Ms. Erinn B. Broshko reports
MED BIOGENE RECEIVES OFFER FROM SIGNAL GENETICS AND RESPIRA HEALTH TO COMMERCIALIZE LUNGEXPRESS DX
Med BioGene Inc. has received from Signal Genetics LLC and its subsidiary Respira Health LLC an offer to enter into a commercialization, licence and research reimbursement agreement that would provide Respira with exclusive global rights to develop and commercialize MBI's lead test, LungExpress Dx.
On Feb. 14, 2011, MBI announced in Stockwatch that it became aware of the filing of a lawsuit by Signal and Respira against MBI in the Supreme Court of the State of New York. MBI further announced that it believes the lawsuit to be frivolous, vexatious and entirely without merit, and intends to defend it vigorously. On Feb. 25, 2011, MBI became aware of the filing by Signal and Respira of an amendment to the lawsuit to include additional claims against the company and claims against Precision Therapeutics Inc.
On March 1, 2011, MBI announced that it had entered into a commercialization, licence and research reimbursement agreement with Precision that would provide Precision with exclusive global rights to develop and commercialize LungExpress Dx.
Closing of the agreement with Precision is subject to, among other things, the approval of MBI's shareholders. A general and special meeting of MBI's shareholders will be held on Tuesday, April 12, 2011, at 10 a.m. (Pacific Time) at the Terminal City Club, 837 West Hastings St., Vancouver, B.C., where the shareholders will be asked to, among other things, approve the agreement with Precision. A copy of the notice of meeting, information circular and form of proxy has been mailed to shareholders and is available on-line on SEDAR.
The board of directors of MBI is considering, in light of its obligations under its agreement with Precision, the offer from Signal and Respira, and will announce its decision as to acceptance or rejection of such offer once a determination has been made.