RE: Anybody wants to look outside?Is that deal done or did laurin once again mislead the market,
Why is the market reacting like that????
PROMETIC REACHES UNDERSTANDING FOR COMMERCIALIZATION OF SEVERAL BIOPHARMACEUTICAL PRODUCTS AND STRATEGIC INVESTMENT
ProMetic Life Sciences Inc. has reached an understanding with a fully integrated, biotechnology company based in the United States, with respect to the development and global commercialization of several biopharmaceutical products in ProMetic's protein technology division.
In addition to licensing, development and milestone fees, as well as continuing royalties on sales of products, the definitive agreements will provide for an initial strategic investment in ProMetic of $7-million at a share price of 47 cents. This transaction is anticipated to provide a significant financing commitment toward the development and commercialization of the products, which will contribute to ProMetic's revenue growth as early as 2008.
The definitive agreements will also provide for possible additional investments in ProMetic, which may be triggered by either the biotechnology company or ProMetic, upon fulfilment of certain predetermined conditions. Further, the definitive agreements will provide the biotechnology company to have a right to representation on ProMetic's board of directors.
Definitive agreements regarding the deal, which will be subject to customary closing conditions, including Toronto Stock Exchange approval, are intended to be negotiated and executed in the following weeks.
The company will file a short-form base shelf prospectus or "shelf registration" with Canadian securities regulators in part to facilitate the completion of this transaction.
We seek Safe Harbor.