Novadx Ventures Corp.
TSX VENTURE : NDX

Novadx Ventures Corp.

November 07, 2007 12:43 ET

NovaDX Completes CSCRF LP Offering to Reach $26 Million in Flow-Through Funds Under Administration in 2007

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 7, 2007) - NovaDX Ventures Corp., President & CEO, Neil MacDonald, reports:

NovaDX Ventures Corp ("NovaDX") (TSX VENTURE:NDX) is pleased to announce the final closing of the Canadian Small Cap Resource Fund 2007 No. 2 Flow-Through Limited Partnership (the "Partnership") Offering on November 7, 2007.

The Partnership issued and sold 500,000 units at a price of $10.00 per unit, raising gross proceeds of $5,000,000, the maximum amount of the offering. Canadian Small Cap Resource Fund 2007 No. 2 Management Ltd., the general partner to the Partnership, is a wholly owned subsidiary of NovaDX Ventures Corp.

The CSCRF 2007 No. 2 offering was made on a best efforts agency basis by a syndicate led by Blackmont Capital Inc. that includes Raymond James Ltd., TD Securities Inc., Berkshire Securities Inc., Canaccord Capital Corporation, IPC Securities Corporation, Jory Capital Inc., GMP Securities L.P., and Research Capital Corporation.

"We're very pleased with the strong reception we received from our syndicate and selling group members who helped us reach the $5 million maximum in this offering," said Neil MacDonald, NovaDX's CEO.

"This is a strong endorsement of our investment strategy and further highlights the success the CSCRF group has enjoyed in the flow-through sector since our inception in 2004," said MacDonald.

"Our two CSCRF flow-through LPs raised a combined $15.3 million in 2007 and we received a mandate to administer more than $11 million of investments in this sector from a private client this year as well. These combined amounts of more than $26 million further enhance our ability to support promising junior exploration companies in Canada through investment and by providing strategic advice."

This CSCRF 2007 No. 2 closing brings the aggregate amount of flow through funds raised by the CSCRF group to more than $37 million since inception of the CSCRF Funds in 2004.

The Partnership's objective is to provide its Limited Partners with a tax assisted investment in a diversified portfolio of flow-through shares of resource issuers engaged primarily in mineral or oil & gas exploration, with a view to earning income, maximizing the tax benefit of an investment in the units, preserving capital and achieving capital appreciation for the Limited Partners. It is expected that substantially all of the investment in the Units will be fully tax deductible, with 100% of the deduction available in 2007. An additional 15% Federal investment tax credit may also be available to investors on qualified Canadian Exploration Expenses.

Further information on the Partnership and a copy of the prospectus may be obtained from any member of the offering syndicate. Details on previous CSCRF offerings in 2004, 2005, 2006 and 2007 together with information on those portfolios may be obtained from the CSCRF website at www.cscrf.ca.

About NovaDX Ventures: NovaDX is a Vancouver-based investment firm whose primary focus is on providing merchant banking and other business advisory services to micro-cap natural resource issuers, a largely overlooked but important sector of the equity markets. NovaDX's business plan involves seeking out investment opportunities in companies that have quality management and projects that demonstrate an above average opportunity for new resource discoveries. NovaDX works closely with management of these companies with the objective of mitigating risk and enhancing the value of its investments. NovaDX intends to pursue opportunities in North America and abroad. NovaDX seeks a return on its investments supplemented with revenue from investment banking, investment management and advisory services. For more information please visit www.novadx.com.

ON BEHALF OF THE BOARD

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 these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the qualification under the securities laws of such jurisdiction.

A Final prospectus relating to Canadian Small Cap Resource Fund 2007 No. 2 Limited Partnership has been filed and receipted with the securities regulatory authorities in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario and Nova Scotia. This letter does not constitute an offer to sell or a solicitation of an offer to buy the securities. A copy of the Final prospectus relating to Canadian Small Cap Resource Fund 2007 No 2 Limited Partnership may be obtained from Blackmont Capital, Suite 900, 181 Bay Street, PO Box 779, Toronto, ON M5J 2T3.

Statements included in this announcement, including statements concerning our plans, intentions and expectations, which are not historical in nature are intended to be, and are hereby identified as, "forward-looking statements" for purposes of the safe harbor provided by Section 21E of the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by words including "anticipates", "believes", "intends", "estimates", "expects" and similar expressions. The company cautions readers that forward-looking statements, including without limitation those relating to the company's future operations and business prospects, are subject to certain risks and uncertainties that could cause actual results to differ materially from those indicated in the forward-looking statements.

The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.

Contact Information

  • NovaDx Ventures Corp.
    Neil MacDonald
    (604) 633-2776 or Toll Free: 1-888-350-8818
    or
    NovaDx Ventures Corp.
    Rick Peterson
    (604) 633-2776 or Toll Free: 1-888-350-8818
    or
    NovaDx Ventures Corp.
    Adam Ho
    (604) 633-2776 or Toll Free: 1-888-350-8818
    (604) 683-6564 (FAX)
    Email: info@novadx.com
    Website: www.novadx.com