SOURCE: Oncologix Tech, Inc.

October 13, 2008 10:34 ET

Oncologix Announces License Modifications

GRAND RAPIDS, MI--(Marketwire - October 13, 2008) - Oncologix Tech Inc. (OTCBB: OCLG) announced today that it has entered into an agreement with the University of Maryland pursuant to which the Master License Agreement between the parties was modified so as to extend until January 5, 2009, the accomplishment of the "milestone" consisting of the filing of an Investigational Device Exemption for a Licensed Product to the FDA or any foreign equivalent of the Company commences a Clinical Trial of a Licensed Product. The previous due date for these milestone was September 16, 2008. The extension is subject to each of the following conditions: (1) that on before November 30, 2008 the University shall have received from IUT (the proposed purchaser of our Oncosphere assets) a Research and Development and Business Plan, reasonably acceptable to the University, for the commercialization of the Oncosphere technology; (2) that on or before January 5, 2009, the proposed Asset Sale to IUT shall have been approved by the shareholders of the Registrant and the sale has been consummated; (3) that IUT (or its subsidiary) and the University shall have entered into a new mutually acceptable Master License Agreement with respect to the Oncosphere technology; (4) the Registrant shall have amended its Articles Of Incorporation to increase its authorized capital stock as proposed in a certain Proxy Statement that has been filed with the Securities and Exchange Commission but not yet become effective; and (5) that 2,000,000 shares of the Registrant's common stock shall be issued and sold to the University in consideration of the extension agreement.

In announcing this agreement, Ms. Judy Lindstrom, the Oncologix Chief Executive Officer, expressed her "great pleasure in this additional step toward completing the sale of the Oncosphere technology to IUT Medical" and added that, "We are confident that the remaining steps, including approval by our shareholders, will soon be accomplished."

About Oncologix Tech Inc. and its subsidiary, Oncologix Corporation.:

Oncologix Tech Inc., (formerly BestNet Communications Corp.) was formerly a provider of long distance telephone communication services but disposed of that business in January 2007.

The Company was developing a brachytherapy (radiation therapy) device, the Oncosphere System, for the advanced medical treatment of soft tissue cancers until it suspended operations at the end of December 2007 because of financial difficulties. It is based on a radioactive microparticles designed to deliver therapeutic radiation directly to a tumor site by introducing the microparticles into the artery that feeds the tumor tissue.

This release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the "safe harbor" created thereby. These statements include the plans and objectives of management for future operations, including plans and objectives. The forward-looking statements herein are based on current expectations that involve judgments with respect to, among other things, future economic, competitive and market conditions and future business decisions, all of which are difficult or impossible to predict accurately and many of which are beyond control of the company. Although the company believes that the assumptions underlying the forward-looking statements are reasonable, any one of the assumptions could be inaccurate and, therefore, can be no assurance that the forward-looking statements included in this release will prove to be accurate.

About IUT

IUT was founded in Germany in 1992 by a group of scientists. It is located in the Berlin area and is concentrated on manufacturing special analytic devices and advanced technology developments, with a focus on environmental technology, and manufacturing of radioisotopes and radio labeled compounds. IUT maintains a website at http://www.iut-berlin.info/8.0.html?&L=1.

Contact Information

  • Contacts:
    Michael Kramarz
    Chief Financial Officer
    Tel: (616) 977-9933