Cryopak Industries Inc.
TSX VENTURE : CYK

Cryopak Industries Inc.

November 18, 2005 09:00 ET

Cryopak Announces Increase in Proposed Private Placement

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 18, 2005) - Cryopak Industries Inc. (TSX VENTURE:CYK) today announced that it has received $500,000 in additional commitments with respect to a non-brokered private placement previously announced by the Company on October 19, 2005. This brings the total amount to be raised up to C$1,000,00,000, subject to regulatory approval. Under the terms of the proposed private placement, the Company plans to issue units at a price of C$0.20 per Unit. Each Unit will be comprised of one Common Share and one half of a Common Share Purchase Warrant, each Warrant entitling the holder to acquire one additional Common Share at a price of C$0.22 per share for a period of 24 months from the date of closing. It is anticipated that the Common Shares and Warrants will be subject to a four-month hold period. The Company anticipates completion of this private placement by the end of November 2005. The net proceeds from the private placement are expected to be used for general working capital purposes. A finder's fee of up to 5% will be payable in connection with the private placement.

Discovery Capital Corporation (or funds managed by it), Esarbee Investments Ltd., and Mr. Martin Carsky, President and CEO of the Company, each of which are insiders of the Company, intend to participate in the private placement. The Company also understands that a portion of the private placement may be facilitated through a "gypsy swap" with one or more of the current shareholders of the Company.

About Cryopak

With ISO 9001:2000 certified facilities in Vancouver and Montreal, we are a leading provider of temperature-controlling products and solutions serving global pharmaceutical companies, as well as fine North American retailers and consumer goods companies. In our pharmaceutical business we engineer solutions and supply products that help our customers safely transport their temperature sensitive vaccines. In our retail business, we develop, manufacture and sell reusable ice substitutes, flexible hot and cold compresses, reusable gel ice and instant hot and cold packs. These products are marketed under such popular brand names as Ice-Pak™, Flexible Ice™ Blanket, Simply Cozy®, and Flex Pak™. We also manufacture these same products under private label for many well-known consumer goods companies. Our shares are listed on the TSX Venture Exchange under the symbol CYK. For more information about Cryopak, please visit our website address at: www.cryopak.com.

Contact Information

  • Cryopak Industries Inc.
    Martin Carsky
    President and CEO
    1-800-667-2532
    www.cryopak.com