Zelos Therapeutics Tops Off Series-A Financing With CDN $7 Million 10/05/2004 Zelos Therapeutics today announced that it has completed a Series-A3 financing that brought CDN $7 million (~US$5.4 million) of new funding to the Company. This financing was triggered by the completion of the Phase Ib clinical trial of the Company's lead compound (Ostabolin-C(TM) injection), a parathyroid hormone (PTH) analogue for the treatment of osteoporosis. "The proceeds from the final tranche of our Series A provide us with the resources to rapidly move Ostabolin-C(TM) into a dose-ranging Phase II clinical trial with a four month treatment duration in approximately 200 patients in early 2005," stated Robert (Duffy) DuFresne. "We look forward to presenting the results of our Phase Ia and Ib trials in upcoming medical meetings and will use that data to kick-off a Series-B financing very soon." The current investors in Zelos exercised their full Series A3 investment option. Those investors include Seaflower Ventures of Waltham, Mass., VenGrowth Capital Partners Inc. of Toronto, Ontario and Genesys Capital Partners of Toronto, Ontario. Concurrent with this investment, BDC Venture Capital made an investment in Zelos - a portion of which was an equity investment in the Series A with the balance in the form of a debenture that will convert to an equity investment in Zelos at the completion of a planned Series-B financing.