Inex Pharmaceuticals Corp.

Inex Pharmaceuticals Corp.

January 30, 2007 08:14 ET

Inex Pharmaceuticals Corporation Announces $13,950,000 Bought Deal

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jan. 30, 2007) -

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE U.S.

Inex Pharmaceuticals Corporation ("INEX")(TSX:IEX) announced today that it has entered into an agreement with a syndicate of underwriters led by Sprott Securities Inc. and including Dundee Securities Corporation and Loewen Ondaatje McCutcheon Limited pursuant to which the underwriters have agreed to purchase 9,000,000 common shares on a bought deal basis, at a price of $1.55 per common share for aggregate gross proceeds to INEX of $13,950,000. The underwriters have the option to purchase an additional 1,350,000 common shares at the issue price at any time prior to 30 days following the closing date for additional gross proceeds of $2,092,500.

INEX will file a preliminary short form prospectus for the purpose of qualifying the common shares for distribution to the public as soon as possible and the offering is scheduled to close on or about February 20, 2007. The offering is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the Toronto Stock Exchange and the securities regulatory authorities.

The proceeds of the offering will be used for general corporate purposes.

The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful.

About INEX

INEX is a Canadian biopharmaceutical company developing and commercializing proprietary drugs and drug delivery systems to improve the treatment of cancer and other diseases. Further information about INEX can be found at www.inexpharm.com.

Forward Looking Statements

There are forward-looking statements contained herein that are not based on historical fact, including without limitation statements containing the words "believes," "may," "plans," "will," "estimate," "continue," "anticipates," "intends," "expects," and similar expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, events or developments to be materially different from any future results, events or developments expressed or implied by such forward-looking statements. Such factors include, among others, INEX's stage of development, lack of product revenues, additional capital requirements, risks associated with the completion of clinical trials and obtaining regulatory approval to market INEX's products, the ability to protect its intellectual property and dependence on collaborative partners. These factors should be considered carefully and readers are cautioned not to place undue reliance on such forward-looking statements. The Company disclaims any obligation to update any such factors or to publicly announce the result of any revisions to any of the forward-looking statements contained herein to reflect future results, events or developments.

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