what is up, page-4

re: what is up $9 target, thats wot pSivida signs up US investors
CATIE LOW

pSivida is finalising a deal that will see two US institutions take an equity stake in the biotechnology business.

Managing Director Gavin Rezos declined yesterday to detail the size of the investment but said pSivida proposed to issue American Depository Receipts to two American institutional funds, bolstering its profile in the world's biggest health care and capital markets.

The company recently appointed two US-based nonexecutive directors who are highly regarded in the pharmaceutical sector and on Wall Street, and Mr Rezos said it was also looking to set up a business development and clinical trial base in the US, probably in Boston.

"We are responding to US demand for a position in the company," he said.

"The US market prefers to deal with companies that are in their backyard and with US accounting standards and with recognised institutions and the register." pSivida is focused on the development and comercialisation of the nanotechnology, BioSilicon, a porous silicon which has a range of applications in health care, including drug delivery.

The company listed on Nasdaq in January this year and followed that up by recently being admitted to the Nasdaq health care index. pSivida shares went into a trading halt last week as the company moved to finalise the US transaction. The stock last traded at 87.5c, up from its 2005 low of 53.5c in May but still well off its high of $1.14 in February.
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