CALGARY, ALBERTA -- SYNSORB Biotech Inc. (SYNSORB) today announced that the Company has completed
and received funding under a $3.0 million term loan, with principal and interest
repayable monthly over 4 years through GATX/MM Venture Finance Partnership.
"This financing with GATX/MM Venture Finance Partnership supplements our current
working capital and helps SYNSORB move forward with its corporate development
and clinical trial programs," said Dr. David Cox, President and Chief Operating
Officer of SYNSORB Biotech Inc.
"We are delighted to have SYNSORB as our first investment. SYNSORB demonstrates
the strong characteristics inherent in the types of companies in which MM Venture
Partners invests," said Minhas Mohamed, Managing Partner, MM Venture Partners.
"Our objective is to help emerging growth companies like SYNSORB augment their
venture capital funding with less dilutive long term capital. We are confident
this is a good fit for both of us."
MM Venture Partners is the General Partner of the $50 million GATX/MM Venture
Finance Partnership. This privately held venture capital fund focuses exclusively
on information technology and biotechnology companies in Canada. MM Venture Partners
has focused specifically on a niche in the capital markets by providing venture
debt financing, including working capital loans and software and equipment leases
to Canadian information technology and biotechnology companies. This form of capital
is in direct response to emerging companies' needs for capital that is less dilutive,
less intrusive and less controlling.
SYNSORB Biotech Inc. is a Canadian pharmaceutical company that is focussed on
the clinical development of novel therapies for the treatment of serious diseases
that at present have no cure or would benefit from alternate therapies. The Company
currently has a suite of orally-delivered, carbohydrate-based gastroenteric products
under development, including SYNSORB Pk (R) and SYNSORB Cd (R). SYNSORB Pk (R),
for the treatment of E. coli O157:H7 infections and the prevention of Hemolytic
Uremic Syndrome (HUS), is undergoing Phase III clinical trials in North America
and Argentina. SYNSORB Cd (R), for recurring or relapsing antibiotic-associated
diarrhea (CDAD) is currently in Phase II clinical trials in Canada and in the
United States. A library of compounds for treatment of viral infections, for inflammatory
conditions, and cancer are also being synthesized and tested.
Shares of SYNSORB Biotech Inc. trade on the Toronto Stock Exchange in Canada (symbol
"SYB") and on NASDAQ in the United States (ticker "SYBBF").
This release contains certain forward-looking statements which involve known and
unknown risks, delays, uncertainties and other factors not under the Company's
control which may cause actual results, performance or achievements of the Company
to be materially different from the results, performance or other expectations
implied by these forward-looking statements. These factors include results of
current or pending clinical trials, actions by the FDA/HPB and those factors detailed
in the Company's registration statement on Form 20 F filed with the Securities
and Exchange Commission.
FOR FURTHER INFORMATION PLEASE CONTACT:
SYNSORB Biotech Inc.
Mr. Doug Ball
Vice President, Finance & Chief Financial Officer
(403) 283-5907 (FAX)
MM Venture Partners
Mr. Minhas Mohamed
The Equicom Group
(416) 815-0700 ex 222
(416) 815-0080 (FAX)
United States: 1-800-385-5451