeks will be required to
complete this transaction."
In order to reduce cash requirements until the financing of CVC can be
secured, the Company placed all employees on temporary layoff status on
September 26, 2012, and is reducing the office and lab space leased at
100 Sussex Drive in Ottawa accordingly.
About PharmaGap Inc.
PharmaGap Inc. (TSX-V: GAP), based in Ottawa, ON, is a biotechnology
company with a core focus on developing novel peptide therapeutics for
the treatment of cancer. For more information on PharmaGap please visit
the Company's website at www.pharmagap.com.
Forward Looking Statements
This news release contains certain statements that constitute
forward-looking statements as they relate to the Company and its
management. Forward-looking statements are not historical facts but
represent management's current expectations of future events, and can
be identified by words such as "believe", "expects", "will", "intends",
"plans", "projects", "anticipates", "estimates", "continues", and
similar expressions. Although management believes that expectations
represented in such forward-looking statements are reasonable, there
can be no assurance that they will prove to be correct.
By their nature, forward-looking statements include assumptions and are
subject to inherent risks and uncertainties that could cause actual
future results, conditions, actions or events to differ materially from
those in the forward-looking statements. If and when forward-looking
statements are set out in this news release, PharmaGap will also set
out the material risk factors or assumptions used to develop the
forward-looking statements. Except as expressly required by applicable
securities laws, the Company assumes no obligation to update or revise
any forward-looking statements. The future outcomes that relate to
forward-looking statements may be influenced by many factors,
including, but not limited to: results of ongoing product testing and
development; regulatory approvals required to complete development of
products; ability to manufacture product at quality and scale for human
use on an economically sound basis; patient reimbursement by private
and public health insurance programs; unintended side effects of
products; competitive products; product liability; intellectual
property; reliance on key personnel; risks of future legal proceedings;
income tax matters; availability and terms of financing; distribution
of securities; effect of market interest rates on price of securities,
and potential dilution.
Note: 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 or accuracy of this release.
No Securities Commission or other regulatory authority having
jurisdiction over PharmaGap has approved or disapproved of the
information contained herein. This release contains forward looking
statements that may not occur or may change materially.
SOURCE: PHARMAGAP INC.
For further information:
Robert McInnis, President & CEO
(613) 990-9551 firstname.lastname@example.org