Resverlogix Corp. Initiated at 'Buy,' C$3.60 Fair Value by Investrend Affiliate Fundamental Research


NEW YORK, March 17, 2004 (PRIMEZONE) -- (Investrend Research Syndicate) The following is an investment opinion issued by Investrend Research Syndicate:

Investrend Research affiliate Fundamental Research Corp. has initiated coverage of Resverlogix Corp. (TSX Venture Exchange:RVX) with a "Buy - 5 (Highly Speculative)" rating and fair value of C$3.60.

According to analyst Brian Tang, CFA, the company is positioned in the two largest drug markets - cancer and cholesterol.

Other investment highlights mentioned in the initial report, available free at www.fundamentalresearchcorp.com and http://www.investrendresearch.com, include a strong management team and scientific advisory board including academics from medical schools across North America. The company is one of very few focused on research to treat cardiovascular disease through increasing "good" cholesterol instead of the more common focus on lowering "bad" cholesterol. Some cholesterol lowering drugs have been found to have adverse side effect. Bayer's Baycol drug was recently withdrawn from the market. RVX is also involved in cancer research.

Another company focused on increasing good cholesterol, Esperion Therapeutics, was purchased by Pfizer (NYSE:PFE) earlier this year for US$1.3 billion. Even at Fundamental's fair value of C$3.60, RVX would trade at less than 5% of what PFE paid for Esperion (with drugs at Phase II and Phase I trials). Fundamental validates its fair value opinion using three different methods - all returning values in close proximity: DCF (C$3.53), Real Options (C$3.31), and comparables (C$4.00). RVX has been in discussions with pharmaceutical companies since last summer to license its technology, and bring the any drugs through clinical trials. A recent independent article in the Journal of the American Medical Association validated various technologies being developed by RVX. Also, in a separate article, Dr. Nir Barzilai of the Institute for Aging Research at the Albert Einstein College of Medicine, who is conducting studies on long life, reported that "the most important thing we've found is that most centenarians (those who live to 100+) have a lot more than average...good cholesterol, in their blood." It appears that anti-aging may also be an area of opportunity for RVX's drugs in the future.

Fundamental Research Corp. is an affiliate of Investrend Research and a member of the FIRST Research Consortium which sets the standards and ethics for independent research agreed to by all members of the association.

The fee for Fundamental's standard coverage is $25,000, and a fee is being paid by the company.

Complete information about this company is available at the company's InvestorPower page at http://www.investrend.com/company/list.asp?sPathParam=yes, and the full report is available at: http://www.fundamentalresearchcorp.com/PDF/rvx.pdf and www.investrendresearch.com, and investors are advised to read disclosures carefully before trading in the equities of any enrolled company.

For alerts regarding Resverlogix Corp., email info@investrend.com and distribution@fundamentalresearchcorp.com with "RVX" in the subject line.



            

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