Cortex Placement

Cortex of the USA is to raise $4 million in a private placing ofnewly-issued series A convertible preferred stock with a small group of institutional investors. The first $2 million of the offering has been completed. Company president Vincent Simon noted that the financing will assist Cortex in the development of Ampalex (ampakine) in the treatment of Alzheimer's disease and schizophrenia. The product has just entered a five-week Phase I study (Marketletter June 2), and the funding will allow Cortex to advance second-generation compounds into animal studies and strengthen its position in ongoing talks with prospective corporate partners.