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RECEPTAGEN COMPLETES $10 MILLION SPECIAL WARRANT PLACEMENT

 VANCOUVER, British Columbia, Dec. 14 /PRNewswire/ -- Receptagen Ltd., a public Canadian biotechnology company (Alberta: RCG), today announced it has completed a private placement of special warrants totaling $10 million. Equity Capital Group, a Toronto-based division of Canacord Capital Corp., acted as the agent for the placement.
 Each special warrant was sold at a price of $2.00, entitling the holder to acquire, at no additional consideration, one common share and one-half of one common share purchase warrant. Each whole share purchase warrant will entitle the holder to purchase one common share of the company at a price equal to the greater of $2.40 and 80 percent of the weighted average closing price of the company's common shares on the five trading days preceding the date of exercise.
 The net proceeds of the private placement, less $1 million being immediately released to Receptagen, will be held in escrow pending the issuance of a final receipt for a prospectus to be filed with the regulatory authorities in British Columbia, Alberta and Ontario on or before May 31, 1994. Two subscribers for the special warrants, who are well familiar with the affairs of Receptagen, have agreed to have their subscription proceeds, aggregating $300,000, immediately released from escrow and provided to the company. The prospectus will qualify the shares and the common share purchase warrants underlying the special warrants.
 The proceeds of the private placement will be used to develop Receptagen's core "growth blocker" technology over the next two years, including its entry into clinical trials. Additionally, the funds will be used for the acquisition and development of complimentary technologies. Funds will also be added to general working capital.
 Founded in 1992, Receptagen operates through its wholly owned subsidiary, Receptagen Corp., which is engaged in developing proprietary drugs for the treatment of cancer and other life-threatening diseases such as AIDS. It is initially focusing on AIDS-related lymphoma, a highly malignant cancer of the lymphatic system that is projected to increase dramatically over the next decade.
 -0- 12/14/93
 /CONTACT: In the United States, A. Charles Morgan, president and chief technical officer of Receptagen, 206-778-5260; or Charles Versaggi of Gable/Versaggi Biocommunications, 408-358-4162, for Receptagen; or, in Canada, Doug Ford or Gail Thurston, 604-685-0114, both of Enterprise Development Corp. for Receptagen; or Clarence Debelle, 416-869-7363, or David Horton, 604-643-7671, both of Canacord Capital Corp. for Receptagen/
 (RCG)


CO: Receptagen Ltd.; Receptagen Corp. ST: British Columbia IN: MTC SU: OFR

TB-TM -- SJ002 -- 3484 12/14/93 08:32 EST
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Publication:PR Newswire
Date:Dec 14, 1993
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