Nuvo Raises $2.1 Million to Date Through Warrant Incentive Program

    <<
    /THIS RELEASE IS NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER THE
    UNITED STATES WIRE SERVICES/
    >>

    MISSISSAUGA, ON, March 26 /CNW/ - Nuvo Research Inc. (TSX: NRI), a
Canadian drug development company focused on the research and development of
drug products delivered to and through the skin using its topical and
transdermal drug delivery technologies, today announced that, to date,
approximately 23 per cent of eligible warrants have been exercised pursuant to
its previously announced warrant incentive program, generating gross proceeds
of $2.1 million.
    The warrant incentive program which commenced on January 21, 2009
provides incentive for the early exercise of 20,012,494 warrants (the
"November 2009 Warrants"), 3,901,898 warrants (the "June 2009 Warrants") and
50,000,000 warrants (the "July 2009 Warrants"). Each warrant allows the holder
to purchase one Nuvo common share for the price set out therein prior to its
expiration. The November 2009 Warrants are exercisable at $0.48 until November
16, 2009. The June 2009 Warrants are exercisable at $0.50 until June 20, 2009.
The July 2009 Warrants are exercisable at $0.30 until July 13, 2009.
    The warrant incentive program allows holders to exercise their warrants
at a reduced price of $0.125 until 5:00pm ET on April 3, 2009. If a holder
does not exercise their warrants prior to 5:00pm on April 3, 2009, the
warrants will continue to be exercisable on the same terms as previously
existed. Insiders are not eligible to participate in the warrant incentive
program.
    Proceeds from the early exercise of the warrants provide Nuvo with
additional cash to fund its current business plan including the development
and commercialization of its lead product, Pennsaid(R), and its follow on
product, Pennsaid Plus(R), and for general corporate purposes.
    If all of the eligible warrants are exercised pursuant to the warrant
incentive program, the potential total gross proceeds to Nuvo are $9.2
million.