MONTREAL, QUEBEC–(March 31, 2015) - Knight Therapeutics Inc. (TSX:GUD) (“Knight” or the “Company”), a leading Canadian specialty pharmaceutical company, announced today that it has participated in the secured convertible debenture (“Debentures”) financing of Pediapharm Inc. (TSX VENTURE:PDP) (“Pediapharm”).
Knight purchased $1.25 million of Debentures which bear interest at a rate of 12% per annum paid quarterly in cash as part of a $5.50 million offering by Pediapharm. The Debentures mature on March 30, 2019 and are fully secured against the assets of Pediapharm. At Knight’s option, the Debentures may be converted at any time into common shares of Pediapharm at a price of $0.45 per common share.
In addition, Knight was issued 757,500 share purchase warrants to acquire 757,500 common shares of Pediapharm at an exercise price of $0.33 per Common share for a period of four years until March 30, 2019.
“This secured debt transaction is consistent with our strategy of generating income in low risk, nice return transactions while we build Knight into Canada’s leading specialty pharmaceutical company.” said Jonathan Ross Goodman, President and CEO of Knight.
About Knight Therapeutics Inc.
Knight Therapeutics Inc., headquartered in Montreal, Canada, is a specialty pharmaceutical company focused on acquiring or in-licensing innovative pharmaceutical products for the Canadian and select international markets. Knight’s shares began trading on TSX-V on March 3, 2014 and graduated to TSX on April 29, 2014 under the symbol GUD. For more information about Knight Therapeutics Inc., please visit the company’s web site at http://www.gud-knight.com or athttp://www.sedar.com.
Knight Therapeutics Inc. Forward Looking Statement
This press release may contain forward-looking statements and predictions. These forward-looking statements, by their nature, necessarily involve risks and uncertainties that could cause actual results to differ materially from those contemplated by the forward-looking statements. The Company considers the assumptions on which these forward-looking statements are based to be reasonable at the time they were prepared, but cautions that these assumptions regarding the future events, many of which are beyond the control of the Company and its subsidiaries, may ultimately prove to be incorrect. Factors and risks, which could cause actual results to differ materially from current expectations, are discussed in the Company’s annual information form dated March 19, 2015. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information or future events, except as required by law.
Knight Therapeutics Inc.
Jeffrey Kadanoff, P.Eng., MBA
Chief Financial Officer