Business
Resverlogix Closes $1.6 million Private Placement
/THIS PRESS RELEASE IS NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH US NEWSWIR...
About this update from Resverlogix Corp.
[{"type":"text","content":"\n\n\n/THIS PRESS RELEASE IS NOT FOR DISSEMINATION IN THE UNITED STATES OR\n THROUGH US NEWSWIRE SERVICES./\n\n\nTSX Exchange Symbol: RVX\n\n\nCALGARY, Aug. 14, 2013 /CNW/ - Resverlogix Corp. (\"Resverlogix\" or the\n \"Company\") (TSX:RVX) today announced that it has closed its previously\n announced private placement of 1,765,307 units (the \"Units\") at a price\n of CAD$0.90 per Unit for gross proceeds of CAD$1,588,776 (the \"Private\n Placement\") to Eastern Capital Limited (\"Eastern\"). Each Unit was\n comprised of one common share of Resverlogix and 0.3 of a common share\n purchase warrant. Each full warrant is exercisable at a price of\n CAD$0.90 for a period of five years. The shares are subject to a four\n month hold period.\n\n\nAfter giving effect to the Private Placement, Eastern holds 14,965,307\n common shares of Resverlogix, representing approximately 19.4% of\n Resverlogix's issued and outstanding common shares. Eastern also holds\n 2,578,232 common share purchase warrants of Resverlogix.\n\n\nThe Private Placement was a related party transaction within the meaning\n of applicable Canadian securities laws as Eastern is an insider of the\n Company. The transaction was exempt from the formal valuation and\n minority approval requirements applicable to related party transactions\n on the basis that the value of the transaction was less than 25 percent\n of the Company's market capitalization. The Company did not file a\n material change report more than 21 days prior to closing as\n contemplated by the related party transaction requirements as the\n insider participation was only recently confirmed.\n\n\nResverlogix intends to use the net proceeds from the offering to fund\n research and development activities, general and administrative\n expenses, increased working capital and for other general corporate\n purposes.\n\n\nThe securities to be issued under the offering have not been, and will\n not be, registered under the United States Securities Act of 1933, as\n amended (the \"U.S. Securities Act\"), or any state securities laws, and\n accordingly, may not be offered or sold within the United States except\n in compliance with the registration requirements of the U.S. Securities\n Act and applicable state securities requirements or pursuant to\n exemptions therefrom. This press release does not constitute an off...