Solbec seeks to clean up option overhang

Perth biotechology firm Solbec Pharmaceuticals Ltd is seeking to remove a big "overhang" of options, offering holders of the instruments shares in the company to reduce the almost 150 million options on issue.

It is offering one ordinary share for every seven options. The offer closes on December 22.

Below is the announcement from late Friday:

The Company advises that today it lodged with ASIC and ASX its prospectus pursuant to which the Company will offer 1 ordinary
share in exchange for every 7 listed options held at the Entitlement Date;
Further Information:
1. The Entitlement Date for determining entitlements is 25 November 2005.
2. The Closing Date for acceptances is 22 December 2005.
The Company anticipates posting the prospectus to entitled optionholders next week.