Vancouver, BC, Canada, May 1, 2009
Further to its press release of April 20, 2009, Sirona Biochem Corp. (the “Company”) announces today the final acceptance by the TSX Venture Exchange on May 4, 2009 of its Qualifying Transaction (“QT”) with TFChem S.A.R.L. The Exchange also granted final acceptance of the Company’s previously completed private placement of 5,013,167 units at $0.15 per unit for gross proceeds of $751,975 in connection with the completion of the QT.
The QT consisted of the entry into a License Agreement with TFC (the “License Agreement”), as announced in the Company’s news release of September 30, 2008.
The License Agreement relates to TFChem’s proprietary technology (GlycoMim®) based upon fluorinated sugar mimics for treatment of Diabetes and Obesity. A study published in the Journal of the American Medical Association claims that more than half of US adults are obese and calls “obesity and diabetes the twin epidemics which threaten to overwhelm the health care system.”
Under the License Agreement, TFChem is carrying out a two year research program to develop a chemical process to achieve the synthesis of a new class of Sodium Glucose Transporter inhibitors for the treatment of Diabetes and Obesity on the Company’s behalf, and the Company has received an exclusive worldwide license of TFC’s technology and the results of the research program for use in those fields.
The Company has agreed to pay TFC €600,000 in respect of the research program, and to issue 5 million common shares to TFC, subject to the terms and conditions of the License Agreement. The first tranche of 1,000,000 shares was issued to TFC in connection with the final completion of the QT.
Sirona Biochem Corp. President, Mark Senner said, “We believe that we have a world class project to develop a very promising new class of drugs, the SGLT Inhibitors, utilizing an innovative core technology for the treatment of diabetes and obesity – two very important therapeutic areas that are on the rise worldwide and responsible for increased morbidity and mortality in the general population.”
Karimah Es Sabar, President, LifeSciences British Columbia, the industry association representing the province’s biopharmaceutical, medical device, bioproducts and bioenergy sectors commented, “It’s exciting to see new innovative life sciences companies continuing to emerge in British Columbia. It proves that through hard work and creativity, much can be accomplished despite the challenging economic times.”
Peter Brenders, President and CEO of BIOTECanada, the national industry association representing the Biotech industry in Canada commented, "Sirona’s achievement shows that with innovative business models andthe right leadership, Canadian firms continue to shine on the global stage."
As part of the QT, the Company changed its name from High Rider Capital Inc. to Sirona Biochem Corp. The Company’s trading symbol on the TSX Venture Exchange has changed from “HRD.P” to “SBM”. In connection with the Exchange’s final acceptance of the QT, the trading halt in the Company’s shares has been lifted and trading will resume on Tier 2 of the TSX Venture Exchange effective May 4, 2009.
For further information, please contact John Dougherty, Corporate Development at 604 641-4466 . Toll Free: 1-888-SIRONA1 (747-6621) www.sironabiochem.com
About the Company:
Sirona Biochem Corp. (SBC) is an emerging biotech company, based in Vancouver, British Columbia, Canada, dedicated to the discovery and development of novel drug compounds. The current focus is on treatments for Type II Diabetes and Obesity. SBC has entered into a license agreement with TFChem S.A.R.L., a Drug Discovery company based in Rouen, France. TFChem licenses its technology of fluorinated carbohydrate mimics: GlycoMim®, and products in development to biotech companies. The license agreement with TFChem provides for research and development of new compounds known as S.G.L.T. inhibitors. S.G.L.T. inhibitors are a new and exciting class of compounds which have great promise and potential to treat both diabetes and obesity.
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