January 13, 2015

Monday Deal Review - January 12, 2015

PricePerformancePostTitle

Welcome to your Monday Biotech Deal Review for January 12th, 2015!

 

*A day late, but here is the Monday Deal Review for January 12

Happy new year! This week’s post covers deal activity stretching over the holiday season, and therefore covers a lot of ground.  Keep reading for a review of Canadian biotech’s major deal news.

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PharmaCan Capital Corp. (formerly Searchtech Ventures Inc.) (the “Corporation”) (TSX VENTURE:MJN) announced that, subject to the completion of filings with the TSX Venture Exchange, (the “Exchange”), it has closed its qualifying transaction (the “Qualifying Transaction”) with Hortican Inc. dba PharmaCan Capital (“PharmaCan”), which was previously announced on July 17, 2014. The Qualifying Transaction involved a three-cornered amalgamation by way of plan of arrangement in which PharmaCan amalgamated with a new wholly owned subsidiary of the Corporation formed solely for the purpose of facilitating the transaction (the “Amalgamation”). Immediately prior to the completion of the Qualifying Transaction the Corporation changed its name to PharmaCan Capital Corp. and consolidated its shares on a one for seven (1:7) basis. Pursuant to the Amalgamation, the Corporation indirectly acquired all of the issued and outstanding shares of PharmaCan (the “PharmaCan Shares”) and issued post consolidation shares of the Corporation on the basis of approximately 2.1339 post-consolidation shares for each one PharmaCan Share (the “Conversion Ratio”). PharmaCan warrants, stock options, and convertible debentures are also exchangeable at the Conversion Ratio, and the exercise prices for such securities will be divided by the Conversion Ratio. The Corporation now has 34,893,257 post Consolidation common shares issued and outstanding following completion of the Qualifying Transaction. The Corporation intends to complete final post-closing filings with the Exchange this week and expects the post-consolidation shares of the Corporation will begin trading under the name “PharmaCan Capital Corp.” under the trading symbol “MJN” sometime next week, subject to the Exchange’s satisfaction of the required filings.

Cipher Pharmaceuticals Inc. (NASDAQ:CPHR; TSX:CPH) (“Cipher” or “the Company”) announced it has acquired the assets of Melanovus Oncology Inc. (“Melanovus”), a Hershey(Pennsylvania)-based life sciences company. The assets include seven pre-clinical compounds for the treatment of melanoma and other cancers. Founded in 2012, Melanovus acquired an exclusive global license to a library of compounds and related intellectual property from the Penn State Research Foundation. The compounds originate from work done by Dr. Gavin Robertson, professor of pharmacology, pathology, dermatology and surgery at Penn State University, and director of the Penn State Hershey Melanoma Center. The transaction includes an upfront payment to Melanovus of US$500,000, as well as the payment of certain IP expenses related to patent prosecution and maintenance.

KDC (The Knowlton Development Corporation), a leading contract manufacturer of health and beauty-care products headquartered in Knowlton, Québec, announces the acquisition of ChemAid Laboratories, an innovative formulator and manufacturer of skincare, hair care and bath and body products. ChemAid Laboratories employs a team of seasoned professionals with a vast experience in the formulation and manufacturing of high performance, efficient and high quality products at its manufacturing facility, located in Saddle Brook, New Jersey.

QHR Technologies Inc. (TSXV: QHR) (“QHR” or the “Company”) a leader in the Canadian Healthcare Information Technology sector, is announcing that effective at 12:01am January 1st, 2015, the Company’s subsidiary, QHR Technologies Inc. has amalgamated with its new wholly-owned subsidiary, Medeo Corporation and both companies will continue under the name of QHR Technologies Inc.

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Knight Therapeutics Inc. (TSX:GUD) (“Knight” or the “Company”) announced that it has completed its previously announced bought deal offering (the “Offering”) for gross proceeds of approximately $87.0 million of common shares of Knight (“Common Shares”). The Offering was completed through a syndicate of underwriters led by GMP Securities L.P. and including Cormark Securities Inc., National Bank Financial Inc., Laurentian Bank Securities Inc., Bloom Burton & Co. Limited, Clarus Securities Inc., Mackie Research Capital Corporation and TD Securities Inc. (the “Underwriters”), who have purchased, on a bought deal basis, an aggregate of 12,882,800 Common Shares at a price of $6.75 per Common Share. In addition, the Underwriters have the option, exercisable for a period of 30 days after the date hereof, to acquire up to an aggregate of 1,932,420 additional Common Shares ($13,043,835) at the offering price to cover over-allotments, if any and for market stabilization purposes (the “Over-Allotment Option”). If the Over-Allotment Option is exercised in full, the total gross proceeds of the Offering shall be $100,002,735.  The Common Shares were offered by way of a short form prospectus in all of the provinces of Canada, as well as in the United States under applicable registration statement exemptions.

