MEDICAL VENTURES CORP. (TSX VENTURE:MEV) is pleased to announce that it has successfully completed a $7.74 million financing consisting of 38,709,110 units at $0.20 per unit. The financing was underwritten by a syndicate of Agents led by Cormark Securities Inc. (formerly Sprott Securities Inc.) and including Blackmont Capital Inc. Each unit consists of one common share and one-half of one transferable common share purchase warrant, where each whole warrant will entitle the holder to purchase an additional common share of the Company for a period of 18 months from the closing of the offering at a price of $0.25 per share. Paul Geyer, MEV’s president and CEO, purchased 5 million units under the offering, for gross proceeds of $1 million. Net proceeds of the offering will be used to fund the clinical trial for Gemini Angioplasty and Arterial Measurement Evaluation, to further the commercialization of the Metricath® System, and for general working capital purposes.
The agents were paid a cash commission equal to 7.0% of the gross proceeds of the private placement, except for certain exempt purchasers for which no commission was paid. In addition the Agents received that number of broker warrants equal to 5.0% of the aggregate number of units sold, other than to certain exempt purchasers. Each broker’s warrant is exercisable for one common share for a period of 18 months from the closing date at a price of $0.20 per common share.
The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.
About Medical Ventures Corp.:
Medical Ventures develops, manufactures and distributes medical devices. The Company is currently focused on the development and commercialization of medical devices that address clinical needs in the vascular and surgical marketplace. The Company’s strategy is to acquire and develop medical technologies that are within two years of commercialization and to increase the value of those technologies through the commercialization process.
Statements contained herein that are not based on historical or current fact, including without limitation statements containing the words “anticipates”, “believes”, “may”, “continues”, “estimates”, “expects”, and “will” and words of similar import, constitute “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. 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, the following: general economic and business conditions, both nationally and in the regions in which the Company operates; technology changes; competition; changes in business strategy or development plans; the ability to attract and retain qualified personnel; existing governmental regulations and changes in, or the failure to comply with, governmental regulations; liability and other claims asserted against the Company; and other factors referenced in the Company’s filings with Canadian securities regulators. Given these uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. The Company does not assume the obligation to update any forward-looking statements.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
CONTACT INFORMATION
Medical Ventures Corp. Caren Holtby Investor Relations Manager (604) 805-8772 Email: choltby@medical-ventures.com Website: www.medical-ventures.com
