Full Press Release Details
ANAVEX ARRANGES FOR CONVERTIBLE DEBENTURE
Hoboken, NJ May 6, 2011 -- Anavex Life Sciences Corp.
(the Company or Anavex ) (OTCBB: AVXL) today announced that the Company has
arranged for the sale of $1,000,000 of convertible debentures to one investor in
On April 20, 2011, Anavex issued a $250,000 convertible
debenture to one investor. The convertible debenture will mature on the earliest
of (a) April 20, 2012; (b) conversion of the debentures; or (c) early retirement
of the debentures. The investor received as part of the transaction and has now
exercised its right to acquire 33,334 shares and 33,334 warrants of the Company
at an aggregate purchase price of $100,000. The warrants will be exercisable at
$4.00 per share for two years.
On May 4, 2011, Anavex issued a $500,000 convertible debenture
to the same investor with the same maturity date. The remainder of the
$1,000,000 in convertible debentures is expected to be funded within one month.
The convertible debentures may be converted at any time, prior
to maturity, into units of the Company at a conversion price of $3.00 per share.
Each unit is comprised of one share of common stock and one warrant, with each
warrant exercisable into one additional common share for two years at an
exercise price of $4.00. The convertible debenture is an unsecured obligation
and carries an interest rate equal to the 8% per annum on the principal amount.
The convertible debenture will mature on the earliest of (a) May 4, 2012; (b)
conversion of the debentures; or (c) early retirement of the debentures.
In connection with the issuance of the convertible debentures,
the Company paid $100,000 in fees to the investor for arranging the convertible
About Anavex Life Sciences Corp.
Anavex Life Sciences
Corp. (www.anavex.com) is a specialty pharmaceutical company engaged in the
discovery and development of novel drug candidates for the treatment of
neurological diseases and cancer. The Anavex proprietary SIGMACEPTOR Discovery
Platform involves the rational design of drug compounds targeted to specific
receptors involved in the modulation of multiple cellular biochemical signaling
The SIGMACEPTOR -N program involves the development of novel
drug candidates that target neurological and neurodegenerative diseases
(Alzheimer's disease, epilepsy, depression, pain). The company's lead drug
candidates exhibit high affinity for sigma receptors, which have been
extensively documented as potentially valuable drug targets and have
demonstrated anti-amnesic and neuroprotective properties. A portfolio of back-up
compounds to ANAVEX 2-73 are also in development.
Anavex is a publicly traded company under the symbol AVXL.
Forward-Looking Statements
Statements in this press release that are not strictly
historical in nature are forward-looking statements. These statements are only
predictions based on current information and expectations and involve a number
of risks and uncertainties. Forward-looking statements in this press release
include the statement that the debentures will close within the next month.
We may not be able to close as a result of a variety of
factors, including that the investor does not provide the funds. Readers are
cautioned not to place undue reliance on these forward-looking statements, which
speak only as of the date hereof. All forward-looking statements are qualified
in their entirety by this cautionary statement and Anavex Life Sciences Corp.
undertakes no obligation to revise or update this press release to reflect
events or circumstances after the date hereof.
For Further Information
Anavex Life Sciences
Research & Business Development
Email: info@anavex.com
Shareholder & Media Relations
Outside North America: +1 (416) 489-0092