ProMetic Life Sciences Inc. (TSX: PLI) (OTCQX:PFSCF), (“ProMetic” or the “Corporation”) announced that it has closed its previously announced bought deal public offering of common shares in the capital of the Corporation (the “Offering”) through a syndicate of underwriters led by Canaccord Genuity Corp., and which included Paradigm Capital Inc., RBC Capital Markets and Beacon Securities Limited (collectively, the “Underwriters”). ProMetic issued 13,200,000 common shares of the Corporation in connection with the Offering at a price of $1.90 per share for aggregate gross proceeds of $25,080,000. In consideration for the services rendered by the Underwriters under the Offering, the Underwriters received a cash commission of 5.5% of the gross proceeds of the Offering.

Clementia Pharmaceuticals, Inc. announced that it has secured an additional $10 million from current investors to support development of the company’s lead compound palovarotene for the treatment of fibrodysplasia ossificans progressive (FOP). Led by OrbiMed Advisors with participation by BDC Venture Capital, the new funds bring the total amount raised in the Series A financing to $32.5 million. Clementia also announced that it has established a wholly-owned subsidiary in the U.S. Headquartered in Newton, Massachusetts. Clementia Pharmaceuticals USA Inc. will manage the company’s operations in the U.S. and be responsible for developing palovarotene for this important market.

IMRIS Inc. (NASDAQ: IMRS; TSX: IM) (“IMRIS” or the “Company”) has closed a previously announced a private placement offering of 10,563,380 units at an offering price of US$0.284 per unit (the “Offering”). Each unit (the “Units”) consists of one common share of the Company (the “Common Shares”) and one and a quarter common share purchase warrants (the “Warrants”).  Each whole Warrant is exercisable into one Common Share during the period starting on the day that is four months from the date of issue and ending on the day that is five and a half years from the date of issue at an exercise price per common share of US$0.3692.  The gross proceeds to IMRIS are US$3.0 million. The current number of outstanding Common Shares, without giving effect to the Offering, is 52,030,996.

Revive Therapeutics Ltd. (TSX-V: RVV) (“Revive” or the “Company”) announced that it has completed its previously announced short form prospectus offering (the “Offering”) of units (“Units”) for aggregate gross proceeds of approximately $3,000,000. Pursuant to the Offering, the Company issued an aggregate of 4,996,500 Units at a price of C$0.60 per Unit for gross proceeds of $2,997,900. Each Unit is comprised of one common share of the Company (a “Common Share”) and one Common Share purchase warrant (a “Warrant”). Each Warrant is exercisable at a price of C$0.85 and entitles the holder thereof to acquire one Common Share for a period of two years following the closing of the Offering. The expiry date of the Warrants may be accelerated by the Company, at its option, if, at any time the volume-weighted average trading price of the Common Shares is greater than $1.20 for any 20 consecutive trading days, upon providing 30 days prior notice, such prior notice to be delivered within five business days immediately following such 20-day period.

Deerfield has agreed to waive the enforcement of the requirement under the Facility Agreement that the Company have cash and cash equivalents at the end of any calendar quarter greater than $7,500,000 for the period commencing October 1, 2014 and through and including June 30, 2015.

Response Biomedical Corp. (“Response” or “the Company”) (TSX:RBM)(OTCBB:RPBIF) announced the closing of the previously announced non-brokered private placement (the “Private Placement”) with two entities related to Hangzhou Joinstar Biomedical Technology Co. Ltd. (“Joinstar”) for 1,800,000 common shares of Response at a price of $1.21 per share for total gross proceeds of $2,178,000. The Company intends to use the net proceeds of the Private Placement to fund capital equipment purchases related to the previously announced Joinstar funded development program, research and development and operating expenses and for general working capital purposes. The Private Placement was made on a non-brokered private placement basis, exempt from prospectus and registration requirements of applicable securities laws. The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or any state securities laws, and accordingly, may not be offered or sold within the United States or to “U.S. Persons”, as such term is defined in Regulation S promulgated under the U.S Securities Act (“U.S. Persons”) except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities requirements or pursuant to exemptions therefrom.

Kane Biotech Inc. (TSX-V: KNE) (the “Company” or “Kane Biotech”), a biotechnology company engaged in the development of products that prevent and remove microbial biofilms, has closed its previously announced private placement offering (the “Offering”) with aggregate gross proceeds to the Company of $1,175,000 from the sale of 23,500,000 units (“Units”) at a price of $0.05 per Unit. Each Unit is comprised of one common share of the Company (a “Share”) and one Share purchase warrant (a “Warrant”). Each Warrant will expire 18 months from the date the Warrant is issued (the “Expiry Date”) and will entitle the holder to purchase one Share at a price of $0.06 up to the Expiry Date. The net proceeds of the Offering shall be used for research and development and working capital purposes. The Shares and Warrants will be restricted from transfer for a period of four months and a day from the date hereof in accordance with applicable securities laws and the policies of the TSX Venture Exchange. One finder assisted the Company by introducing potential subscribers for the Offering and was paid a finder’s fee of $8,000 and issued 160,000 compensation warrants. Each compensation warrant entitles the holder thereof to purchase one Share at a price of $0.05 for a period of 12 months from the date of issue.

