$20M BOUGHT DEAL FINANCINGhttps://www.newswire.ca/en/releases/archive/June2011/14/c5672.html
BIOEXX ANNOUNCES $20.0 MILLION BOUGHT DEAL FINANCING
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES
OR FOR DISSEMINATION IN THE UNITED STATES
TORONTO, June 14, 2011 /CNW/ - BioExx Specialty Proteins Ltd. (TSX: BXI) ("BioExx" or the "Company") announced today that it has entered into an agreement to sell to a syndicate of underwriters led by Canaccord Genuity Corp., on a bought deal basis, 20,000,000 units ("Units") at a price of $1.00 per Unit for gross proceeds to BioExx of $20.0 million (the "Offering"). Each Unit will consist of one common share of the Company and one half of one share purchase warrant, each whole warrant (the "Warrants") entitling the holder to acquire one additional common share of the Company at an exercise price of $1.50 for a period of 36 months, subject to early exercise upon notice by the Company to holders that the 20 day volume weighted average trading price of the Company's common shares on the TSX (or such other stock exchange that the Company's shares may then be listed on) is greater than $2.25. BioExx has also granted the underwriters an over-allotment option to purchase up to an additional 15% of the Offered Shares on the same terms and conditions, exercisable any time, in whole or in part, up to 30 days after the closing of the Offering, for additional gross proceeds of up to approximately $3.0 million.
The net proceeds of the Offering are intended to be used for further capital and operating expenditures at the Company's Saskatoon plant, for additional engineering and project development expenditures on its proposed North Dakota plant, and for working capital, research and development, and general corporate purposes.
The Offering is expected to close on or about June 30, 2011 and is subject to regulatory approval. The Units will be issued under a short form prospectus. The Units will not be 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.
About BioExx Specialty Proteins Ltd.
Headquartered in Toronto, Canada, BioExx is a leading technology and industrial processing company focused on the extraction of oil and high-value proteins from oilseeds for the global food, beverage, and nutrition markets. BioExx uses patented and patent-pending technology that utilizes significantly lower temperatures than conventional methods for extracting the final quantities of oil necessary to enable its simplified and patent-pending methods for separating proteins from oilseeds. BioExx believes that these processes cumulatively have the potential to make a valuable contribution to global food and protein supply while maintaining an environmentally sustainable footprint. BioExx operates a commercial scale extraction facility in Saskatoon, Saskatchewan, is in development stages on it second plant in Minot, North Dakota and has a mission to construct additional and larger processing facilities on a global basis.
To find out more about BioExx Specialty Proteins Ltd. (TSX: BXI), please visit www.bioexx.com
The statements made in this press release include forward-looking statements that involve a number of risks and uncertainties. These statements relate to future events or future performance and reflect management's current expectations and assumptions. A number of factors could cause actual events, performance or results to differ materially from the events, performance and results discussed in the forward-looking statements, such as the economy, generally, competition in its target markets, the demand for BioExx's products, the availability of funding, the efficacy of its technology, and the anticipated costs of BioExx's plant construction and operation. These forward-looking statements are made as of the date hereof and BioExx does not assume any obligation to update or revise them to reflect new events or circumstances. Actual events or results could differ materially from BioExx's expectations and projections