ViRexx Medical Corp.
TSX : VIR

ViRexx Medical Corp.

September 12, 2005 10:50 ET

ViRexx Completes $4 Million Private Placement

EDMONTON, ALBERTA--(CCNMatthews - Sept. 12, 2005) - ViRexx Medical Corp. (TSX:VIR) a company focused on immunotherapy treatments for cancer, chronic hepatitis B & C and embolotherapy treatments for tumors, today announced it has completed a brokered private placement of 4,035,665 units for gross proceeds of $4,035,665.

"This transaction strengthens the Company's financial position as we prepare to initiate a Phase I safety study of HepaVaxx B in healthy adults later this year, representing the fourth ongoing clinical trial from our pipeline of products," said Marc Canton, President and COO of ViRexx. "The HepaVaxx B trial will build on our ongoing clinical development program which includes the Phase I Occlusin™ 50 Injection and the two later stage OvaRex® MAb trials, both of which are funded by our licensing partner, United Therapeutics Corporation."

Each unit consists of one common share and one-half of one share purchase warrant. Each whole share purchase warrant entitles the holder to purchase one common share of ViRexx at a price of Cdn $1.20 for a period of 2 years. Montex Exploration Inc. acted as the broker for the private placement transaction. The net proceeds will be used for general working capital purposes.

About ViRexx Medical Corp.

ViRexx is an Edmonton, Alberta based biotechnology company focused on the development of novel therapeutic products for the treatment of cancer and chronic viral infections. ViRexx's most advanced programs include drug candidates for the treatment of ovarian cancer, chronic hepatitis B & C and solid tumors.

ViRexx's lead product, OvaRex® MAb, a therapy for the treatment of late-stage ovarian cancer, is currently the subject of a Phase III clinical trial being funded by ViRexx's licensing partner Unither Pharmaceuticals, Inc., a subsidiary of United Therapeutics Corporation. For additional information about ViRexx, please see www.virexx.com.

These securities have not been registered under the United States Securities Act of 1933, as amended, or the securities laws of any state, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons unless an applicable exemption from U.S. registration requirements is available.

This news release contains certain forward-looking statements that reflect the current views and/or expectations of the Company with respect to its performance, business and future events. Such statements are subject to a number of risks, uncertainties and assumptions. Actual results and events may vary significantly.

Contact Information

  • ViRexx Medical Corp.
    Rob Salmon
    Chief Financial Officer
    (780) 989-6708
    (780) 436-0068 (FAX)
    Email: rsalmon@virexx.com
    or
    The Equicom Group Inc.
    Ross Marshall
    Investor Relations
    (800) 385-5451 ext. 238
    Email: rmarshall@equicomgroup.com
    or
    Lippert/Heilshorn & Associates Inc.
    Kim Golodetz
    Investor Relations
    (212) 838-3777
    (212) 838 -4568 (FAX)
    Email: kgolodetz@lhai.com