Calyx (TSXV: CYX) Provides Corporate Update and Cancels Private Placement Financing
VANCOUVER, BRITISH COLUMBIA--(Marketwired - April 9, 2014) - Calyx Bio-Ventures Inc. (TSX VENTURE:CYX) ("Calyx" or the "Company") announces that it has entered into an agreement with BDC Capital Inc. and Agrisoma Biosciences Inc. ("Agrisoma") pursuant to which Calyx has agreed to waive its pre-emptive right in order to allow a third party to finance Agrisoma. The proposed Agrisoma financing, if it were to proceed as proposed and without Calyx's participation will, upon closing, dilute Calyx's interest in Agrisoma from 49.96% to approximately 29%. Following an evaluation by an Independent Committee of Calyx's board of directors, it was determined that in Calyx's view, Agrisoma's business had not progressed as expected, and no options for financing Agrisoma could be found that would be satisfactory to shareholders of Calyx.
Additionally, intellectual property ("IP") which was exclusively licensed to Agrisoma by Calyx is no longer under exclusive license to Agrisoma. With the IP reverting to Calyx, Calyx is now able to license and utilize its IP in other agricultural sector opportunities that it is currently investigating. The unique and powerful features of this technology provide clear advantages for the development of plant-based products. Calyx is in discussions and pursuing a number of new business opportunities in the agriculture and agri-pharmaceutical sectors including the MMPR (Marijuana for Medical Purposes Regulations) and marijuana biotech where we can bring our depth of agriculture capacities.
Accordingly, the Calyx board has determined to cancel the dilutive non-brokered private placement for the issuance of up to 35 million units at a price of six cents per unit for cash proceeds of up to $2.1-million previously announced on March 31, 2014.
About Calyx
Calyx Bio-Ventures Inc. (TSX VENTURE:CYX) is an agricultural technology company which is developing early stage agriculture ventures. Calyx brings its depth of experience, capital and other capacity, including its proprietary intellectual property, to enhance plant yields. In addition to Calyx's shareholding in Agrisoma Biosciences Inc., a company which is producing a non-food energy feedstock crop for bioenergy, Calyx is pursuing agri-pharmaceutical opportunities in the MMPR (Marijuana for Medical Purposes Regulations) and the agri-tech space. The medical marijuana industry is in its infancy and is an emerging multibillion-dollar opportunity undergoing significant regulatory and legal reform which offers strong growth opportunities to early participants. For further information about Calyx, please visit www.calyxbio.com
