Orbus Pharma Inc.

Orbus Pharma Inc.

March 24, 2006 17:31 ET

Orbus Pharma Inc. Announces Proposed Private Placement Financing

TORONTO, ONTARIO--(CCNMatthews - March 24, 2006) - Orbus Pharma Inc., (TSX:ORB) ("Orbus") today announced that it has arranged private placement financing anticipated to raise gross proceeds of approximately $5 million.

The private placement will consist of units at $0.40 per unit with each unit comprised of one common share and one common share purchase warrant. Each warrant will be exercisable for one common share at $0.60, subject to normal adjustments, for two years.

The net proceeds will be used by Orbus to continue development and commercialization activities related to targeted generic drugs and to provide working capital.

Completion of the financing, anticipated to occur before April 30, 2006, is subject to usual requirements, including acceptance by the Toronto Stock Exchange and any other required regulatory approvals and completion of documentation.

Forward looking statements - Certain statements in this disclosure are "forward-looking statements", which reflect management's expectations regarding Orbus' future growth, results of operations, performance and business prospects and opportunities. Such forward-looking statements reflect management's current beliefs and are based on information currently available to management. Many factors could cause results to differ materially from the results discussed in the forward-looking statements, including risks related to dependence on key suppliers, economic conditions, competition, regulatory change, foreign exchange rates and interest rates, among others. Although the forward-looking statements are based on what management believes to be reasonable assumptions, Orbus cannot assure investors that actual results will be consistent with these forward-looking statements.

Orbus Pharma Inc., listed on the Toronto Stock Exchange under the symbol ORB, pursues a strategy of generating revenue through the licensing of our generic drug developments, as well as the manufacturing and selling of pharmaceutical products.

Contact Information

  • Orbus Pharma Inc.
    Jeffrey W. Renwick
    President and Chief Executive Officer
    (905) 943-9444
    Orbus Pharma Inc.
    Denis C. Arsenault
    Vice President, Finance and Chief Financial Officer
    (905) 943-9444
    Website: www.orbus.ca