Ambrilia Biopharma Inc.

Ambrilia Biopharma Inc.

October 22, 2007 11:06 ET

Ambrilia Files Final Prospectus for $15.6 Million Offering

MONTREAL, QUEBEC--(Marketwire - Oct. 22, 2007) - Not for distribution to U.S. newswire services or for U.S. dissemination


Ambrilia Biopharma Inc. (TSX:AMB) announce today that it is filing a final short form prospectus with securities regulatory authorities in British Columbia, Alberta, Manitoba, Ontario and Quebec in connection with its previously announced offering. This prospectus qualifies the distribution of 12,450,000 units of Ambrilia at a price of $1.25 per unit, for gross proceeds of $15.6 million. The offering is being underwritten by a syndicate of underwriters led by Canaccord Capital Corporation and which includes Dundee Securities Corporation and Loewen, Ondaatje, McCutcheon Limited. The issue price was determined by negotiation between the Company and the syndicate.

Each unit consists of one common share of the Company and one-half of one warrant. Each whole warrant will entitle its holder, upon payment of an exercise price of $1.35 to acquire one common share within the 36-month period following the closing date of the offering. The common shares and warrants comprising the unit will separate immediately following their issue. The Company expects that the closing of the offering will occur on or about October 30, 2007, and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the Toronto Stock Exchange.

Ambrilia has granted the underwriters an over-allotment option to purchase up to an additional 1,867,500 units for a 30-day period following the closing of the offering, at the same price as set forth above for additional gross proceeds of $2.3 million.

Ambrilia intends to use the net proceeds of the offering towards the ongoing Phase 3 clinical trials of its improved formulation of Octreotide, the development of its new formulation of Goserelin and the further lead optimization of its novel series of HIV integrase inhibitors. The Company will also use net proceeds of the offering for its other anti-viral development activities and for working capital and general corporate purposes.

This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the U.S. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended ("the U.S. Securities Act"), or any state securities laws and may not be offered, sold or delivered within the United States except in transactions exempt from the registration requirements of the U.S. Securities Act and applicable state securities laws.

Ambrilia's forward-looking statements

This press release contains forward-looking statements that reflect the Company's current expectation regarding future events. These forward-looking statements involve risks and uncertainties. Actual events could differ materially from those projected herein and depend on a number of factors including, but not limited to, changing market conditions, successful and timely completion of clinical studies, uncertainties related to the regulatory approval process, establishment of corporate alliances and other risks detailed from time to time in the Company's filings. We refer you to the Risk Factors section of the Company's Management's Discussion & Analysis of Financial Condition and Results of Operations which contain a more exhaustive analysis of the risks and uncertainties that are generally connected to the business of the Company. Such statements are also based on various assumptions, including the successful and timely completion of clinical studies on Ambrilia's products demonstrating efficacy and safety for human use, their successful commercialization within the forecasted timelines and the attainment of the forecasted milestone payments and other revenues. While Ambrilia anticipates that subsequent events and developments may cause Ambrilia's views to change, Ambrilia specifically disclaims any obligation to update these forward looking statements, unless obligated to do so by applicable securities laws.


Ambrilia Biopharma Inc. (TSX:AMB) is a biopharmaceutical company dedicated to the discovery and development of novel treatments for viral diseases and cancer. Ambrilia's product portfolio includes an HIV protease inhibitor program (with lead compound PPL-100), an HIV integrase inhibitor program, two new formulations of existing peptides (Octreotide and Goserelin), other tumor targeted peptides such as PCK3145 and the Tumor and tumor Vasculature Targeting (TVT) technology platform, as well as other anti-viral programs. Exclusive worldwide rights to PPL-100 and its related compounds have been granted to Merck & Co., Inc. in return for milestone payments and royalties. Ambrilia's head office, research and development and manufacturing facilities are located in Montreal with a regional office in France. For more information, please visit the Company's web site:

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