Centara Corp. (“Centara”) also announced that it purchased an aggregate of 2,376,760 units (the “Units”) on a private placement basis (the “Offering”) from IMRIS Inc. (“IMRIS” or the “Company”) pursuant to the terms of a subscription agreement (the “Subscription Agreement”).  Each Unit was purchased at a price of $0.284 per Unit and consists of one common share of the Company (a “Common Share”) and one and a quarter Common Share purchase warrant (each whole warrant, a “Warrant”).  Each whole Warrant entitles the holder thereof to acquire one Common Share at a price of $03692 per share during the period starting on the day that is six months from the date of issue and ending on the day that is five and a half years from the date of issue.  In connection with the Offering, Centara purchased an aggregate of 2,376,760 Units, which are comprised of 2,376,760 Common Shares and 2,970,950 Warrants.  Upon exercise of the Warrants in full, Centara would acquire 2,970,950 Common Shares.

Ceapro Inc. (TSX-V: CZO) (“Ceapro” or the “Company”), a growth-stage biotechnology company, announced that it has signed an Offer Letter with Agriculture Financial Services Corporation (AFSC) for a commercial financing of up to $900,000. The five year term loan with an interest rate of 3.84% is subject to standard conditions which are expected to be met by the Company within the near-term.

VANC PHARMACEUTICALS INC. (the “Company” or “VANC”) (TSX VENTURE:NPH)(OTCQB:NUVPF), a pharmaceutical company focused on the Canadian generic drug and over-the-counter (“OTC”) markets, announced that on December 10, 2014 it closed the oversubscribed non brokered private placement of 7,607,332 Units (the “Units”) of VANC at a price of $0.15 per Unit for gross proceeds of $1,141,000.00. Each Unit each consists of one (1) common share (the “Common Share”) and one half (1/2) transferrable share purchase warrant. Each warrant entitles the holder thereof to purchase one (1) additional Common Share on or before December 10, 2015 at a price of CDN$0.25 per Common Share. In accordance with the policies of the TSX Venture Exchange, the Company paid a Finders’ Fee of an aggregate of $91,287.00 and issued an aggregate of 608,586 Warrants. The securities issued are subject to the statutory 4 month hold period that expires on April 11, 2015.

Critical Outcome Technologies Inc. (TSX VENTURE:COT) (OTCQB:COTQF) (“COTI” or the “Company”) the biopharmaceutical company that uses machine learning to rapidly develop targeted therapies, announced the closing of a non-brokered private placement of 970,000 units (the “Units”) at a price of CAD $0.255 per Unit for gross proceeds of $247,350. Each Unit consists of one Common Share and one Warrant of the Corporation. Each Warrant is exercisable for one Common Share of the Corporation at an exercise price of CAD $0.38 per share for a period of 60 months from the date of closing. In addition to cash costs, the Corporation also issued 20,000 Compensation Warrants exercisable to acquire one Common Share upon payment of CAD $0.29 for a period of 60 months from the date of closing. Both the Warrants and Compensation Warrants are subject to acceleration of the Expiration Date by the Corporation in certain circumstances.

Spectral Diagnostics Inc. (TSX: SDI) (OTCQX: DIAGF) (the “Corporation” or “Spectral”) a Phase III company developing the first theranostic treatment for patients with septic shock, announced that the Toronto Stock Exchange (“TSX”) has accepted Spectral’s notice of intention to proceed with a normal course issuer bid through the facilities of the TSX. Pursuant to the notice, Spectral may purchase up to 3,594,745 of its common shares (“Shares”), representing approximately 2% of its issued and outstanding Shares, during the twelve month period commencing December 17, 2014 and ending December 16, 2015. There are currently 179,737,241 Shares issued and outstanding. Under the normal course issuer bid, Spectral may purchase up to 22,461 Shares on the TSX during any trading day, which represents approximately 25% of the average daily trading volume on the TSX for the most recently completed six calendar months prior to the TSX’s acceptance of the notice of the NCIB. This limitation does not apply to purchases made pursuant to block purchase exemptions. Purchases will be executed through the facilities of the TSX at market prices under the normal course issuer bid rules of the TSX. Any Shares purchased under the normal course issuer bid will be cancelled. Although Spectral intends to purchase Shares under its normal course issuer bid, there can be no assurances that any such purchases will be completed. Such purchases, if any, may commence on December 17, 2014 and will terminate on December 16, 2015, or on such earlier date as Spectral may complete its purchases pursuant to the notice of intention filed today with the TSX or provide notice of termination. Any such purchases will be made by Spectral at the prevailing market price at the time of acquisition and through the facilities of the TSX.

