Dr. Howard Verrico reports

SIRONA BIOCHEM CLOSES CONVERTIBLE NOTE FINANCING

Sirona Biochem Corp. has closed a non-brokered private placement of convertible notes. The financing was oversubscribed, resulting in gross proceeds of $665,360. Each note is convertible at the option of the holder into one common share of the company at a conversion price of 18 cents per share.

"Thanks to the ongoing support of our long-term shareholders, we were able to successfully oversubscribe this financing," said Dr. Howard Verrico, chief executive officer. "We continue to keep our efforts focused on making this a transformational year for Sirona Biochem."

The notes will mature in 18 months from the date of issuance and bear interest at the rate of 12 per cent per annum, payable quarterly, until the notes are converted or repaid. The company will be entitled to repay the principal amount of the notes, together with accrued and unpaid interest, at any time commencing four months after the date of issuance, subject to giving the holders prior notice thereof to permit holders to convert during the notice period.

All securities issued in connection with the private placement will be subject to a statutory hold period expiring on June 3, 2017.

We seek Safe Harbor.