Canadian Medical Discoveries Fund Inc. and Canadian Medical Discoveries Fund II Inc. have completed of their previously announced amalgamation as of the close of business on Dec. 1, 2006. The operations of the funds will continue under the name Canadian Medical Discoveries Fund Inc.

As part of the merger, shareholders of the two funds approved the amalgamated fund’s investment objective. The fund will invest in eligible Canadian businesses engaged in the health sciences sector, with emphasis on those businesses involved in the testing and development, or the production and commercialization stages of development.

Holders of Class A shares of the the two funds have now been issued, in exchange for their shares, Class A, Series I shares of the amalgamated fund at $10 per share having substantially similar attributes and an equivalent aggregate value as determined on Dec. 1, 2006.

“Completing the merger and approving the amalgamated fund’s investment objective of focusing on later stage health sciences companies are two key steps in new management’s goal of creating value for the CMDF Funds’ shareholders,” said Steven Hawkins, president and CEO of Medical Discovery Management Corp., the manager of the funds.

Medical Discovery Management will continue to manage the amalgamated fund and Jove Investment Management Inc., recently appointed as investment advisor to the CMDF Funds, will continue to provide advice to the amalgamated fund.