BC Advantage Funds Raises Over $10 Million in Ten Weeks, Receives $2 Million additional equity allocation to meet demand

Vancouver, February 4, 2004 - BC Advantage Funds (VCC) LTD., one of the fastest growing funds in the history of British Columbia, has raised over $10 million within the last ten weeks. The BC Government provides Advantage investors with a 30% refundable tax credit on investments of up to $200,000 per year (maximum $60,000 annual tax credit). The Government had allocated sufficient tax credits to Advantage to allow it to raise $10 million prior to February 29, 2004, an additional $15 million prior to February 28, 2005 and an additional $20 million prior to February 28, 2006. This is the largest aggregate tax credit allocation ever granted under the Venture Capital Corporation program.

The BC Government has now granted Advantage an additional equity allocation of $2 million, so that it can meet some of the demand for its shares through the February RRSP tax season. Once Advantage has raised $12 million, it will satisfy additional demand by accessing its $15 million tax credit allocation for 2004. Investors purchasing shares after Advantage has raised $12 million will receive their refundable 30% tax credit against their 2004 income, which may allow them to decrease their income tax installments throughout 2004. Investors purchasing shares of Advantage as a contribution to their RRSP prior to February 29, 2004, will receive their RRSP deduction against their 2003 income.

Don Rix, co-founder and Chairman of the Board of Advantage stated, “We have been very pleased at the speed at which investors and investment advisors have embraced the opportunity to invest in Advantage. We thank our partners in Government for granting us an additional equity allocation of $2 million to help us meet the demand for our shares."

Dr. Rix is the founder and Chairman of MDS Metro Laboratory Services and is a member of the Premier’s Technology Council.

Frank Holler, co-founder and Chair of the Advantage Investment Committee noted that "Advantage has significantly exceeded our projections regarding fundraising, allowing us to accelerate investments within our life sciences and technology portfolios. This is when our real work begins - using the skills we have gained in building other life sciences and technology companies to advance the development and shareholder value of the companies we invest in."

Mr. Holler co-founded Angiotech Pharmaceuticals, ID Biomedical and Xenon Genetics, all three of which have valuations that put them in the top ten of all BC technology and life science companies.

For more information about Advantage, please review our final prospectus, visit our website, access our one page introductory brochure, or contact our Vice-President Sales and Marketing, Ray Matthews at ray@bcadvantagefunds.com or 604.818.7778.

About Advantage

Advantage is an early-stage life sciences and technology fund that offers anyone in BC the opportunity to participate in returns from some of our Province's most promising young technology and life science companies and to receive a 30% refundable tax credit from the BC Government.

Advantage was co-founded by Dr. Basil Peters, CEO and Technology Fund Manager; Jim Heppell, President and Life Sciences Fund Manager; Don Rix, Chairman of the Board; Frank Holler, Chairman of the Investment Committee; and David Raffa, COO and Investment Manager.

« Back to News