Business
Biomira Announces Plan to Reincorporate in the United States
Biomira Announces Plan to Reincorporate in the United States.
About this update from Skrr Exploration, Inc.
[{"type":"text","content":"\n\n\n\nCOMPANY TO HOST CONFERENCE CALL AT 10:00AM EDT\n\n\nEDMONTON, BELLEVUE, WASHINGTON, Sept. 12 /CNW/ - Biomira Inc. (Nasdaq:\nBIOM) (TSX: BRA) (the "Company") today announced that the Company's Board of\nDirectors has approved a proposal to change its jurisdiction of incorporation\nfrom the federal jurisdiction of Canada to the State of Delaware in the United\nStates of America through a plan of arrangement. Under the plan of\narrangement, which is subject to shareholder and court approval, Biomira will\nmigrate to the United States by creating a holding corporation based in the\nState of Delaware, Biomira Corporation, which will be the ultimate parent\ncorporation of a successor corporation of the current Biomira and its\nsubsidiaries. Biomira Corporation intends to establish its headquarters in or\nnear Seattle, Washington.\n\n\n"We believe that reincorporation in Delaware is the right strategic move\nto increase long-term shareholder value," said Robert L. Kirkman, M.D.,\nPresident and Chief Executive Officer of Biomira. "This move is intended to\nraise our profile in the U.S. financial markets, with the goals of increasing\nthe visibility of our exciting product pipeline among U.S. institutional\ninvestors and providing access to a larger pool of investment capital.\nAdditionally, we believe that relocating to a major biotechnology center such\nas Seattle will provide greater opportunity to attract and retain key\npersonnel."\n\n\nUpon the completion of the proposed arrangement, holders of common shares\nof Biomira Inc. will receive one-sixth of a share of common stock of Biomira\nCorporation in exchange for each common share of Biomira Inc., which will have\nthe effect of a 6 for 1 reverse stock split of Biomira Inc. common shares.\n\n\n"We believe that this effective reverse stock split should result in a\nhigher trading price for the shares of Biomira Corporation and ultimately\nresult in increased shareholder value," continued Dr. Kirkman. "A higher share\nprice may allow investment in Biomira Corporation by institutional investors\nwhose policies preclude investing in stock with lower share prices. Many\nbrokerage firms prohibit using lower priced stocks in margin accounts. A\nhigher price also is expected to benefit shareholders by reducing the risk of\na NASDAQ Global...