MCUJ
Medicure Announces Birmingham Debt Settlement
WINNIPEG, MANITOBA, Jul 18, 2011 (MARKETWIRE via COMTEX) -- Medicure Inc. (the "Company") (TSX VENTURE:MPH.H) is pleased to announce that, following a comprehensive strategic review and formal process, as first announced in the press release of January 13, 2010, the Company has completed the following transactions:
-- settled the debt of USD$32,839,659 owing to Birmingham Associates Ltd.
("Birmingham") in exchange for the following consideration: (i)
approximately Cdn $5 million in cash (less certain costs not to exceed
$250,000); (ii) 32,640,043 common shares of the Company; and (iii) the
granting of a royalty in AGGRASTAT(R) sales (the "Birmingham Debt
Settlement");
-- borrowed Cdn $5 million pursuant to a loan from Manitoba Development
Corporation (the "MIOP Loan"), to assist the current and future
activities of the Company including the Birmingham Debt Settlement and
certain professional costs relating thereto, secured by the Company's
assets, and guaranteed by Dr. Albert Friesen, President, CEO, and Chair,
and entities controlled by Dr. Friesen; and
-- issued an aggregate of 20,000,000 common shares of the Company to Dr.
Friesen and ADF Family Holding Corp. in consideration for providing the
guarantee of the MIOP Loan and entered into a guarantee indemnity
agreement with Dr. Friesen (the "Friesen Guarantee Transaction" and,
together with the Birmingham Debt Settlement and the MIOP Loan, the
"Transactions").
AI
