OTTAWA, May 6, 2015 /CNW/ - Annidis Corporation (TSX Venture: RHA) ("Annidis" or the "Corporation") is pleased to announce that, subject to the approval of the TSX Venture Exchange (the "Exchange"), its board has approved a non-brokered private placement of 10,000,000 common shares in the capital of the Corporation ("Common Share") at a price of $0.25 per Common Share to Yimai Technology International Corporation Limited ("Yimai"), and an insider of Annidis, pursuant to which Annidis will raise gross proceeds of $2,500,000 (the "Private Placement").
The gross proceeds from the Private Placement will be used for working capital purposes, including procuring inventory and to expand the sales and services part of the business.
In addition, subject to the approval of the Exchange, Annidis and Yimai have agreed to settle the $500,000 promissory note (as was previously announced by Annidis on April 15, 2015) by the completion of a shares for debt transaction pursuant to which Annidis will issue approximately 2,000,000 Common Shares to Yimai at a deemed price of $0.25 per Common Share (the "Shares for Debt Transaction").
All securities issued pursuant to the Private Placement and Shares for Debt Transaction will be subject to a four-month hold period, commencing at closing.
The Corporation is also announcing the following changes in the Corporation's senior management team and board of directors (the "Board"), which are effective as of today. Michael Mueller has stepped down as Chairman of the Board. Mr. Mueller will however continue to serve a as director of the Corporation. Gerald Slemko has stepped down as CEO of the Corporation and has been appointed as the new Chairman of the Board and Michael Crowley has been appointed as interim CEO. In connection with these changes to the senior management team and the Board, Annidis is pleased to announce that it has commenced the search for a veteran industry CEO who can lead the Corporation as it looks to execute on its US growth strategy.
"We recently decided to make some organizational changes to ensure that the Corporation is well positioned to execute on its US growth strategy," said Gerald Slemko, Chairman of Annidis. "We have spent the past couple of years building a technology that is at the forefront of eye disease identification and management. As our focus evolves more towards sales and capturing market share, we found it necessary to strengthen the Corporation with management who have experience and relationships with key buyers and players in the industry. As a shareholder of the Corporation, I'm truly excited about this new chapter for Annidis. I would also like to thank Michael Mueller for his contributions to the business in his capacity as Chairman. His dedication has been instrumental to what we have accomplished thus far in our business."
About Annidis Corporation
Annidis (TSX-V: RHA) has developed and is marketing a new imaging platform technology based on Multi-Spectral Imaging (MSI). This new technology is opening a new frontier in disease identification and its management. The Annidis MSI technology allows eye-care professionals to view non-invasively the deepest areas of the eye aiding eye care professionals in the early identification and treatment of debilitating eye diseases. The Corporation's existing RHA 2020-U Gold, used by eye care professionals as a broad based tool for detecting early-onset of eye related diseases such as Dry AMD, has a potential market of over 20,000 clinics in North America. The RHA Platinum MD will further strengthen the value proposition allowing doctors to visualize choroidal and retinal vasculature non-invasively. The RHA Platinum MD has global market potential of more than 100,000 Ophthalmologists
Neither 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.
Certain statements in this press release are forward looking statements and are prospective in nature, including statements with respect to the Corporation's intended use of the proceeds of the Note. Forwardlooking statements are not based on historical facts, but rather on current expectations and projections about future events, and are therefore subject to risks and uncertainties which could cause actual results to differ materially from the future results expressed or implied by the forwardlooking statements. These statements generally can be identified by the use of forwardlooking words such as "may", "should", "will", "could", "intend", "estimate", "plan", "anticipate", "expect", "believe" or "continue", or the negative thereof or similar variations. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Such forwardlooking statements should therefore be construed in light of such factors, and the Corporation is not under any obligation, and expressly disclaims any intention or obligation, to update or revise any forwardlooking statements, whether as a result of new information, future events or otherwise.
SOURCE Annidis Corporation
For further information: Gerald Slemko, Chairman and Director, Annidis Corporation, (519) 858-1582 ext. 239, [email protected]; Babak Pedram, Investor Relations, Virtus Advisory Group Inc., 416-995-8651, [email protected]