Exhibit 99.1
News release via Canada NewsWire, Toronto 416-863-9350
Attention Business Editors:
Lorus Therapeutics Announces Rights Offering to Shareholders
TORONTO, June 13 /CNW/ - Lorus Therapeutics Inc. (TSX: LOR, AMEX: LRP)
("Lorus" or the "Corporation"), a biopharmaceutical company specializing in
the research and development of pharmaceutical products and technologies for
the management of cancer, today announced that it has filed a preliminary
short form prospectus in each of the provinces of Canada in connection with a
distribution to its shareholders of rights exercisable for units of the
Corporation (the "Rights Offering").
Under the Rights Offering, holders of common shares of the Corporation as
of the record date (to be established) will receive one right for each common
share held as of the record date. Each four (4) rights will entitle the holder
thereof to purchase a unit of the Corporation ("Unit"). Each Unit consists of
one common share of the Corporation and a one-half warrant to purchase
additional common shares of the corporation at a later date. The record date,
expiry date, the subscription price (the "Basic Subscription Privilege") and
warrant expiry date will be determined prior to the filing of a final
short-form prospectus. The Corporation will make a further announcement with
respect to these matters at the time of filing of the final prospectus.
Holders of rights who fully exercise their rights under the Basic
Subscription Privilege will be entitled to subscribe pro rata for additional
Units, if available, that were not subscribed for initially on or before the
expiry date.
If all of the rights are exercised, the Corporation will issue an
aggregate of 54.2 million common shares and an additional 27.1 million common
shares if all warrants are exercised. The Corporation expects to use the net
proceeds from the offering to fund research and development activities and for
general working capital purposes.
The Corporation believes that certain insiders of the Corporation may
exercise their Rights issued under this Offering.
The Rights Offering and the issuance of securities are subject to
regulatory approval, including that of the Toronto Stock Exchange.
Information for United States Shareholders
This news release does not constitute an offer to sell or the
solicitation of an offer to buy and of these securities in the United States.
Securities may not be offered or sold in the United States absent registration
under the United States Securities Act of 1933, as amended, and applicable
state securities laws, or an available exemption from such registration
requirements.
Forward Looking Statements
This press release contains forward-looking statements within the meaning
of Canadian and U.S. securities laws. Such statements include, but are not
limited to, statements relating to: financings and corporate reorganizations,
the establishment of corporate alliances, the Company's plans, objectives,
expectations and intentions and other statements including words such as
"continue", "expect", "intend", "will", "should", "would", "may", and other
similar expressions. Such statements reflect our current views with respect to
future events and are subject to risks and uncertainties and are necessarily
based upon a number of estimates and assumptions that, while considered
reasonable by us are inherently subject to significant business, economic,
competitive, political and social uncertainties and contingencies. Many
factors could cause our actual results, performance or achievements to be
materially different from any future results, performance or achievements
described in this press release. Such expressed or implied forward looking
statements could include, among others: the amount of capital raised by the
Right Offering; our ability to receive all approvals necessary to complete the
Rights Offering; the filing of final short form prospectus in respect of the
Rights Offering; determination of the terms of the Rights Offering, including
proposed dilution; use of proceeds of the Rights Offering; the inherent risks
in early stage drug development including demonstrating efficacy; development
time/cost and the regulatory approval process; the progress of our clinical
trials; our ability to find and enter into agreements with potential partners;
our ability to attract and retain key personnel; changing market conditions;
and other risks detailed from time-to-time in our ongoing quarterly filings,
annual information forms, annual reports and annual filings with Canadian
securities regulators and the United States Securities and Exchange
Commission.
Should one or more of these risks or uncertainties materialize, or should
the assumptions set out in the section entitled "Risk Factors" in our filings
with Canadian securities regulators and the United States Securities and
Exchange Commission underlying those forward-looking statements prove
incorrect, actual results may vary materially from those described herein.
These forward-looking statements are made as of the date of this press release
and we do not intend, and do not assume any obligation, to update these
forward-looking statements, except as required by law. We cannot assure you
that such statements will prove to be accurate as actual results and future
events could differ materially from those anticipated in such statements.
Investors are cautioned that forward-looking statements are not guarantees of
future performance and accordingly investors are cautioned not to put undue
reliance on forward-looking statements due to the inherent uncertainty
therein.
Lorus Therapeutics Inc.'s recent press releases are available through its
website at www.lorusthera.com. For Lorus' regulatory filings on SEDAR, please
go to www.Sedar.com. For SEDAR filings prior to July 10, 2007 you will find
these under the company profile for Global Summit Real Estate Inc. (Old
Lorus).
%SEDAR: 00025614EF %CIK: 0000882361
/For further information: Lorus Therapeutics Inc., Elizabeth Williams,
Director of Finance, (416) 798-1200 ext. 372, ir(at)lorusthera.com/
(LOR. LRP)
CO: Lorus Therapeutics Inc.
CNW 16:33e 13-JUN-08