Gordon McCauley, President and CEO of Allon, said the financing proceeds will be used to generate results from the ongoing Phase II trial in Mild Cognitive Impairment after Coronary Artery Bypass Graft (MCI-CABG) surgery and the Phase II trial in an Alzheimer's related condition that is expected to begin before the end of 2006, as well as general corporate purposes.
"We will continue to create value by advancing these drugs that appear to halt or prevent serious degenerative diseases and injury to the central nervous system - in contrast to the therapies currently available that address only the symptoms," McCauley said.
All shares, warrants and any shares issued upon exercise of the warrants will be subject to a hold period of four months plus one day from the date of issuance. Closing of this financing is expected to occur on or about November 14, 2006 and is subject to a number of conditions including obtaining the approval of shareholders and the Toronto Stock Exchange. In accordance with paragraph 604(d) of the TSX Company Manual, shareholders' approval will be obtained through written consents which will be solicited from larger shareholders and therefore no meeting will be held in this regard.
This release shall not constitute an offer to sell or the solicitation of any offer to buy securities in any jurisdiction. The securities have not been registered under the United States Securities Act of 1933, as amended, and they may not be offered or sold in the United States absent registration or an applicable exemption from registration.
About Allon
Allon Therapeutics Inc. is a clinical-stage Canadian biotechnology company developing drugs that protect against neurodegenerative conditions such as Alzheimer's, cognitive impairment, stroke, traumatic brain injury, multiple sclerosis and neuropathy. The Company is listed on the Toronto Stock Exchange under the trading symbol "NPC" (Neuro Protection Company(TM)) and based in Vancouver.
Forward-Looking Statements
There are forward-looking statements contained herein that are not based on historical fact, including without limitation statements containing the words "believes", "may", "plans", "will", "estimate", "continue", "anticipates", "intends", "expects", and similar expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, events or developments to be materially different from any future results, events or developments expressed or implied by such forward-looking statements. Such factors include, among others, Allon's stage of development, lack of product revenues, additional capital requirements, risks associated with the completion of clinical trials and obtaining regulatory approval to market Allon's products, the ability to protect its intellectual property and dependence on collaborative partners. These factors should be considered carefully and readers are cautioned not to place undue reliance on such forward-looking statements. The Company disclaims any obligation to update any such factors or to publicly announce the result of any revisions to any of the forward-looking statements contained herein to reflect future results, events or developments.
Contact: Gordon C. McCauley Allon Therapeutics Inc. President & CEO (604) 736-0634 or Cell: (604) 218-4742 (604) 736-1616 (FAX) Email: gmccauley@allontherapeutics.com Website: www.allontherapeutics.com
Source: Allon Therapeutics Inc.