Arch Biopartners Inc (“Arch” or the “Company”) (CSE:ACH)(OTCBB:FOIFF) announced it has raised $658,525 by closing the first tranche of the non-brokered private placement it announced in a press release January 6, 2015. Pursuant to the terms of the private placement, Arch issued 1,881,500 Units at a price of $0.35 per unit (the “Units”). Each Unit consists of one common share of the Company and one common share purchase warrant (the “Warrant”). Each Warrant entitles the holder to purchase one common share of the Company at an exercise price of $0.70 per common share until 5:00PM EST on January 13, 2017. All securities issued in connection with this offering are subject to a statutory hold period expiring on May 13, 2015. Management of the Company expects a second tranche of approximately $91,525 to close on or before January 26, 2015, pursuant to the terms of the first tranche described herein.

Miraculins Inc. (TSX VENTURE:MOM) (the “Company”), has closed a private placement offering (the “Offering”) with aggregate gross proceeds to the Company of $200,000 from the sale of 2,000,000 units (“Units”) at a price of $0.10 per Unit. Each Unit is comprised of one common share of the Company (a “Share”) and one Share purchase warrant (a “Warrant”). Each whole Warrant entitles the holder to purchase one Share at a price of $0.13 per Share for a period of two years from the date the Warrant is issued. The Shares and Warrants will be restricted from transfer for a period of four months and a day from the date hereof in accordance with applicable securities laws. The net proceeds of the Offering shall be used for general corporate purposes.

Medical Facilities Corporation (“Medical Facilities” or the “Company”) (TSX: DR), announced that in connection with its previously announced normal course issuer bid (“NCIB”) for up to $522,325 aggregate principal amount of its outstanding 5.90% convertible unsecured subordinated debentures dueDecember 31, 2019 (“Debentures”) (TSX: DR.DB.A), the Company has entered into an automatic securities purchase plan with its broker in order to facilitate repurchases of Debentures under the NCIB. The NCIB runs from December 30, 2014 to December 29, 2015. The automatic plan contains strict parameters regarding how Debentures may be repurchased during times when the Company would ordinarily not be permitted to purchase Debentures due to regulatory restrictions or self-imposed blackout periods, including the period from the eleventh business day following the end of a fiscal quarter until the disclosure of the applicable quarterly or annual financial results and prior to the disclosure of certain material changes. RBC Capital Markets has been appointed as the broker of record for the Company’s NCIB.

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OncoGenex Pharmaceuticals, Inc. (NASDAQ: OGXI) announced that it has executed an initial agreement with Teva Pharmaceutical Industries Ltd. (NYSE: TEVA) to regain rights to custirsen, an investigational compound currently being evaluated in Phase 3 clinical development as a treatment for prostate and lung cancers. This transfer of rights would occur in connection with the termination of the collaboration agreement between OncoGenex and Teva executed in 2009. The initial agreement reached by OncoGenex and Teva provides that, following execution of the final agreement to terminate the collaboration between the parties, OncoGenex will receive a $27 million payment from Teva, subject to certain adjustments. In addition, OncoGenex will take over responsibility for all custirsen related expenses, including those related to the ENSPIRIT trial, as well as manufacturing and regulatory activities for custirsen programs, which are currently being managed by Teva. OncoGenex expects that the $27 million payment from Teva will allow for the completion and final results from the AFFINITY trial, as well as continuation of the ENSPIRIT trial through the second interim futility analysis expected in the first half of 2015. The Company anticipates a final agreement will be executed in January 2015.

Knight Therapeutics Inc. (TSX:GUD) (“Knight” or the “Company”), a leading Canadian specialty pharmaceutical company, announced that it has entered into a strategic partnership with NeurAxon Inc. (“NeurAxon”) for the commercialization of NeurAxon’s innovative products in various stages of development (“Pharmaceuticals”) in Canada, Israel, South Africa and Russia (“Territory”).  Under this partnership, Knight will pay approximately $1.75 million cash and provide additional funding to further develop the Pharmaceuticals. A new company will be formed called NeurAxon Pharma Inc. (“NeurAxon Pharma”) which will own the Pharmaceuticals for all markets except the Territory and will continue the development of the clinical portfolio.

Miraculins Inc. (TSX VENTURE:MOM) (the “Company”), announced that it has executed an amendment (the “Amendment”) with VeraLight, Inc. (“VeraLight”) to the asset purchase agreement dated June 28, 2013 between Miraculins and VeraLight (the “APA”), wherein Miraculins acquired all of the relevant assets relating to VeraLight’s Scout DS® non-invasive diabetes screening technology. The Amendment eliminates the majority of the Company’s remaining obligations and terminates the obligation to issue equity to VeraLight under the APA. In connection with the Amendment, the Company has made a one-time payment of CDN $500,000 to VeraLight. In addition to the one-time payment, the Company has issued 1,000,000 new common share purchase warrants (the “Warrants”) to VeraLight at an exercise price of CDN$0.25 per share with a term expiring on the fifth anniversary after issuance. Of these, 450,000 of the Warrants will vest immediately and the remaining 550,000 Warrants will vest upon the earlier of (i) 12 months from the date of issuance, or (ii) a Liquidity Event. No common shares or warrants have previously been issued to VeraLight, and on the closing of the Agreement, VeraLight will have no right to receive common shares of the Company other than the Warrants described above.

