https://at.marketwire.com/accesstracking/AccessTrackingLogServlet?docid=0870098001&sourceType=1https://www.ccnmatthews.com/logos/20100204-be200.jpg TORONTO, ONTARIO -- (Marketwired) -- 04/30/13 -- BioExx Specialty Proteins Ltd. ("BioExx" or the "Company") (TSX:BXI), today announced that it has signed a Letter of Intent with its proposed rapeseed (canola) processing partner ("Business Partner") with regards to the formation of a joint venture for the commercial scale deployment of the Company's canola protein production technology. Both companies remain committed to the completion of the transaction.
Following further discussions surrounding the terms of the proposed joint venture, the previous Financial Partner candidate was unable to commit to mutually acceptable terms and discussions have been terminated for the time being. BioExx and the Business Partner will continue to work together to identify and secure an appropriate financial partner for the proposed project.
Within the current joint venture discussions, BioExx would provide its proprietary protein technology and expertise and the Business Partner would contribute its proprietary oil processing technology and expertise. The Letter of Intent commits the two companies to find an alternate financial partner to supply equity capital for the construction and commissioning of the new facility. The Company will provide further updates on the progress of the proposed joint venture as additional details become available.
Independent of the proposed joint venture, BioExx has also been approached by an integrated and diversified global agri-business company for a potential strategic corporate relationship based on BioExx's proprietary food-grade protein technology. These discussions are in preliminary stages but are moving forward positively and are oriented towards a long-term relationship with global scope.
"The compatibility of our food-grade protein technology with our Business Partner's specialty edible oil technology remains intact. Both parties remain committed to a joint venture that combines these complementary technologies to extract full value from the growing opportunity that exists for high value protein and speciality oil," said Chris Schnarr, CEO of BioExx. "However, we must also ensure that a single project opportunity does not compromise our most valuable asset, which is our intellectual property, in order to preserve this in the interest of the current and much larger strategic opportunity."
The previously announced sale of various physical assets of the Company's wholly-owned subsidiary, BioExx Proteins of Saskatoon Inc., is progressing well, with several interested buyers. The Company is confident it will be able to maximize the value of the assets to address its financial obligations and provide additional working capital. BioExx and its secured lender are committed to co-operation on the timing and application of proceeds from the eventual sale of the various physical assets.