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Gold/Mining/Energy : Nuvo Research Inc -- Ignore unavailable to you. Want to Upgrade?

To: Tom Gordon who wrote (6542)	1/22/2001 6:45:47 AM
From: Tom Drolet	Read Replies (1) \| Respond to of 14101

Tom, Rondo, Wolfe, Dave/Dave,Joe, Mark, Cal, Jim, Chief et al: This monday ROB well placed article in the Globe and Mail re financing. Matter of fact reporting tone.(David Graham -way to go, you got your wish). Good article. Before we go to far positive on this clever financing tool, I tend to think of ~~42-3 million shares becoming ~~51 million (for a start-up!--good gravy!) and the pseudo admission that income from up front payments and UK (and Europe soon) is not enough to live on! Why is it still called DMX Research?. They are creating an integrated Pharma--should be Dimethaid Applications and Research or some such. Back in for a smidge. Tom D. Dimethaid lines up $50-million credit line Deal first equity financing by Acqua with Canadian firm LEONARD ZEHR BIOTECHNOLOGY REPORTER Monday, January 22, 2001 Dimethaid Research Inc. has lined up a $50-million equity line of credit with Acqua Wellington North American Equities Fund Ltd., a fast-growing Hong Kong-based investment banking firm. Under the 13-month accord, Dimethaid can tap the credit line in up to 10 instalments and sell shares to Acqua at a 20-day average price of its stock on the Toronto Stock Exchange. The Markham, Ont.-based pharmaceutical company said the stock sales will occur between a floor price of $6.50 a share and a ceiling of $25. However, the sales will not exceed a total of 8.39 million shares or 19.9 per cent of the approximately 42 million shares now outstanding. In TSE trading Friday, Dimethaid closed at $7, up 15 cents. Rebecca Keeler, president and chief executive officer of Dimethaid, said this is the first equity financing by Acqua Wellington with a Canadian company. The transaction will give Dimethaid the "flexibility to raise capital when warranted by market conditions." She said proceeds will be used to expand the company's product pipeline and continue marketing its first product, Pennsaid, a topical cream for osteoarthritis, which is being sold in Britain by Provalis Healthcare Ltd. Pennsaid is still awaiting regulatory approval in Canada and the United States. The Acqua Wellington family of funds primarily targets investments in publicly traded life sciences and technology companies with mid- and small-sized capitalizations. Equity lines of credit are commonly used in the United States, but are a relatively new financing vehicle in Canada. Last September, Generex Biotechnology Corp. of Toronto arranged a $50-million (U.S.) equity line with a private investment fund. Edmonton-based Biomira Inc. is currently using a $100-million equity line obtained from European investors.