Inflazyme Pharmaceuticals Ltd.
TSX : IZP

Inflazyme Pharmaceuticals Ltd.

January 24, 2007 09:34 ET

Inflazyme Pharmaceuticals Announces Private Placement

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jan. 24, 2007) -

This news release is intended for distribution in Canada only and is not intended for distribution to United States newswire services or dissemination in the United States.

Inflazyme Pharmaceuticals Ltd. (TSX:IZP) announced today that it has entered into a private placement agreement to issue 17.6 million units at $0.17 per unit for gross proceeds of $3 million (CDN). The Company expects the placement to close within three business days.

Each unit will comprise one common share of Inflazyme stock and one half of one share purchase warrant. Each whole warrant will have a 12 month term from the date of closing and an exercise price of $0.29 per share.

The private placement is a non-brokered deal and it is subject to TSX and any other regulatory approvals.

As reported previously, Inflazyme is currently on track to report on two sets of clinical results this quarter. The first is the results of the Phase IIb asthma study with IPL512,602 in moderate to severe asthma patients also known as the CAPSICS study. The Company announced completion of patient enrollment in the study on November 8, 2006. The second set of clinical results will be the Phase IIa proof of concept study with IPL455,903 in Age Associated Memory Impairment. This study is being conducted and paid for by Helicon Therapeutics of New York under a limited license agreement and they have advised Inflazyme that the results of this trial will be available this quarter.

"By undertaking this financing at this stage, the Board aims to ensure that Inflazyme will be in a position to fully consider the data from the Phase IIb CAPSCIS clinical study. Importantly, it will enable the Company to evaluate the options and opportunities available and take measured actions appropriate to maximizing shareholder value," said Dr. Kevin Mullane, President and CEO of Inflazyme Pharmaceuticals.

These securities have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States unless registered under the Act or unless an exemption from registration is available.

About Inflazyme

Inflazyme Pharmaceuticals is a biopharmaceutical company pioneering medical breakthroughs to transform the lives of patients with respiratory and inflammatory diseases worldwide. Further information on the Company may be obtained from its website at www.inflazyme.com.

This news release contains certain "forward-looking statements" and "forward-looking information" which may include but is not limited to statements in respect of our future financial position or operations. Words like "believe", "intend", "may", "expect", "anticipate", "plan", "should" and other similar expressions are forward-looking statements that involve a number of risks and uncertainties. By their nature, forward-looking statements involve numerous factors, assumptions and estimates, some but not all of the factors that could cause actual results to differ materially from those projected in our forward-looking statements include among others: risks associated with the completion of clinical trials and obtaining regulatory approval to market our products, market acceptance of our technologies and products; our ability to obtain financing; our financial and technical resources relative to those of our competitors; our ability to enforce our intellectual property rights and protect our proprietary technologies; the ability to obtain and develop partnership opportunities; and other risk factors identified from time to time in the Company's regulatory filings. For a further description of the principal risks affecting the Company, see our regulatory filings. 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.

Contact Information

  • Inflazyme Pharmaceuticals Ltd.
    Julie Rezler
    Sr. Director, Corporate Development
    1-800-315-3660 or (604) 279-8511
    (604) 279-8711 (FAX)
    Email: ir@inflazyme.com
    Website: www.inflazyme.com