VANCOUVER,
Oct. 10, 2013 /CNW/ - Welichem
Biotech Inc. ("Welichem" or the "Company", TSX.V:
WBI) announces today the results of its substantial issuer bid,
pursuant to which the Company offered to purchase for cancellation
up to 23,529,411 of its issued and outstanding common shares
("Shares") at a purchase price of $0.85 per Share for an aggregate purchase price
of up to $20 million (the
"Offer"). The offer expired at 5:00
p.m. (Toronto time) on
October 9, 2013.
Based on the final report provided by the
depositary for the Offer, a total of 26,356,197 Shares with an
aggregate purchase price exceeding $20
million have been deposited and not withdrawn and, as a
result, 23,529,411 Shares with an aggregate purchase price of
$20 million will be purchased for
cancellation from all shareholders who have tendered their Shares
on a pro-rata basis. The Shares being purchased for cancellation
represent approximately 28.4% of the issued and outstanding Shares
of the Company outstanding as of October 9,
2013 and, following the purchase and cancellation of these
Shares, approximately 59,462,658 Shares will remain
outstanding.
The Company confirms that, as of the date hereof,
the amount of paid-up capital to be allocated to each Share is
$0.198 and the amount of the deemed
dividend per Share is $0.652.
Take-up and payment for all Shares validly
deposited under the Offer and accepted for purchase by the Company
will be made as soon as practicable by The Laurel Hill Advisory
Group Company, which was retained by the Company to act as
depositary in connection with the Offer. If shareholders have any
questions related to the Offer, they can contact Laurel Hill by telephone at 1-877-452-7184 or by
email at assistance@laurelhill.com.
The full details of the Offer are described in the
Company's offer to purchase and issuer bid circular dated
August 30, 2013 which is filed on
SEDAR along with the related letter of transmittal.
This press release is for information purposes
only and is not an offer to buy or the solicitation of an offer to
sell any Shares. This document does not constitute an offer or a
solicitation to any person in any jurisdiction in which such offer
or solicitation is unlawful.
About Welichem Biotech Inc.
Welichem Biotech Inc. is a publicly-traded
biotechnology company developing therapeutic drugs in the fields of
autoimmune diseases and cancers. For a more complete business
and financial profile of the Company, interested parties are
encouraged to visit the Company's website, www.welichem.com.
Forward looking statements:
Certain statements and other information
included in this press release constitute "forward-looking
information" within the meaning of applicable Canadian securities
legislation. All statements in this press release, other than those
relating to historical information or current conditions, are
forward-looking statements, including information with respect to
the Offer. Forward-looking statements and forward-looking
information are based on information available at the time they are
made, underlying estimates and assumptions made by management and
management's good faith belief with respect to future events,
performance and results, and are subject to inherent risks and
uncertainties surrounding future expectations generally. Such risks
and uncertainties include, but are not limited to the Company's
ability to successfully implement its business strategy and
activities, changes to the regulatory and economic environment in
which the Company operates now and in the future, including changes
in accounting policies or pronouncements introduced by regulatory
authorities, changes in the Company's tax liabilities, either
through changes in tax laws or future assessments, and any material
disruption to the Company's operations, among other things.
Actual results and developments are likely to differ, and may
differ materially, from those expressed or implied by the
forward-looking information contained in this press release. Such
statements are based on a number of assumptions which may prove to
be incorrect, including, but not limited to, assumptions about
general business and economic conditions; interest rates and
foreign exchange rates; tax benefits and tax rates. Welichem
disclaims any intention or obligation to update or revise any
forward-looking statements in this press release as a result of new
information or future events, except as may be required under
applicable Canadian securities legislation.
Neither TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in policies
of the TSX Venture Exchange) accepts responsibility for the
adequacy or accuracy of this release.
SOURCE Welichem Biotech Inc.