Aligo is proud to announce the granting of a worldwide exclusive license for all applications to Ovensa Inc. for the production and commercialization of trimethyl chitosan (TMC), a derivative of chitosan, a technology emanating from the University du Québec à Rimouski (UQAR). Ovensa commercializes TMC as TriozanTM. Its properties allow, amongst other things, amplifying the penetration of active agents into the skin and through the mucous membranes of the human body. TriozanTM thus has the potential to increase the efficacy of cosmetic, nutrition and pharmaceutical products.

Canadian Blood Services announced that it has reached a tentative agreement with the Ontario Public Service Employees Union (OPSEU), representing its support employees in Ontario. The Ontario support employees represent approximately 20 percent of Canadian Blood Services’ 4,500 employees, and include drivers, clinic assistants, donor services representatives, phlebotomists and laboratory assistants, as well as clerical and administrative staff across Ontario.

H&P Labs Inc. announced an agreement with Harvard University and Brighamand Women’s Hospital to license two classes of compounds in order to develop an oral drug therapy against Ebola. These compounds were identified because they interfere with entry of Ebola virus (EboV) particles into cells. One class of compounds targets Niemann-Pick C1 (NPC1), a host protein that binds the EboV glycoprotein and is essential for infection; the other inhibits the transport of EboV particles to the cell compartment containing NPC1.

SinSa Labs announced the signing of a License agreement with Singapore Health Services and ETPL, A*STAR’s technology transfer arm, regarding a technology developed at the Singapore Eye Research Institute (SERI) and Bioinformatics Institute (BII), A*STAR that deters the development of antibiotic resistance. This agreement provides SinSa Labs with a technology platform leading to a new class of antibiotics that kill bacteria quickly at a low dose and deters antibiotic resistance. Currently the company is developing its first antibiotic (Dorzidin™) suitable for treating antibiotic-resistant eye and ear infections. SinSa Labs is seeking series A financing, as will be outlined in an offer to invest.

Precision NanoSystems, a leader in the development and application of microfluidics for the manufacture of nanomedicines; and, Arcturus Therapeutics, a leading small interfering RNA (siRNA) and messenger RNA (mRNA) drug discovery and development company, announced a partnership for the manufacture of RNA medicines. Under the terms of the agreement, Precision’s proprietary NanoAssemblr™ platform will be used to manufacture GMP batches to support clinical studies and commercial development for RNA medicines developed using Arcturus’ proprietary LUNAR™ RNA Therapeutics platform.

Cipher Pharmaceuticals Inc. (NASDAQ:CPHR; TSX:CPH) (“Cipher” or “the Company”) announced that it has licensed the Canadian rights to Ozenoxacin, a topical treatment for adult and paediatric patients with impetigo, from Ferrer, a privately-held Spanish pharmaceutical company. Under the terms of the agreement, Ferrer will receive an upfront payment and is eligible for development milestones and revenues from product sales in Canada. Ferrer will manufacture Ozenoxacin and deliver finished product to Cipher. In 2013, Ferrer successfully completed a first phase III clinical trial of Ozenoxacin in adult and paediatric patients aged two years and older with impetigo. Ferrer commenced a second phase III trial of Ozenoxacin in June 2014, and anticipates that the second phase III trial will be completed by the end of Q1 2015.

Zymeworks Inc., announced the extension of a research collaboration with Merck, known as MSD outside the United States and Canada, that was originally announced in August 2011. In addition, Merck gains expanded access to Zymeworks’ proprietary Azymetric™ platform for the development of novel bi-specific antibody therapeutic candidates. Under the terms of this agreement Zymeworks has granted Merck, through a subsidiary, a worldwide license to develop and commercialize bi-specific antibodies generated through use of the Azymetric™ platform towards certain therapeutic targets. Both Zymeworks and Merck will progress bi-specific therapeutic antibody candidates in pre-clinical developments with Merck responsible for clinical development and commercialization.

Blueline Bioscience (Blueline), a Canadian biotechnology incubator based in Toronto’s Discovery District and backed by venture capital firm Versant Ventures, announced its first spin-out biotech company. Northern Biologics is one of the first investments from Versant’s newly closed Fund V, with a $10 million Series A financing committed earlier this year. Under an existing agreement with Blueline, Celgene Corporation has the right to negotiate an R&D collaboration with Northern Biologics, under which additional upfront capital and undisclosed future payments would be provided to the company. Northern Biologics is one of several efforts launched over the last 18 months in Canada by Versant, including the formation of Blueline Bioscience, the establishment of a new Versant office in Vancouver, and the launch of Inception Sciences research sites in Vancouver and Montreal.

