BFLX News .014 Bioflamex Corp. Closes $10 Milli

BFLX News .014

Bioflamex Corp. Closes $10 Million Equity Line Facility

2012-05-22 09:13 ET - News Release

COPENHAGEN, DENMARK -- (Marketwire) -- 05/22/12

Bioflamex Corp. (OTCBB: BFLX) is pleased to announce that the Company has signed an investment agreement with Dutchess Opportunity Fund II for the purchase of up to US$10,000,000 of common stock. The equity line financing, which will be available to Bioflamex upon the effectiveness of a S1 registration statement, allows but does not require Bioflamex to sell up to US$10,000,000 of common stock to Dutchess at a 5% discount to market price during the 36 month term.

Bioflamex will use funds from this investment agreement to fund the production and marketing of its unique green-tech aerosol fire extinguishers.

"We couldn't be happier with this financing arrangement," says Kristian Schiorring CEO of Bioflamex. "This equity line financing will allow us to access the funds we require for full scale production and launch of our products. The low discount to market will minimize dilution for and allow us to maximize value for our shareholders."

Douglas Leighton, founder and managing director of Dutchess, stated, "We are happy to be working with Bioflamex and are excited to implement the ELF for the company. We feel the structure allows the company the flexibility to draw funds as management dictates."

For more information please see the 8K filed with the Securities and Exchange Commission on May 22, 2012.

Bioflamex did not close on the previously announced term sheet with Fairhills.