Ecopia BioSciences Inc.

Ecopia BioSciences Inc.

March 08, 2005 11:32 ET

Ecopia Closes a Bought Deal Private Placement to Raise $9.9 Million


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: ECOPIA BIOSCIENCES INC.

TSX SYMBOL: EIA

MARCH 8, 2005 - 11:32 ET

Ecopia Closes a Bought Deal Private Placement to Raise
$9.9 Million

MONTREAL, QUEBEC--(CCNMatthews - March 8, 2005) - 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.

Ecopia BioSciences Inc. (TSX:EIA) is pleased to announce that it has
successfully completed a $9.9 million financing transaction with a
syndicate of underwriters led by Desjardins Securities Inc. and
including First Associates Investments Inc. and Orion Securities Inc.
The financing covers the issue of 11,000,000 Units and their sale, on a
private placement basis, to accredited and other investors at a price of
$0.90 per Unit. The amount of Units includes the exercise of an option
granted to the underwriters for the sale of 1,000,000 additional Units.

Each Unit consists of one common share and one-third of one common share
purchase warrant. Each full common share purchase warrant will allow the
holder thereof to purchase one common share of the Company at any time
up to the second anniversary following the closing, at an exercise price
of $1.03.

The net proceeds of this private placement will be used by Ecopia for
working capital, product development and general corporate purposes.

THE SECURITIES OFFERED 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 ABSENT REGISTRATION OR AN APPLICABLE EXEMPTION FROM
THE REGISTRATION REQUIREMENTS. THIS PRESS RELEASE SHALL NOT CONSTITUTE
AN OFFER TO SELL OR THE SOLICITATION OF AN OFFER TO BUY THE SECURITIES,
NOR SHALL THERE BE ANY SALE OF THE SECURITIES IN ANY STATE IN WHICH SUCH
OFFER, SOLICITATION OR SALE WOULD BE UNLAWFUL.

About Ecopia

Ecopia is advancing its most promising compound ECO-4601, a potential
new drug to treat brain cancer, through preclinical trials and expects
to file an IND application in 2005. Using its innovative DECIPHER®
technology, the Company employs a radically different approach to
discover new drugs, with anticancer, antibacterial or antifungal
activity, from bacteria called actinomycetes. The most promising
anticancer discoveries are added to Ecopia's rapidly growing pipeline
for further development while other compounds will be leveraged to
generate revenue through licensing and partnerships. Ecopia's shares
are listed on the Toronto Stock Exchange (ticker symbol:EIA).

Additional information about the Company can be obtained from Ecopia's
website at www.ecopiabio.com.

This press release may contain forward-looking statements that reflect
the Company's current expectations regarding future events. The
forward-looking statements, including expectations as to the
pharmaceutical potential of compounds discovered by the Company's
platform, the timeframe for preclinical and clinical development of the
compounds into new medications, and expansion of the Company's product
pipeline involve risk and uncertainties. Actual events could differ
materially from those projected here and depend on a number of factors,
including scientific uncertainties relating to scientific hypotheses and
experimental approaches in regard to the drug discovery platform,
uncertainties related to the regulatory process for drug development and
the success and timely completion of clinical studies and trials, and
the impact of general economic conditions. Investors are cautioned
against placing undue reliance on forward-looking statements. A more
complete discussion of the risks and uncertainties facing the Company
appears in Ecopia's 2004 Annual Report.

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