WINNIPEG, Manitoba – November 25, 2016 – Kane Biotech Inc. (TSX-V:KNE) (the “Corporation” or “Kane Biotech”) today announced that the Corporation has sent a notice of meeting, management information circular, proxy and related materials (the “Meeting Materials”) to its shareholders in connection with a special meeting of shareholders (the “Meeting”) to be held on December 16, 2016 at 2:00 pm (Winnipeg time). At the Meeting, shareholders of the Corporation will be asked to approve a resolution approving the consolidation of the common shares of the Corporation (the “Common Shares”) on a five to one basis (the “Consolidation”).
The Corporation currently has 227,390,037 Common Shares issued and outstanding. If the Consolidation is approved by shareholders and implemented by the Corporation, following the Consolidation the Corporation will have approximately 45,478,007 Common Shares issued and outstanding.
The number of Common Shares reserved for issuance under the Corporation’s stock option plan and the number of Common Shares that may be purchased upon exercise of other convertible securities of the Corporation will be reduced proportionately. Further details with respect to the Consolidation are contained in the Corporation’s management information circular dated November 14, 2016, a copy of which is available on SEDAR at www.sedar.com.
The Corporation is undertaking the Consolidation in order to comply with the policies of the TSX Venture Exchange (the “Exchange”). On June 29, 2016, the Corporation completed a private placement offering of its Common Shares at a price of $0.03 per Common Share. Due to the fact that Common Shares were issued at a price lower than $0.05 per Common Share, the Corporation was required to obtain a waiver from the Exchange to proceed with the private placement. In order to obtain the waiver from the Exchange, the Corporation agreed to seek the approval of its shareholders for the Consolidation within six months of the closing of the private placement.
The completion of the Consolidation remains subject to the final approval of the Exchange. The Corporation will not be changing its name or completing any other restructuring in connection with the Consolidation.
About Kane Biotech Inc.
Kane Biotech is a biotechnology company engaged in the research, development and commercialization of technologies and products that prevent and remove microbial biofilms. Biofilms develop when bacteria and other microorganisms form a protective matrix that acts as a shield against attack. When in a biofilm, bacteria become highly resistant to antibiotics, antimicrobials, biocides, disinfectants, high temperatures and host immune responses. This resiliency contributes to numerous human and animal health related problems such as wound care infections, recurrent urinary tract infections, tooth decay, medical device associated and hospital-acquired infections, and foodborne bacterial infections. According to the United States National Institutes of Health biofilms are estimated to be responsible for 80% of all human bacterial infections and cost individuals, industry, governments and hospitals billions of dollars each year. As such, there is significant interest in safe and effective products that can combat the biofilm problem.
Kane Biotech uses patent protected technologies based on molecular mechanisms of biofilm formation and methods for finding compounds that inhibit or disrupt biofilms. The Corporation has evidence that these technologies have the potential to significantly improve the ability to prevent and/or destroy biofilms in several medical and industrial applications.
Kane Biotech has a portfolio of biotechnologies, intellectual property (patents, patents pending and trademarks) and products developed by the Corporation’s own biofilm research expertise and acquired from leading research institutions. StrixNB™, DispersinB®, Aledex®, bluestem™, AloSera™, coactiv+™ and Kane® are trademarks of Kane Biotech Inc. The Corporation is listed on the TSX Venture Exchange under the symbol “KNE”.
For more information, please contact:
President & CEO
Kane Biotech Inc.