OREANDA-NEWS. May 27, 2016. Zomedica Pharmaceuticals Corp. (TSX-V:ZOM) (“Zomedica” or “Company”), a veterinary pharmaceutical company, today reported unaudited consolidated financial results for the three months ended March 31, 2016 of its wholly-owned subsidiary, ZoMedica Pharmaceuticals Inc. (“ZoMedica”). Amounts, unless specified otherwise, are expressed in U.S. dollars and are presented under International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS”). ZoMedica was incorporated on May 14, 2015, therefore there are no comparative period results.

“With the timely completion of Zomedica’s Qualifying Transaction and TSX Venture Exchange listing earlier this month, our team is able to maintain momentum and efforts in achieving short-term milestones and long-term growth objectives,” stated President and CEO Gerald Solensky, Jr.

Corporate Highlights

  • On April 27, 2016, Zomedica Pharmaceuticals Corp. (formerly “Wise Oakwood Ventures Inc.”) announced the completion of its Qualifying Transaction (“Transaction”) with ZoMedica. The shares of Zomedica began trading under the new symbol “ZOM” on Monday May 2, 2016 on the TSX Venture Exchange.
  • On May 10, 2016, Zomedica announced that it opened its first Investigational New Animal Drug Application (“INAD”) with the U.S. Food and Drug Administration Center for Veterinary Medicine for ZM-012, an anti-infective therapeutic for companion animals.
  • On May 17, 2016, Zomedica announced the completion of a research collaboration agreement that includes an option for an exclusive worldwide animal health license with CTX Technology, Inc. for their peptide-based skin penetration platform technology.

Summary First Quarter 2016 Results
ZoMedica recorded net loss and comprehensive loss for the three months ended March 31, 2016 of \\$931,642 or \\$0.01 per share. The loss was attributed to research and development (“R&D”), general and administrative, and professional fees expenses, with no revenues as ZoMedica does not currently have an approved product.

Expenditures for R&D for the three months ended March 31, 2016 were \\$221,712. The majority of these expenses related to salaries of \\$128,445 and consulting costs of \\$48,526 as ZoMedica ramped up activities in its lab including in vitro work to support the further development of its intellectual property, outsourcing of in vivo studies for additional support of its IP and preparation of opening its INAD for ZM-012. ZoMedica expects R&D expenditures throughout 2016 will be higher as activities accelerate.
              
General and administrative expenses for the three months ended March 31, 2016 were \\$452,521. This is largely attributable to the addition of personnel accounting for salaries of \\$156,739, share-based compensation expense of \\$146,332, and office costs of \\$55,176. ZoMedica expects general and administrative expenditures throughout 2016 will be higher as activities accelerate and subsequent to the closing of the Transaction and public listing on the TSX Venture Exchange discussed above.

Professional fees for the three months ended March 31, 2016 were \\$244,837 and relate to the use of various consultants including lawyers and accountants in establishing the initial operations, preparing ZoMedica to execute the business plan, and the closing of the Transaction and public listing on the TSX Venture Exchange.

Liquidity and Outstanding Share Capital
ZoMedica had cash of \\$2,542,704 as at March 31, 2016. The decrease in cash during the three months ended March 31, 2016 is mainly a result of the cash flows used in operating activities as discussed below. For the three months ended March 31, 2016, cash flows used in operating activities amounted to \\$616,012. The largest use of cash within the operating activities was for employees' wages and benefits, and various consultants related to the Transaction and public listing on the TSX Venture Exchange.

As at March 31, 2016, ZoMedica had an unlimited number of authorized common shares with 77,370,716 common shares issued and outstanding.

For complete financial results, please see our filings at www.sedar.com and our website at www.ZOMEDICA.com.

About Zomedica
With U.S. operations based in Ann Arbor, Michigan, Zomedica is a veterinary pharmaceutical company targeting health and wellness solutions for companion animals (canine, feline and equine) through a ground-breaking approach that focuses on the unmet needs of clinical veterinarians. Zomedica is building a diversified portfolio of products comprised of the discovery, development and commercialization of innovative drugs alongside novel drug delivery systems, devices and diagnostics. With multiple clinical veterinarians in executive management, it is Zomedica’s mission to give veterinarians the opportunity to lower costs, increase productivity, and grow revenue while better serving the animals in their care. For more information, visit www.ZOMEDICA.com.

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Reader Advisory
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Except for statements of historical fact, this news release contains certain "forward-looking information" within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Although we believe that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, performance or achievements. Consequently, there is no representation that the actual results achieved will be the same, in whole or in part, as those set out in the forward-looking information.

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