Avivagen Inc. (TSX-V: VIV) , a company with a commercially-ready, patent-protected product intended to replace the antibiotics added to livestock feeds as growth promoters, intends to effect a 10 to 1 consolidation of its common shares. The date on which the Consolidation will take effect will be announced once the TSX Venture Exchange approval has been received. The Consolidation was approved by the Corporation's shareholders at the annual general and special meeting of shareholders held on April 11, 2017.
"We heard from a number of institutional investors and potential purchasers of our OxC-betaTM for Livestock product that we had the right operating company profile, but didn't fit the appropriate capital markets profile in order for them to do business with us. As we consider international expansion and U.S. capital markets strategies, we considered a consolidation factor of 10 to 20 old shares for each new share. Based on our view of our growth potential, we have unanimously selected the 10:1 ratio. We will provide another press release the day before the share consolidation will take effect." - Kym Anthony, Chairman and Interim CEO of Avivagen Inc.
Last month, Avivagen announced positive results from a proof-of-concept study that could extend Avivagen’s OxC-beta™ technology into human health applications. The proof-of-concept study evaluated Avivagen’s OxC-beta™ technology as a preventative therapeutic against C. difficile infection (CDI). As strains of C. difficile change, antibiotics are becoming less effective or even completely ineffective in clearing CDI.
The proof-of-concept study evaluated three doses of the OxC-beta™ technology for the ability to improve survival rate, increase median time until death, and improve clinical indicators of health using a standard mouse model of human C. difficile infection.
The results of the study demonstrate that the highest dose of the OxC-beta™ technology tested increased survivability and clinical scores in mice compared to the un-supplemented mouse control group. Treatment with the OxC-beta™ technology increased median time until death to greater than seven days in the mouse group treated with OxC-beta compared to only three days in the un-supplemented mouse control group.
About OxC-beta™ Livestock
There is growing pressure on food producers to maintain high production and low costs, while continuing to bring us great tasting, high quality food. Historically, the use of antibiotics at low doses to help optimize the growth of food animals has helped to achieve this aim.
Avivagen has developed a proprietary, naturally-derived product, OxC-beta™, which has been clinically proven to help animals grow healthier, faster, with comparable feed rations, reducing the single-largest cost in rearing food animals.