VANCOUVER, May 18 /PRNewswire-FirstCall/ - Inex Pharmaceuticals Corporation announced that at today’s hearing in the British Columbia Court of Appeal the Court unanimously ruled in favour of INEX. The Court of Appeal hearing included INEX’s appeal of the Supreme Court of British Columbia’s ruling that provided the holders of INEX’s outstanding convertible promissory notes the right to vote on INEX’s Plan of Arrangement to spin out its Targeted Immunotherapy assets into a new company, Tekmira Pharmaceuticals Corporation (“Tekmira”).
The Court of Appeal also heard an appeal from Stark Trading and Shepherd Investments Ltd. (collectively “Stark”). Stark appealed the Supreme Court of British Columbia’s decision to dismiss a bankruptcy petition and the ruling that the spin-out of Tekmira can take place given the terms of the convertible debt.
The Appeal Court denied Stark’s appeals and granted INEX’s appeal. As a result, the Court dismissed the bankruptcy petition brought by Stark, confirmed that the spin-out of Tekmira can take place given the terms of the convertible debt and has denied the Noteholders’ ability to vote on the Plan of Arrangement.
Stark is the majority holder of certain promissory notes issued by Inex International Holdings, a subsidiary of INEX. The promissory notes are not due until April 2007 and can be repaid in cash or in shares, at INEX’s option, at maturity.
About INEX
INEX is a Canadian biopharmaceutical company developing and commercializing proprietary drugs and drug delivery systems to improve the treatment of cancer. Further information about INEX can be found at www.inexpharm.com
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, INEX’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 INEX’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 Information Investors Ian Mortimer Vice President, Finance and Chief Financial Officer Phone: 604-419-3200 Email: info@inexpharm.com Website: www.inexpharm.com Media Karen Cook Boas James Hoggan & Associates Inc. Phone: 604-739-7500 Email: kcook@hoggan.com
Inex Pharmaceuticals Corporation
CONTACT: Investors, Ian Mortimer, Vice President, Finance and ChiefFinancial Officer, Phone: (604) 419-3200, Email: info@inexpharm.com,Website: www.inexpharm.com; Media, Karen Cook Boas, James Hoggan &Associates Inc., Phone: (604) 739-7500, Email: kcook@hoggan.com
