EDITOR: | August 1st, 2014

ProMetic Secures $20 Million Follow-on Investment from Thomvest Seed Capital Inc.

| August 01, 2014 | No Comments

August 1, 2014 (Source: Marketwired) — ProMetic Life Sciences Inc. (TSX:PLI)(OTCQX:PFSCF) (“ProMetic” or the “Corporation”) announced today that it has secured a follow-on investment from Thomvest Seed Capital Inc. (“Thomvest”), the Toronto-based investment vehicle of Peter J. Thomson, consisting of a $20 million Loan. As partial consideration for the Loan, ProMetic has granted Thomvest 16,723,807 warrants with an exercise price of $1.87 per common share, a premium of 52% to yesterday’s closing share price.

ProMetic will use part of the proceeds for the development and manufacture of both additional and existing plasma-derived orphan drugs, the advancement of the ongoing PBI-4050 clinical program as well as the repayment of secured debt provided by certain shareholders.

“Thomvest has proven to be an excellent strategic partner for the development of our commercial platforms and product pipeline. Thomvest’s initial funding enabled the timely operational launch of our plasma purification facility”, said Mr. Pierre Laurin, President and Chief Executive Officer of ProMetic Life Sciences Inc. “This follow-on funding will allow us to accelerate the development and manufacturing of additional plasma-derived drugs as well as orphan indications for PBI-4050, targeting unmet medical needs in lucrative markets”.

“We are pleased to see ProMetic deliver on the key value drivers and operational milestones on which we based our first investment”, said Stefan Clulow, Managing Director at Thomvest. “We expect ProMetic to continue to drive value creation for its stakeholders as its proprietary innovations are brought closer to market. We look forward to participating in this next stage of ProMetic’s progression”.

“The favorable terms of this financing provide us with the necessary flexibility to aggressively pursue our growth objectives while we continue to build and diversify our stream of recurring revenues”, stated Mr. Bruce Pritchard, Chief Financial Officer of ProMetic Life Sciences Inc. “This transaction demonstrates, once again, that Thomvest’s interests are aligned with those of our shareholders”, added Mr. Pritchard.

The Loan is secured by ProMetic’s assets, excluding its patent portfolio. The redemption value of the Loan implies a compounded annual interest rate of 9%. No interest or principal is required to be repaid prior to the fifth anniversary of the Loan. As part of this transaction, ProMetic has granted Thomvest a warrant to purchase 16,723,807 common shares at an exercise price of $1.87 per common share price for a term of eight (8) years. The proceeds received by ProMetic from the exercise of all of the warrants would be sufficient to redeem the Loan in its entirety.

About Thomvest Seed Capital Inc.

Thomvest Seed Capital Inc. is an investment firm committed to the success of our entrepreneur partners. The capital we invest is our own, enabling us to be more creative, flexible and patient than most investors. It takes time to build great companies and we’re committed to supporting our entrepreneurs throughout their journey. That’s why more than two-thirds of the companies that we have funded in the last decade have either gone public, been acquired, or continue to grow as independent businesses. To learn more about Thomvest, please visit www.thomvest.com.

About ProMetic Life Sciences Inc.

ProMetic Life Sciences Inc. (www.prometic.com) is a long established biopharmaceutical company with globally recognized expertise in bioseparations, plasma-derived therapeutics and small-molecule drug development. ProMetic offers its state of the art technologies for large-scale purification of biologics, drug development, proteomics and the elimination of pathogens to a growing base of industry leaders and uses its own affinity technology that provides for highly efficient extraction and purification of therapeutic proteins from human plasma in order to develop best-in-class therapeutics and orphan drugs. ProMetic is also active in developing its own novel small-molecule therapeutic products targeting unmet medical needs in the field of fibrosis, cancer and autoimmune diseases/inflammation. A number of both the plasma-derived and small molecule products are under development for orphan drug indications. Headquartered in Laval (Canada), ProMetic has R&D facilities in the UK, the U.S. and Canada, manufacturing facilities in the UK and business development activities in the U.S., Europe and Asia.

Forward Looking Statements

This press release contains forward-looking statements about ProMetic’s objectives, strategies and businesses that involve risks and uncertainties. These statements are “forward -looking” because they are based on our current expectations about the markets we operate in and on various estimates and assumptions. Actual events or results may differ materially from those anticipated in these forward-looking statements if known or unknown risks affect our business, or if our estimates or assumptions turn out to be inaccurate. Such risks and assumptions include, but are not limited to, ProMetic’s ability to develop, manufacture, and successfully commercialize value-added pharmaceutical products, the availability of funds and resources to pursue R&D projects, the successful and timely completion of clinical studies, the ability of ProMetic to take advantage of business opportunities in the pharmaceutical industry, uncertainties related to the regulatory process and general changes in economic conditions. You will find a more detailed assessment of the risks that could cause actual events or results to materially differ from our current expectations in ProMetic’s Annual Information Form for the year ended December 31, 2013, under the heading “Risk and Uncertainties related to ProMetic’s business”. As a result, we cannot guarantee that any forward-looking statement will materialize. We assume no obligation to update any forward-looking statement even if new information becomes available, as a result of future events or for any other reason, unless required by applicable securities laws and regulations. All amounts are in Canadian dollars unless indicated otherwise.

Raj Shah


Raj Shah has professional experience working for over a half a dozen years at financial firms such as Merrill Lynch and First Allied Securities Inc., ... <Read more about Raj Shah>

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