OxyFile #527

LifeTech Announces $3 Million Rights Offering to Shareholders and 
Warrantholders

TORONTO, Oct. 7, 1997 - LifeTECH Corporation today announced a 
Rights Offering to all holders of its Common Shares and Warrants. 
Each shareholder or warrantholder is entitled to one Right for 
each Common Share or Warrant held by them on the record date of 
October 9, 1997. Each Right entitles its holder to purchase one 
Common Share at a price of $0.50 prior to the expiry of the Rights 
Offering on October 30, 1997. The number of Rights issued totals 
6,162,368, made up of 4,622,368 Rights issued to shareholders and 
1,540,000 Rights issued to warrantholders. If fully subscribed, 
the Rights Offering could raise approximately $3 million. The 
Corporation is also concurrently seeking alternative sources of 
financing and reserves the right to cancel this Rights Offering if 
a more favourable financing is arranged.

Mr. Walter J. Dermott, President and CEO made the announcement, 
saying "The funds raised by this financing, if fully subscribed, 
will see the Corporation through to the next stage of development 
of our unique technology to sterilize blood products. This next 
phase will include data generation for third party Pre-Clinical 
Trials and the commencement of Pre-Clinical Trials for the U.S. 
FDA and European regulatory approvals."

Mr. Dermott continued "Our principal focus is to secure key 
strategic alliances and collaborative research agreements with 
major players in blood products in the United States and Europe. 
These alliances will provide LifeTECH access to specific 
scientific and manufacturing expertise of our partners. We are 
currently in discussions with eleven major manufacturers worldwide 
to establish scientific and commercial collaborations that will 
advance our technology into the key market areas of human blood 
transfusions, fractionated blood products, animal sera and tissue 
culture media. A series of scientific collaborations with major 
players in the blood markets in Europe and the United States is 
expected during the fall of 1997. It is our hope that this Rights 
Offering will allow our shareholders and warrantholders to share 
in the future growth and success of the Corporation."