VANCOUVER, June 22, 2012 /CNW/ - Neuro Discovery II Limited Partnership (the "Neuro II") announces that on June 13, 2012 the shareholders of Allon Therapeutics Inc. (the "Issuer") approved the terms of the $10 million brokered private placement equity offering previously announced on May 2, 2012, and that the transaction was subsequently approved by the TSX on June 20, 2012.
In that private placement offering, Neuro II subscribed for 19,987,500 subscription receipts and 1,990,000 units. The receipt of shareholder and TSX approval gave Neuro II the right to convert the subscription receipts into units on a one-for-one basis priced at $0.25 each. Each unit consists of one common share and one half of one common share purchase warrant. Each warrant will entitle the holder to acquire one common share at a price of $0.40 for a period of 60 months from the closing date of the offering.
On June 21, 2012 the 19,987,500 subscription receipts acquired by Neuro II were converted into 19,987,500 common shares and 9,993,750 warrants. Neuro II now beneficially owns or has the right to acquire 50,966,250 common shares of the Issuer, representing approximately 32.4% of the Issuer's issued and outstanding common shares, assuming full exercise of the warrants. Prior to the conversion of the subscription receipts, Neuro II beneficially owned or had a right to acquire 20,985,000 common shares of the Issuer, representing approximately 17% of the Issuer's issued and outstanding common shares, assuming full exercise of the warrants.
Neuro II and Neuro Discovery Limited Partnership ("Neuro") are managed by their general partners, each of which is wholly-owned by NDI Capital Inc. ("NDI"). Neuro beneficially owns 11,490,952 common shares of the Issuer, and together with Neuro II, beneficially owns or has the right to acquire, and NDI controls, 62,457,202 common shares of the Issuer, representing approximately 39.6% of the Issuer's issued and outstanding common shares, assuming full exercise of the warrants.
The common shares of the Issuer are listed on the TSX and trade under the trading symbol "NPC". Neuro II acquired the securities for investment purposes. Depending on market conditions, Neuro II may in the future increase or decrease its investment in the Issuer.
An Early Warning Report respecting this acquisition will be filed on the System for Electronic Document Analysis and Review ("SEDAR") under the Issuer's profile and can be viewed at www.sedar.com.
NEURO DISCOVERY II LIMITED PARTNERSHIP
by its general partner NDI Partnership Management II Ltd.
For further information:
Neuro Discovery II Limited Partnership
#506 - 1168 Hamilton Street
Vancouver, British Columbia V6B 2S2