Hemosol attempts to ease its financial difficulties

Toronto - Hemosol Corp., no stranger to financial difficulties in recent years, finds itself in a cash crunch again. In order to improve this situation it is contemplating a Note and Special Warrant offering as well extending the terms of an existing $20 million loan guarantee. The one problem with this strategy is that the aggregate number of common shares issuable in connection with these proposed transactions will exceed the maximum number of securities issuable without security holder approval under the rules of the Toronto Stock Exchange. They therefore intend to rely on an exemption from the security holder approval requirements of the TSX Company Manual on the basis of its serious …