Resverlogix Corp.

Resverlogix Corp.

June 06, 2007 15:24 ET

Resverlogix to Close US $25M Bought Deal on June 7, 2007

CALGARY, ALBERTA--(Marketwire - June 6, 2007) -


Resverlogix Corp. ("Resverlogix") (TSX:RVX) is pleased to announce that it will close a bought deal private placement on June 7, 2007, in the aggregate US $25 million of senior secured convertible promissory notes due June 6, 2012 ("Notes") and accompanying warrants to purchase, in the aggregate, 529,350 common shares of Resverlogix ("Warrants"). The Notes are convertible into approximately 1.5 million Resverlogix common shares at a conversion price of CAD $17.50 per share, subject to certain adjustments, at any time at the option of the Note holders or, subject to certain trading price and volume milestones being achieved, by Resverlogix. If prior to maturity any Notes are converted by Note holders at a time when the specified trading price of the Resverlogix common shares are below the conversion price of $17.50 per share, then Resverlogix will pay interest on the Notes through to maturity. Interest on the Notes is payable semi-annually in arrears at a rate of 8% per annum, subject to upward adjustments based on decreases in the trading price of the common shares and subject to subsequent downward readjustments based on increases in the trading price of the common shares, but in no event shall the interest rate be less than 8%. The warrants have an exercise price of CAD $20.63 per share, subject to certain adjustments. Oppenheimer & Co. acted as placement agent for the offering.

The Notes, Warrants and the common shares underlying the Notes and Warrants will not be registered under the Securities Act of 1933, as amended, and may not be offered or sold in the United States unless registered under the Securities Act of 1933, as amended or unless an exemption from registration is available. Also, unless permitted under Canadian securities legislation, the holders of the Notes, Warrants and common shares underlying the Notes and Warrants will not be able to trade the Notes, Warrants and common shares underlying the Notes and Warrants until October 8, 2007. 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 Resverlogix Corp.

Resverlogix Corp. is a leading biotechnology company in the development of novel therapies for important global medical markets with significant unmet medical needs. The Company's primary focus is to conduct leading research, development and commercialization of novel therapeutics that enhance ApoA-I to address atherosclerosis, the main underlying cause of cardiovascular disease (CVD) and other vascular diseases such as Alzheimer's Disease (AD). The Company's secondary focus is TGF-Beta Shield™, a program that aims to address the unmet medical needs of burgeoning grievous diseases, such as cancer and fibrosis. Resverlogix Corp. trades on the Toronto Stock Exchange (TSX:RVX). For further information, please visit our web site at

This news release may contain certain forward-looking statements that reflect the current views and/or expectations of Resverlogix Corp. with respect to its performance, business and future events. Such statements are subject to a number of risks, uncertainties and assumptions. Actual results and events may vary significantly. The TSX Exchange does not accept responsibility for the adequacy or accuracy of this news release.

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