BELLEVILLE, ON, April 3, 2014 /PRNewswire/ - Bioniche Life Sciences Inc. (TSX: BNC) today announced that it has successfully monetized two non-core properties for net proceeds in excess of $1 million.
Over the past several months, the Board of Directors and management team have developed and have been implementing a strategic expenditures review which included identifying and divesting non-core assets. The sale of the property adjacent to the Company's Belleville, Ontario corporate headquarters to Hospice Quinte and the just-concluded sale of a commercial property in Pointe-Claire, Quebec will generate net proceeds that will extend the Company's operating runway and reduce ongoing operating expenses.
"As promised to shareholders, we are continuing to explore cost savings opportunities and operational efficiencies across the organization and we will implement all such initiatives that are feasible," said Mr. Donald Olds, COO of Bioniche Life Sciences Inc. "We are also focused on ensuring the longest possible financial runway for our human therapeutics operations following the sale of the Animal Health business."
A proposed Animal Health sale transaction is being voted on by Bioniche shareholders at a special meeting on April 14, 2014. Dr. Michael Berendt, CEO, stated: "I am encouraging all Bioniche shareholders to exercise their voting rights in support of the proposed sale of Animal Health. This transaction will permit us to repay an expensive US$30 million debt facility coming due July 1st and allow us to focus on creating shareholder value by focusing on a single mission - developing, expanding, and monetizing our human health portfolio, with Urocidin™ for bladder cancer as our key, anchor asset."
Additional information on the proposed Animal Health sale transaction, including information on how shareholders can exercise their vote, can be found on the Company's website www.Bioniche.com or by contacting the Company directly.
Hospice Quinte has been occupying part of the Bioniche property on a leased basis since 2009, when it established the "Bioniche Hospice Quinte Centre" in Belleville, Ontario. This Centre is utilized for administrative and day programs, including the training of volunteers.
"Bioniche has been a proud partner of Hospice Quinte for the past five years, and we are pleased to have been able to arrive at a mutually agreeable transaction that gives this important organization much-needed space for future expansion," added Dr. Berendt.
About Bioniche Life Sciences Inc.
Bioniche Life Sciences Inc. is a clinical stage Canadian biopharmaceutical company focused on the discovery, development, manufacturing, and marketing of proprietary and innovative therapies for the global human health market. The Company's primary goal is to develop and commercialize products that advance human health and increase shareholder value. For more information, please visit www.Bioniche.com.
Except for historical information, this news release may contain forward-looking statements that reflect the Company's current expectation regarding future events. These forward-looking statements involve risk and uncertainties, which may cause, but are not limited to, changing market conditions, the successful and timely completion of clinical studies, the establishment of corporate alliances, the impact of competitive products and pricing, new product development, uncertainties related to the regulatory approval process, and other risks detailed from time to time in the Company's ongoing quarterly and annual reporting.
SOURCE Bioniche Life Sciences Inc.