TORONTO, Nov. 11, 2011 /CNW/ - Spectral Diagnostics Inc. ("Spectral") (TSX: SDI) announced today that the Toronto Stock Exchange (the "TSX") has approved its notice of intention to make a normal course issuer bid for its outstanding common shares (the "Shares"). Pursuant to the notice, Spectral is entitled to purchase up to 2,277,667 Shares, representing 2% of its issued and outstanding Shares during the twelve month period commencing November 15, 2011 and ending November 14, 2012. There are currently 113,883,394 Shares issued and outstanding. Under the normal course issuer bid, Spectral may purchase up to 14,535 Shares on the TSX during any trading day, which represents 25% of the average daily trading volume on the TSX for the most recently completed six calendar months prior to the TSX's acceptance of the notice of the normal course issuer bid. This limitation does not apply to purchases made pursuant to block purchase exemptions. Purchases will be executed through the facilities of the TSX at market prices under the normal course issuer bid rules of the TSX.
The actual number of Shares which may be purchased, and the timing of any such purchases, will be determined by Spectral. All Shares purchased under the issuer bid will be cancelled. Spectral has not purchased any of its Shares in the twelve months preceding the date hereof.
Spectral believes that the repurchases may enhance liquidity for shareholders and that ongoing purchases of its outstanding Shares from time to time at prevailing market prices may be a worthwhile investment and in the best interest of Spectral and its shareholders.
About Spectral Diagnostics Inc.
Spectral is a Phase III company seeking U.S. FDA approval for its lead theranostics product for the treatment for severe sepsis and septic shock. Toraymyxin is a therapeutic hemoperfusion device that removes endotoxin, which can cause sepsis, from the bloodstream. Directed by Spectral's Endotoxin Activity Assay (EAA™), the only FDA cleared diagnostic for the risk of developing sepsis, Spectral's EUPHRATES trial is the world's first theranostics trial in the area of sepsis.
Toraymyxin has been approved for therapeutic use in Japan and Europe, and has been used safely and effectively in more than 80,000 patients to date. In March 2009, Spectral obtained the exclusive development and commercial rights in the U.S. for Toraymyxin, and in November 2010, signed an exclusive distribution agreement for this product in Canada. More than 250,000 patients are diagnosed with severe sepsis and septic shock in North America each year, representing a greater than $1 billion market opportunity for Spectral. Spectral is listed on the Toronto Stock Exchange under the symbol SDI. For further information please visit www.spectraldx.com.
Information in this news release that is not current or historical factual information may constitute forward-looking information within the meaning of securities laws. Implicit in this information, particularly in respect of the future outlook of Spectral and anticipated events or results, are assumptions based on beliefs of Spectral's senior management as well as information currently available to it. While these assumptions were considered reasonable by Spectral at the time of preparation, they may prove to be incorrect. Readers are cautioned that actual results are subject to a number of risks and uncertainties, including the availability of funds and resources to pursue R&D projects, the successful and timely completion of clinical studies, the ability of Spectral to take advantage of business opportunities in the biomedical industry, the granting of necessary approvals by regulatory authorities as well as general economic, market and business conditions, and could differ materially from what is currently expected.