RE: SHARES OUTSTANDING
To solidify the partnership, upon the closing of the transaction, each company will become a significant shareholder of the other. Specifically, Knight will hold a 28.3% equity interest in Medison valued at $80 million [US$60 million] in exchange for approximately a 10% equity interest in Knight (10.33 million common shares of Knight to be held by Medison and its controlling shareholder). Up to an additional 660,000 Knight shares could be issued if Medison meets certain financial targets over the next two years.