CALGARY, Feb. 20, 2014 /CNW/ - Vivione Biosciences Inc. ("Vivione" or the "Company") (TSXV: VBI) is pleased to announce that it has successfully completed its previously announced non-brokered private placement offering of 864,000 units at a purchase price of $0.25 per unit for total proceeds of $216,000 (the "Offering"). Each unit consists of one class "A" common share in the capital of the Corporation ("Class A Common Shares") and one half of one non-transferable Class A Common Share purchase warrant (each whole warrant, a "Warrant"). Each Warrant entitles the holder to purchase one Class A Common Share at an exercise price of $0.35 at any time prior to 4:30 p.m. (Calgary time) on February 19, 2016, subject to accelerated expiry in certain circumstances.
Vivione issued these units to the Arkansas Venture Capital Investment Trust, further strengthening its partnership with the State of Arkansas. "After several years of working together as Vivione grew from an idea to a public entity, we are pleased to now make an equity investment in the company," stated Gene Eagle, President of the Arkansas Development Finance Authority and Trustee of the Arkansas Venture Capital Investment Trust. "Vivione is the type of business that we wish to stimulate in the State of Arkansas; their success clearly serves as a model for other bioscience and knowledge based companies to follow."
This most recent investment enables Vivione to acquire additional equipment in order to complete key food safety certifications. Moreover, it allows the Company to complete the regulatory approvals which are necessary to deliver RAPID B as a commercially viable solution for various food pathogens (i.e. E. coli O157, STEC's, Salmonella, Listeria) in 2014.
"We appreciate the great support Gene and his team have provided over the years, especially during our early development years and are pleased to now welcome them as the newest shareholders in the Company," stated Kevin Kuykendall, Vivione's CEO. "They have been a great partner and it is exciting to see their commitment and belief grow to the point of investing in the future of Vivione."
The Common Shares issued pursuant to the Offering are subject to a statutory hold period until June 20, 2014. The Offering is subject to the completion of formal documentation and receipt of regulatory approval, including the conditional approval of the TSX Venture Exchange Inc. Vivione intends to use the net proceeds from the Offering to finance the purchase of additional flow cytometer units for its AOAC certification program.
Vivione is a TSX Venture Exchange listed biosciences company focused on the commercialization of its proprietary RAPID-B system; an integrated system of hardware, software and chemical reagents that quickly and accurately identify, quantify and qualify bacteria and other pathogens in key food & water safety, clinical, industrial and oil & gas environments.
This news release contains "forward-looking statements" within the meaning of applicable securities laws. In particular, this release contains forward-looking information relating to the approval of the option grants, the completion and timing of the Offering and the use of proceeds of the Offering. Although Vivione believes that the expectations reflected in its forward-looking statements are reasonable, such statements have been based on factors and assumptions concerning future events that may prove to be inaccurate. These factors and assumptions are based upon currently available information to Vivione. Such statements are subject to known and unknown risks, uncertainties and other factors that could influence actual results or events and cause actual results or events to differ materially from those stated, anticipated or implied in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include the ability of management to raise adequate proceeds from the Offering and the failure to obtain final approval of the Offering from the TSX Venture Exchange. Additionally, this press release contains forward-looking information relating to the commercialization of RAPID-B and independent third party certification of RAPID-B. Readers are cautioned to not place undue reliance on forward-looking statements. The statements in this press release are made as of the date of this release and, except as required by applicable law, Vivione does not undertake any obligation to publicly update or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise. Vivione undertakes no obligation to comment on analyses, expectations or statements made by third-parties in respect of Vivione, or its financial or operating results or (as applicable), their securities.
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.
SOURCE: Vivione Biosciences Inc.
For further information:
Vivione Biosciences Inc.
Chief Executive Officer
Tel: (214) 886-5733