EDMONTON, Alberta— Ceapro Inc. (TSX VENTURE:CZO) received securities approval for a first tranche of private placement totaling $500,000, consisting of $500,000 principal value of 8 percent secured convertible debentures due Dec. 31, 2011. The company intends to pursue closing a second tranche of convertible debentures on the same terms and conditions in the near future. Ceapro will use the proceeds for repayment of certain debt obligations, sales and marketing, research and development, product and market expansion and for general working capital purposes.
“In addition to making our final payment pursuant to our litigation settlement agreement in the Saskatchewan case, these funds will allow for the implementation of our new marketing strategy and the further development of new ingredients in cosmeceuticals and nutraceuticals,” said Gilles Gagnon, acting president and CEO. “This truly represents a fresh start for Ceapro as we move into 2010 ready to exploit the growth opportunities before us.”
Ceapro is a Canadian growth-stage biotechnology company. Primary business activities relate to the development and commercialization of natural products for personal care and cosmetic industries using proprietary technology and natural, renewable resources. The commercial line of natural active ingredients include beta glucan, avenanthamides (colloidal oat extract), oat powder, oat oil, oat peptides and lupin peptides.