VANCOUVER, May 5 /CNW/ - Med BioGene Inc. ("MBI") (TSX Venture: MBI) is
pleased to announce that on Friday, April 28, 2006, MBI completed its
acquisition of Dragon-Tex (Group) Limited ("DTX") (TSX Venture: DTX). As part
of the acquisition, the shareholders of DTX exchanged their common shares for
common shares of MBI on the basis of two common shares of DTX for one common
share of MBI.
Furthermore, concurrently with the closing of the acquisition, MBI
completed a brokered private placement for gross proceeds of approximately
$2 million. MBI is pleased to report that the private placement was
oversubscribed by 38%. Blackmont Capital Inc. was the agent for the private
placement.
As a result of the acquisition, MBI was listed on, and DT was de-listed
from, the TSX Venture Exchange. The common shares of MBI will begin trading on
the TSX Venture Exchange on Friday, May 5, 2006.
About Med BioGene
MBI is a biotechnology company with advanced research expertise in gene
expression technology. MBI's mission is to become a market leader in the
supply of content for molecular-based diagnostic micro arrays. MBI intends to
fulfill this mission by developing and marketing genetic content for molecular-
based human diagnostic tests. Molecular diagnostics, based on genetic
expression, is a developing technology field that has the potential to replace
certain of today's standard diagnostic tests. MBI intends to utilize its
expertise in gene expression, bioinformatics and micro arrays to develop the
diagnostic tests' genetic content. From the tens of thousands of genes in the
human genome, MBI is attempting to identify those genes, known as "bio
markers," which mark the presence of various disease conditions.
MBI's initial focus will be developing diagnostic tests for certain types
of cancer, specifically lymphoma and leukemia. In the future, MBI intends to
develop diagnostic tests to identify the earliest stages of heart disease or
the presence of an infectious disease. These diagnostic test kits will be
designed to provide additional information to physicians to allow them to
create more suitable and more effective treatments for an improved patient
prognosis.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this release.
Certain statements in this press release contain forward-looking
information under applicable Canadian securities legislation. Words such as
"anticipates," "believes," "estimates," "expects," "intends," "may," "plans,"
"projects," "will," "would" and similar expressions are intended to identify
forward-looking information, although not all forward-looking information
contains these identifying words. Forward looking information includes, but
are not limited to, those with respect to future profits, future product
revenues, future operations and plans, the use of proceeds from financings,
the timing of clinical trials and the completion date for clinical trials and
the prospects for negotiating partnerships or collaborations and their timing.
These forward-looking statements or information are only predictions based
upon MBI's current expectations, and actual events or results may differ
materially. MBI may not actually achieve the plans, intentions or expectations
disclosed in its forward-looking information. Forward-looking information is
subject to known and unknown risks and uncertainties and are based on
uncertain assumptions that could cause MBI's actual results and the timing of
events to differ materially from those anticipated in such forward-looking
information. You are cautioned not to place undue reliance on this forward-
looking information, which speaks only as of the date of this press release.
Our forward-looking information does not reflect the potential impact of any
future partnerships, collaborations, acquisitions, mergers, dispositions,
joint ventures or investments MBI may make. All forward-looking information is
qualified in its entirety by this cautionary statement and MBI undertakes no
obligation to revise or update any forward-looking information as a result of
new information, future events or otherwise after the date of this press
release, other than as required by applicable law.
