RE:Wonderful NewsHi Sanfran.
Wonderful news indeed. Explains why there was no Q & A at the Resverlogix webcast in February. It seems that the plays in the chess game were and are moving forward.
I haven't had time to study the release in detail, nor am I expert enough to fully understand the implications. However, the third paragraph has me curious. It seems to be an adjustment to the original spinoff relationship between Zenith and Resverlogix. In fact it seems to be starting to dis-entangle the arrangement between the 2 companies as per the original relationship. When I studied the original structure last spring I felt that the Zenith component was structured, IMHO, based on the assumption that RVX was going to start to generate cash flow in the near term, and, this cash flow would benefit Zenith.
To me, with limited involvement, this seemed like a very big assumption and the interconnections puzzled me.
So what I'm trying to say is that the dis-entanglement that I think has happened is very positive because better leverage for each entity. However,if anyone has studied this indetail and can provide insight I'd really appreciate some perspective.
The paragraph I'm referring to follows:
Resverlogix also announced that it entered into a Waiver Agreement with RVX Therapeutics Inc. ("RVX Therapeutics"), a wholly-owned subsidiary of Zenith Epigenetics Corp., whereby Resverlogix agreed to waive its right under a License Agreement dated June 3, 2013 to license any method or pharmaceutical agent within the scope of certain Licensee Patents owned or controlled by RVX Therapeutics that may be determined to come within the ApoA-I Therapeutic Field (as defined in the License Agreement), and RVX Therapeutics agreed not to develop any patents and/or compounds for any indication within the ApoA-I Therapeutic Field for a period of five years. RVX Therapeutics agreed to pay Resverlogix $2.5 million in cash and granted to Resverlogix a right of first refusal for a period of three years thereafter in respect of the license or sale of such patents and/or compounds that are determined to come within the ApoA-I Therapeutic Field. Entering into the Waiver Agreement generated cash for Resverlogix without impacting on its core assets.
Toinv