ProMetic Life Sciences Inc. (TSX: PLI) (OTCQX:PFSCF), (“ProMetic” or the “Corporation”) announced that it has entered into definitive agreements with GENERIUM Pharmaceuticals (“GENERIUM”) for several plasma-derived biopharmaceuticals to be manufactured and commercialized in Russia and CIS, as well as for the co-development and global commercialization of two plasma-derived coagulating factors. The strategic alliance includes the granting of manufacturing rights by ProMetic to GENERIUM for several plasma-derived biopharmaceuticals using ProMetic’s proprietary PPPS™ technology. In addition, ProMetic will provide training and technical support to manufacture said plasma-derived biopharmaceuticals in a facility to be built and operated by GENERIUM, in Russia. GENERIUM will fully fund the construction and operating costs of its new cGMP PPPS™ facility. Of the US $17 million license and milestone fees to be paid by GENERIUM, US $6 million is to be paid up front, followed by US $11 million of staged payments to ProMetic in relation to defined development milestones. Approximately US $4 million of these milestone payments are expected to be received in 2015.

Cardiome Pharma Corp. (NASDAQ: CRME / TSX: COM) announced that one of its subsidiaries has entered into an agreement with Eddingpharm to develop and commercialize BRINAVESS™ in China, Taiwan, and Macau and re-launch BRINAVESS in Hong Kong. Under the terms of the agreement, Eddingpharm has agreed to an upfront payment of US $1.0 million and specific annual commercial goals for BRINAVESS. Cardiome is also eligible to receive regulatory milestone payments of up to US $3.0 million. Other financial details have not been disclosed.

Valeant Canada announced it has acquired the Canadian rights to Edarbi™ (azilsartan medoxomil) and Edarbyclor™ (azilsartan medoxomil and chlorthalidone), two products from Takeda Pharmaceutical International GmbH that have been approved by Health Canada, and are indicated for hypertension. The rights were acquired through a license, distribution and supply agreement between affiliates of Valeant Canada and Takeda Pharmaceutical International.

Response Biomedical Corp. (“Response” or “the Company”) (TSX:RBM)(OTCBB:RPBIF)  announced that the Company has entered into an Amendment to its existing Loan Agreement (the “Amended Loan Agreement”) with the lender under its outstanding term loan, Silicon Valley Bank (“SVB”), as of December 15, 2014. Under the terms of the Amended Loan Agreement, SVB has agreed to continue to advance the remaining outstanding principal of US$1,359,375 for the same term and interest rate, waive its rights in respect of the previously announced breaches of certain financial covenants and to remove any future minimum revenue and liquidity ratio financial covenants. SVB will receive additional warrants and a final payment of up to 4% of the principal advanced. Under the terms of the Amended Loan Agreement, interest only payments will be made until April 1, 2015 at which time, 26 equal monthly installments of principal plus accrued interest will be made through to maturity on May 1, 2017. In addition, Response will pay a final payment of up to 4% of the outstanding principal advanced upon repayment. The loan bears an interest rate of Wall Street Journal Prime Rate plus 2.5% annually. Response has provided SVB with 54,905 warrants with an exercise price of $1.00 per warrant and a term of 10 years. The loan will be secured by substantially all of the assets of the Company.

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Zecotek Photonics Inc. (TSX-V: ZMSalso announced that its subsidiary Zecotek Imaging Systems Pte. Ltd. has received a payment of US $2.5 million for new and previous orders of the Company`s patented LFS crystals and crystal arrays. The total sum includes an initial payment of US$500,000, as part of a long term plan to supply crystal arrays for use in new generation Time of Flight positron emission tomography (PET) scanners, and pre-clinical scanners for pharmaceutical drug development.

Axxess Pharma Inc. (OTC PINK: AXXE), a specialty pharmaceutical and nutritional supplements company, is pleased to announce through its wholly-owned subsidiary, AllStar Health Brands Inc., that they have been approved by a major Canadian Distributor to sell its TapouT Muscle Spray and TapouT Pain relief Towelettes to over 2,000 independent pharmacies across Canada. This represents approximately ten percent of all Canadian pharmacies. Axxess Pharma anticipates Canadian pharmacies expanding the TapouT line of products on their shelves. The expansion is anticipated to include TapouT supplement and protein categories, such as TapouT Muscle Growth, TapouT Muscle Recovery and TapouT Turbo Blend Protein Powder.

Amorfix Life Sciences Ltd. (TSX: AMF), a biotechnology company focused on diagnostics and therapeutics for misfolded protein diseases, in particular neurodegenerative diseases, announced that it is closing its operations in Mississauga, Ontario during the first quarter. The Company plans to relocate operations to South San Francisco later this year. The move to California will be delayed to conserve cash until new investment funds are received. The Company is in discussions with a number of firms concerning the development of its neurodegenerative assets, as well as strategic alliances and/or partnerships around the technologies.

