MONTREAL, Aug. 25 /CNW/ - ConjuChem Biotechnologies Inc. ("ConjuChem")
(TSX:CJB) today announced the completion of the transaction providing $5
million in new, non-dilutive capital to the Company. The Superior Court of
Québec has approved the previously announced plan of arrangement (the
"Arrangement") under section 192 of the Canada Business Corporations Act (the
"CBCA") involving ConjuChem and Colabor Income Fund ("Colabor"), among others,
all as fully described in ConjuChem's management information circular dated
July 17, 2009.
"This non-dilutive transaction strengthens our balance sheet and provides
us with greater flexibility to execute our business plan," said Mark Perrin,
President and CEO. "Our primary focus remains progressing our partnership
discussions for our lead diabetes drug, PC-DAC(TM):Exendin-4 and our
preclinical compound, PC-DAC(TM):Insulin."
As part of the transaction, ConjuChem will carry on its business
operations as they existed immediately prior to the Arrangement in a new
entity, named "ConjuChem Biotechnologies Inc.", owned by the former
shareholders of ConjuChem, but with the additional cash received from Colabor.
The common shares of the new entity are listed on the Toronto Stock Exchange
under the same stock symbol "CJB" as of today.
About ConjuChem Biotechnologies Inc.
ConjuChem, a developer of next generation medicines from therapeutic
peptides, creates long-acting compounds based on its proprietary
bioconjugation platform technology. ConjuChem has two major development
programs: PC-DAC(TM):Exendin-4, a GLP-1 receptor agonist in Phase II clinical
development and PC-Insulin, a long-acting basal insulin in preclinical
Detailed descriptions of ConjuChem and its technologies can be viewed on
ConjuChem's website www.conjuchem.com.
This press release contains certain forward-looking statements,
including, without limitation, statements containing the words "believe",
"may", "plan", "will", "estimate", "continue", "anticipate", "intend",
"expect" and other similar expressions which constitute "forward-looking
information" within the meaning of applicable Canadian securities laws.
Forward-looking statements reflect ConjuChem's current expectation and
assumptions, and are subject to a number of risks and uncertainties that could
cause actual results to differ materially from those anticipated. These
forward-looking statements involve risks and uncertainties including, but not
limited to, the obtaining of court and other regulatory approvals and
consents, the satisfaction of closing conditions, adjustment provisions
relating to the proceeds of the transaction, changing market conditions, the
successful and timely completion of clinical studies, the establishment of
corporate alliances, the impact of competitive products and pricing, new
product development, uncertainties related to the regulatory approval process
and other risks detailed from time-to-time in ConjuChem's ongoing filings with
the Canadian securities regulatory authorities which filings can be found at
www.sedar.com. Given these risks and uncertainties, readers are cautioned not
to place undue reliance on such forward-looking statements. ConjuChem
undertakes no obligation to publicly update or revise any forward-looking
statements either as a result of new information, future events or otherwise,
except as required by applicable Canadian securities laws.
For further information:
For further information: Mark Perrin, President and CEO, ConjuChem
Biotechnologies Inc., (514) 844-5558 ext. 311, firstname.lastname@example.org; James
Smith, Investor Relations, (416) 815-0700 ext. 229, JSmith@equicomgroup.com