Dr. Robert Gundel reports

AMORFIX CLOSES PRIVATE PLACEMENT OFFERING

Amorfix Life Sciences Ltd. has closed the second tranche of a non-brokered private placement pursuant to which 1,368,500 common shares of Amorfix and 1,368,500 warrants were issued for gross proceeds of $410,550. The total number of shares and warrants that can be issued under the offering is 3.8 million, for potential gross proceeds of $1.14-million. To date, the company has issued 2,987,000 shares and warrants related to this offering.

The company intends to use the net proceeds of the offering to continue the development of its research programs, including its cancer therapeutic program, ProMISA, its Alzheimer's disease and ALS diagnostic programs, and for general corporate purposes, including the completion of continuing discussions with multiple partners for a variety of business deals focused on the formation of alliances and partnerships to advance the company's therapeutic and diagnostic programs.

Each warrant entitles the holder to purchase one share at a price of 50 cents for a period of 24 months following the closing date of the offering, subject to earlier expiry in the event (a trigger event) that, following the expiry of the four-month hold period, the volume-weighted average price of Amorfix's common shares on the Toronto Stock Exchange over a period of 20 consecutive trading days exceeds $1. On the occurrence of a trigger event, Amorfix may give notice to holders to accelerate the expiry to a date which is not fewer than 30 calendar days after such notice is sent to the holders.

In connection with the offering, Amorfix may pay to a finder a cash commission of up to 7 per cent of the gross proceeds of the subscription amounts received from such finder's subscribers, and grant to a finder warrants, having the same terms as the warrants, to acquire shares equal to up to 7 per cent of the units sold to such finder's subscribers, in accordance with policies of the Toronto Stock Exchange.

In connection with the closing of the second tranche of the offering, Amorfix will pay $11,907 in finder fees and issue 39,690 finder warrants.

All securities issued in connection with the offering are subject to a four-month hold period from the date of issuance in accordance with applicable securities law. The closing of the offering is subject to receipt of Toronto Stock Exchange approval.

We seek Safe Harbor.