DelMar Pharmaceuticals, Inc. (OTCQX: DMPI) (“DelMar” and the “Company”, “we” or “our”) announced that it has commenced an offer to exchange (“Offer to Exchange”) new shares of the Company’s common stock (“Shares”) for outstanding Company warrants to purchase up to 5,964,738 shares of common stock (the “Warrants”) (at a ratio of one Share for every three Warrants tendered). In the event that all of the Warrants are exchanged, the Company shall issue 1,988,246 new shares of common stock. The Offer to Exchange commenced today and will expire, unless extended, at 5:00 p.m., Pacific Standard Time, on February 9, 2015. Tenders of Warrants must be made prior to the expiration of the Offer to Exchange and may be withdrawn at any time prior to the expiration of the Offer to Exchange. The primary purpose of the Offer to Exchange is to reduce DelMar’s “derivative warrant liability” as part of the Company’s strategy to build sufficient stockholders equity in partial fulfillment of the requirements to up-list its common stock to a national securities exchange – such as NASDAQ or NYSE.  Many institutional investors and retail brokers looking to build a position in DelMar’s stock cannot buy OTCQX stocks.

Roche Canada announced that it has received Health Canada approval for ACTEMRA® (tocilizumab) intravenous and subcutaneous formulations for use to reduce signs and symptoms in adult patients with moderate to severe rheumatoid arthritis (RA). ACTEMRA® is the first and only interleukin-6 (IL-6) receptor antagonist to be approved for use in Canada in patients with RA who have not been previously treated with methotrexate (MTX) for their disease (early RA).

Highland Therapeutics Inc. (“Highland”), a pharmaceutical company, announced that the U.S. Patent and Trademark Office (“USPTO”) has issued two patents for HLD-200, a novel formulation of methylphenidate designed to be taken once-daily in the evening with the objective of controlling symptoms of ADHD immediately upon awakening and throughout the day. Patent No. 8,916,588 “Methods of Treatment for Attention Deficit Hyperactivity Disorder” and Patent No. 8,927,010 “Compositions for Treatment of Attention Deficit Hyperactivity Disorder” are owned by Highland’s wholly owned subsidiary, Ironshore Pharmaceuticals & Development, Inc. (“Ironshore”) and will expire in 2032. Ironshore intends to list the patents in the FDA’s Approved Drug Products with Therapeutic Equivalence Evaluations, commonly referred to as the Orange Book, upon U.S. regulatory approval of HLD-200.

Genzyme, a Sanofi company, announced that the Nova Scotia Drug Program has included AUBAGIO™ (teriflunomide) 14 mg on the provincial drug formulary as a first-line oral agent for people in the province living with relapsing remitting multiple sclerosis (RRMS). AUBAGIO is indicated as monotherapy for the treatment of RRMS to reduce the frequency of clinical exacerbations and to delay the accumulation of physical disability.

Intelligent Hospital Systems (IH Systems) announced the Australian Therapeutic Goods Administration (TGA), that nation’s equivalent of the U.S. Food and Drug Administration, has approved a workflow process in which one of Australia’s largest pharmaceutical compounders will use RIVA technology to produce patient chemotherapy doses. This is the first time the TGA has approved a drug compounding process that includes a fully automated IV compounding system in a Current Good Manufacturing Practice (cGMP) facility. The TGA is part of the Australian government’s Department of Health and responsible for regulating therapeutic goods including prescription medicines and devices, among other things. IH Systems and the compounder worked together extensively on the necessary validation of the RIVA Chemotherapy system to demonstrate the technology and processes meet TGA’s stringent requirements. With TGA’s approval, the system is now in production manufacturing doses for Australia and New Zealand.

ESSA Pharma Inc. (“ESSA” or “the Company”) announced that it has received a receipt for a final prospectus that was filed with securities regulators in British Columbia, Alberta and Ontario on December 5, 2014.  The receipt makes ESSA in effect a public company with all of the reporting requirements associated with that status. ESSA also announced today that the Company has received conditional approval for its common shares to be listed and commence trading on the TSX Venture Exchange (“TSX-V”).  Subject to satisfying certain customary final approval requirements of the TSX-V, the Company anticipates that its common shares will commence trading on the TSX-V in late December or early January under the trading symbol ‘EPI’.

AbbVie received Health Canada approval for HOLKIRA PAK (ombitasvir/paritaprevir/ritonavir film-coated tablets; dasabuvir film-coated tablets), an all-oral, short-course (12 weeks for the majority of patients), interferon-free treatment, with or without ribavirin (RBV), for the treatment of patients with genotype 1 (GT1) chronic hepatitis C virus (HCV) infection, including those with cirrhosis. The approval of HOLKIRA PAK is supported by a robust clinical development program that was designed to study the safety and efficacy of the regimen in six pivotal Phase 3 studies, including one trial exclusively in subjects with cirrhosis, with more than 2,300 patients across 25 countries.

