VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 15, 2012) - Sirona Biochem Corp. (TSX VENTURE:SBM)(PINKSHEETS:SRBCF)(FRANKFURT:ZSB), a biotechnology company specializing in carbohydrate chemistry technology, announced today it is arranging loans in the total amount of up to CDN $1,000,000 (the "Loans") from several arm's length parties. The Loans will be used to pursue the advancement of the Company's proprietary technology.
The Loans will be due eighteen months from the date of advancement of the funds and interest will be paid on the outstanding amount of the Loans at a rate of 12% per annum. The Company will issue share purchase warrants (the "Warrants") equal to 40% of each loan at a deemed value of $0.05 per Warrant, subject to the approval of the TSX Venture Exchange. Each Warrant will entitle the holder thereof to purchase one common share of the Company for a period of 18 months from the date of issue at a price of $0.10 per common share. The Warrants and any shares obtained on exercise of the Warrants will be subject to hold periods expiring on the date that is four months and one day from the date of issuance of the Warrants.
The Company will pay finders' fees of 7.5% cash plus 5% broker warrants (the "Broker Warrants"). The Broker Warrants will be issued with a deemed value of $0.05 per Broker Warrant. Each Broker Warrant will entitle the holder thereof to purchase one common share of the Company for a period of 18 months from the date of issue at a price of $0.10 per common share. The Broker Warrants and any shares obtained on exercise will be subject to hold periods expiring four months and one day from the date of issuance.
About Sirona Biochem Corp.
Sirona Biochem is a biotechnology company developing diabetes therapeutics, cancer vaccine antigens, skin depigmenting and anti-aging agents for cosmetic use, and biological ingredients. The company utilizes a proprietary chemistry technique to improve pharmaceutical properties of carbohydrate-based molecules. For more information, visit www.sironabiochem.com.
Sirona Biochem cautions you that statements included in this press release that are not a description of historical facts may be forward-looking statements. Forward-looking statements are only predictions based upon current expectations and involve known and unknown risks and uncertainties. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of release of the relevant information, unless explicitly stated otherwise. Actual results, performance or achievement could differ materially from those expressed in, or implied by, Sirona Biochem's forward-looking statements due to the risks and uncertainties inherent in Sirona Biochem's business including, without limitation, statements about: the progress and timing of its clinical trials; difficulties or delays in development, testing, obtaining regulatory approval, producing and marketing its products; unexpected adverse side effects or inadequate therapeutic efficacy of its products that could delay or prevent product development or commercialization; the scope and validity of patent protection for its products; competition from other pharmaceutical or biotechnology companies; and its ability to obtain additional financing to support its operations. Sirona Biochem does not assume any obligation to update any forward-looking statements except as required by law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.