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Message: Re: New Deal premium to market ...
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Mar 25, 2016 11:16AM
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Mar 25, 2016 08:30PM

Stock,,,,,,,,,,,,,,,the Hepa deal was done on April 27th/15,,,,,,, RVX started trading in a down trend just previous and on that day it averaged around $2.80 per share on a volume of +500K. If DM entertains Eastern under a financing arrangement prior to 2017 we could see their % ownership increase to a point where they would control the company. I am noit sure what to hope for!!!!!

""""Under the terms of the transaction, Hepalink will subscribe for 13,270,000 Resverlogix common shares and 1,000,000 common share purchase warrants, for aggregate proceeds of approximately CAD$35 million, or CAD$2.67 per unit. Each warrant is exercisable into one common share at CAD$2.67 per share for a period of five years. After giving effect to the transaction, Hepalink will hold approximately 12.69% of Resverlogix's common shares. The common shares and warrants issued to Hepalink will be subject to a three year lock-up period. Hepalink will also be entitled to nominate one mutually agreed representative for election to the board of directors of the Company.

In addition, subject to completion of the Hepalink transaction, Eastern Capital Limited ("Eastern") will purchase 5,600,000 common shares and 422,005 common share purchase warrants for aggregate consideration of approximately CAD$15 million, or CAD$2.67 per unit. Therefore, total equity investment by Hepalink and Eastern exceeds CAD$50 million. Eastern holds 14,965,307 shares of Resverlogix which represents 17.46% of the 85,699,287 common shares outstanding before giving effect to any outstanding warrants. Eastern currently holds 7,578,232 common share purchase warrants of Resverlogix. Assuming all warrants are exercised before giving effect to the transaction, Eastern will hold approximately 24.17% of the common shares outstanding. After giving effect to the transaction, assuming all warrants held by Eastern are exercised, Eastern would hold 28,565,544 common shares of Resverlogix representing 25.38% of Resverlogix's issued and outstanding common shares based on shares outstanding as at today's date.""""

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