Avivagen's Q3 2016 cash balance at $3.36-million
2016-09-12 16:14 ET - News Release
Mr. Cameron Groome reports
AVIVAGEN INC. REVIEWS THIRD QUARTER ACTIVITIES
Avivagen Inc. has reviewed its activities for the third quarter ended July 31, including a private placement, trial results, a national product registration, release of its financial results and an increase to its stock option pool.
On June 3, Avivagen announced the closing of a private placement of units raising gross proceeds of $3.6-million. Proceeds of the placement are being used for product development, commercialization expenditures and for general corporate purposes. On June 20, Avivagen provided results of four new trials of OxC-beta livestock in feeds -- for swine in the Philippines and Vietnam, and broiler poultry in the Philippines and Spain. With positive results from multiple trials in each of these important species, Avivagen reiterated its goal of getting OxC-beta widely used in the global livestock feed market of approximately one billion metric tons per year.
On July 27, Avivagen and UNAHCO Inc. announced registration by UNAHCO of OxC-beta as an imported livestock feed additive, authorizing its use in all species in the Philippines. The Philippines livestock feed market totals approximately 13 million metric tons, and supports swine and poultry production that are respectively equal to and greater than Canada's.
More recently, Avivagen has released financial results for the third quarter ending July 31, 2016 (available on SEDAR), and highlights its cash balance of $3,369,271. Its financial resources will support its efforts to commercialize OxC-beta, including registrations in new jurisdictions, further uses in swine and broiler poultry, and for use in new livestock species.
Avivagen also announces that its board of directors has approved an increase in the pool of options available for grant pursuant to its existing stock option plan. The increase takes the pool from 18,655,663 to 24,480,030 -- representing 9.5 per cent of the issued and outstanding common shares of the corporation as of the date hereof. The increase to the pool is subject to approval by the TSX Venture Exchange, and no new options have been granted at this time.
Avivagen is a life sciences company commercializing products to replace the antibiotics used in livestock feeds, initially concentrating on the two largest feed segments -- swine and broiler poultry. Avivagen is based in partnership facilities of the National Research Council of Canada in Ottawa, Ont., and Charlottetown, PEI.
We seek Safe Harbor.