MONTREAL, July 12 /CNW/ - Pharmagesic (Holdings) Inc. ("Pharmagesic") announced today that by letter delivered after business hours on July 9, 2010, it informed the board of directors of WEX Pharmaceuticals Inc. ("WEX") (TSX: "WXI") of a proposal to proceed with an offer to purchase all of the outstanding restricted voting shares of WEX ("Restricted Voting Shares") which are not already owned by Pharmagesic at an offer price of CDN $0.13 cash per Restricted Voting Share (the "Offer").
Pharmagesic currently owns 392,421,034 Restricted Voting Shares which represent approximately 88.7% of the issued and outstanding Restricted Voting Shares.
Pharmagesic's preparedness to proceed with the Offer is subject to the outcome of an independent valuation of the Restricted Voting Shares required under applicable securities laws which would be overseen by an independent committee of the board of directors of WEX. If the valuation indicates a value or range of values exceeding the price which Pharmagesic considers to be fair then it may determine not to proceed with the Offer. The Offer, if made, will be subject to routine take-over bid conditions. If Pharmagesic determines to proceed with the Offer, full details will be provided in a formal offer and take-over bid circular which would be provided to WEX shareholders. Subject to the outcome of the valuation, Pharmagesic proposes to acquire all of the Restricted Voting Shares not already owned by it pursuant to the Offer and a subsequent business combination if necessary. If the Offer is fully taken up, the consideration will amount to approximately CDN$6.5 million.
Pharmagesic is an indirect wholly owned subsidiary of CK Life Sciences Int'l., (Holdings) Inc. which under applicable securities legislation is deemed to be the indirect beneficial owner of Pharmagesic's Restricted Voting Shares.
About Pharmagesic (Holdings) Inc.
Pharmagesic (Holdings) Inc. is an indirect wholly owned subsidiary of CK Life Sciences Int'l., (Holdings) Inc. ("CKLS"). CKLS is a company listed on The Stock Exchange of Hong Kong Limited (stock code: 0775). Bearing the mission of improving the quality of life, CKLS is engaged in the business of research and development, manufacturing, commercialization, marketing and selling of environmental and human health products, and water business as well as investment in various financial and investment products. Products developed by CKLS are categorized into the areas of human health and environmental sustainability. CKLS is a member of the Cheung Kong Group. For additional information, please visit www.ck-lifesciences.com.
SOURCE PHARMAGESIC (HOLDINGS) INC.
For further information: For further information: CK Life Sciences Int'l., (Holdings) Inc., Mrs Wendy Tong Barnes, Chief Corporate Affairs Officer, 852 2122 2062, 2 Dai Fu Street, Tai Po Industrial Estate, Tai Po, Hong Kong