Zecotek Photonics Inc. (TSX-V: ZMS) (Frankfurt: W1I.F) announced that its subsidiary, Zecotek Imaging Systems Pte. Ltd., has settled its lawsuit against Philips and Saint Gobain, as parties in a legal proceeding started in February 2012 in connection with an alleged infringement of Zecotek`s patents on LFS scintillation crystals used in positron emission tomography (PET) imaging systems. The Company also announced that Zecotek Imaging Systems PTE. LTD. and Saint-Gobain Ceramics & Plastics, Inc. have reached an agreement to dismiss their pending lawsuit, pursuant to which Zecotek has given Saint-Gobain a covenant not to sue on U.S. Patent No. 7,132,060. The parties will undertake to dismiss with prejudice all asserted claims and counterclaims against one another. The terms of resolution of this lawsuit shall remain confidential.

Genzyme, a Sanofi company, announced that the British Columbia drug program, PharmaCare, has included AUBAGIO™ (teriflunomide) 14 mg on the provincial formulary as a first-line oral agent for people in the province living with relapsing remitting multiple sclerosis (RRMS). AUBAGIO™ is indicated as monotherapy for the treatment of RRMS to reduce the frequency of clinical exacerbations and to delay the accumulation of physical disability.

Medifocus Inc. (TSX-V: MFS) (OTCQX:MDFZF) announced that it has obtained two newly allowed Canadian patents to add to its extensive intellectual properties portfolio of over 100 issued and/or pending USA and Foreign patents covering its two platform technologies for the treatments of Breast Cancer and Prostate Diseases. Both patents, numbered 2,491,924 and 2,492,627 were granted by the Canadian Intellectual Property office to John Mon, COO of Medifocus, Dr. Alan Fenn, and Dennis Smith. The titles of the patents are “Thermotherapy Method for Treatment and Prevention of Breast Cancer” and the other “Method for Improved Safety in Externally Focused Microwave Thermotherapy for Treating Breast Cancer”.

Teva Canada Limited, a subsidiary of Teva Pharmaceutical Industries Ltd., announced that Health Canada has approved its application for the generic version of PrTarceva®. Teva Canada will be the sole generic supplier of this treatment in Canada. PrTeva-Erlotinib is indicated as monotherapy for the treatment of patients with locally advanced or metastatic non-small cell lung cancer (NSCLC) after failure of at least one prior chemotherapy regimen, as well as monotherapy for maintenance treatment in patients with stable disease after four cycles of standard first-line chemotherapy. PrTeva-Erlotinib is also indicated as monotherapy for the first-line treatment of patients with locally advanced (stage III b, not amenable to curative therapy) or metastatic (stage IV) NSCLC with EGFR activating mutations. PrTarceva® had annual sales of approximately $15 million in Canada, based on IMS Brogan sales data as of September 2014.

VANC PHARMACEUTICALS INC. (the “Company” or “VANC”) (TSX VENTURE:NPH) also announced that the Company has been issued a Drug Establishment License (“DEL”) (license number 102220-A) by Health Canada. The license allows VANC to import pharmaceutical products and distribute them within Canada. The import activity covered by the license includes manufacturing pharmaceuticals at the Company’s Good Manufacturing Practices (“GMP”) compliant foreign site.

Zecotek Photonics Inc. (TSX-V: ZMS) (Frankfurt: W1I.F) announced that the Japanese Patent Office has issued a patent for its Micro-channel Avalanche Photodiode (MAPD) silicon photomultiplier.  The Company continues to secure important intellectual property related to key elements of a high performance positron emission tomography (PET) medical scanner, high energy physics (CERN), and retrofit industrial imaging sectors.  Strengthening its worldwide patent portfolio specific to imaging technology and associated components remains a high priority.

Knight Therapeutics Inc. (TSX:GUD), through one of its wholly owned subsidiaries (“Knight”), announced  that it has committed to invest US$25 million into Domain Partners IX, L.P. (“Domain Fund”) and US$10 million in Sanderling Ventures VII, L.P. (“Sanderling Fund”). These investments into proven successful life science funds complement Knight Therapeutics Inc.’s US$13 million investment in Sectoral, EUREUR19.5 million investment in Forbion, and CAD$30 million investment in Teralys. These five funds have combined assets under management in healthcare of approximately CAD$9 billion. Domain Fund is managed by Domain Associates, L.L.C., and invests in early-stage life science companies and often creates companies in which they are the initial, controlling shareholder. Sanderling Fund is managed by Sanderling Ventures, L.L.C., and emphasizes early-stage financing and active management of its biomedical portfolio companies.

Spectral Diagnostics Inc. (“Spectral” or the “Company”) (TSX: SDI) (OTCQX: DIAGF) a Phase III company developing the first theranostic treatment for patients with septic shock, announced that its previously announced name change to “Spectral Medical Inc.” will be effective December 31, 2014. This new name will reflect the Company’s continuing transition into a therapeutic development company, with a strategic focus on the development and commercialization of a treatment for severe sepsis and septic shock using our Endotoxin Activity Assay and the Toraymyxin™ (“PMX”) therapeutic. From and after December 31, 2014, the common shares of the Company will trade on the Toronto Stock Exchange under the symbol “EDT” and on the OTCQX under the symbol “EDTXF”.

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