Amorfix Life plans unit sale; Discovery Metals to sell A$4 million; Puget Ventures upsizes deal

By Stephanie N. Rotondo

Portland, Ore., April 24 - Amorfix Life Sciences Ltd. plans to use proceeds from a C$3 million private placement to further its brain disease treatment programs, the company said Friday.

To raise the funds, the company will sell common share units. A company spokesman told Prospect News that it was pleased with the support of its shareholders.

On another hemisphere, Australia-based Discovery Metals Ltd. said it would raise A$4 million via a placement of stock.

Puget Ventures Inc. announced it had increased the size of a private placement originally announced on April 2. In addition to the common share units and flow-through shares included in the original deal, the company added flow-through units as well.

Amorfix plans unit sale

Amorfix Life Sciences will sell common share units in an effort to raise C$3 million.

Under the terms of the non-brokered private placement, the company will issue units containing one common share and one half-share warrant at C$0.65 per unit. Each whole two-year warrant is exercisable at C$1.00.

"It's hard to do any financing in this environment so we are pleased that we have shareholder support," said James parsons, chief financial officer, in an interview. "There was strong shareholder support for the company who indicated interest in investing more money in the company."

Parsons said that there may be multiple closings on the deal, but declined to give any sort of timeline.

Proceeds form the financing will be used to advance development and marketing of its programs and for general corporate purposes.

Amorfix's stock (Toronto: AMF) fell 1 cent, or 1.54%, to C$0.64. Market capitalization is C$28.5 million.

Amorfix Life Sciences is a Toronto-based developer of treatments for diseases that degenerate the brain.

Discovery Metals to raise A$4 million

Discovery Metals is planning to sell stock to Taurus Funds Management Pty Ltd. and Macquarie Bank Ltd., according to a press release.

The Brisbane, Australia-based company will issue 22.2 million shares at A$0.18 per share, totaling A$4 million. Both Taurus and Macquarie will invest A$2 million each.

Additionally, investors will receive 14.81 million options. The options are exercisable at A$0.30 until May 25, 2010.

"It is pleasing to have the continued support of our substantial shareholders through this period of difficult market conditions," said Brad Sampson, managing director of Discovery, in a statement. "For companies such as Discovery Metals, shareholder support is vital for us to complete the bankable feasibility study and progress to the project stage and funding of the Boseto Copper Project.

"This placement to Taurus and Macquarie completes a round of fundraising commenced in February and includes the previously announced Resource Capital Fund and London placements," he continued.

Discovery's equity (Australia: DML) closed at A$0.28.

Discovery Metals is nickel and copper mining company.

Puget upsizes deal

Puget Ventures announced it had upsized a previously reported private placement of units and stock.

The Vancovuer, B.C.-based company said the non-brokered deal was increased to C$3.08 million. The deal originally priced from C$2.08 million on April 2.

Puget will issue 4.5 million units consisting of one common share and one half-share warrant at C$0.35 per unit. The warrants are exercisable at C$0.50 for 18 months. All told, the unit sale will bring in C$1.58 million.

The company will also sell 1.25 million flow-through shares at C$0.40 for total proceeds of C$500,000.

On Friday, the company said it would also offer 2.5 million flow-through units containing one flow-through share and one half share warrant, The units will be sold at C$0.40 and the warrants are exercisable at C$0.60 for 18 months.

Proceeds will be used for the company's acquisition of the Werner Lake Mineral Belt Property.

Puget's stock (TSX Venture: PVS) dropped 4 cents, of 11.27%, to C$0.315. Market capitalization is C$3.63 million.

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