ALDA Pharmaceuticals Corp.

Originally incorporated in May 2000 as Duft Biotech Capital Ltd., a capital pool organization, the company changed its name to ALDA Pharmaceuticals Corp. (ALDA) after completing the acquisition of ALDA Pharmaceuticals Inc. during November 2003. The company is the developer of its patent-pending T36® technology and markets a series of non-toxic, noncorrosive, biodegradable infection control products based on this proprietary formulation.

According to management, the emergence of SARS, Norwalk virus and new strains of influenza have created a strong demand for highly effective and environmentally friendly disinfectants. Major markets for ALDA's products include hospitals, medical clinics, nursing homes, medical and dental offices, laboratories, emergency services departments, food manufacturing plants, hotels, restaurants, tattoo parlors, nail & beauty salons, airplanes, and cruise ships.

In addition, the company’s T36 technology is supported by a full range of efficacy and toxicology studies conducted in the United States and Canada.

T36 Disinfectant

ALDA’s flagship product, T36 Disinfectant, is a hospitalgrade, hard surface disinfectant in a spray formulation. This product was test marketed for three years, before being introduced to the market in 2005 as an infection control solution for first responders, such as ambulances, fire fighters and police, as well as for use in medical and dental offices. The formulation has been tested on over 50 infectious bacteria, viruses and fungi and is virtually 100% effective in destroying all of these infections, including HIV, polio, Legionella and Norwalk-like viruses within a 3-minute period and tuberculosis (TB) within 5 minutes. The disinfectant has been approved by Health Canada for use as a hospital grade, surface cleanser and by the Canadian Food Inspection Agency (CFIA) for use in food processing facilities and restaurants. T36 Disinfectant is available through distributors in Canada, the European Union and the Internet to consumers internationally. According to management, the ability to kill polio and TB means that T36 Disinfectant is also acknowledged to be effective against all bacteria and viruses including the Avian Flu, SARS and hepatitis.

Other Products

The company’s T36 technology is the basis for other infection control products that are already on the market or in the late stages of development. During February 2006, ALDA launched its T36 Hand Sanitizer, which is anti-fungal, anti-viral and anti-bacterial and kills 99.9% of most common micro-organisms within seconds. The product has been approved by Health Canada and is currently being marketed by the company’s wholly-owned subsidiary, Sirona Therapeutics Inc. According to management, hand sanitizer products are a growing segment of the US$9.4 billion infection prevention products market. During March 2006, ALDA received approval and a drug identification number from Health Canada for its T36 Disinfectant Cleaner Concentrate. This marked the company’s fifth infection control product to be approved by Health Canada. The concentrate can be diluted up to 64 times, which according to ALDA, makes the cleanser price competitive and safer than other comparable products that are available to the janitorial and sanitation sectors. Other products that the company expects to launch during 2006 are the T36 Ready-To-Use Disinfectant Cleaner and the Personal T36 Disinfectant. ALDA considers its Personal T36 Disinfectant product unique because it has no equivalent competitors. The product is intended for use by travelers, homeowners and other individuals seeking protection from infectious organisms. In addition, the company is currently test marketing its T36 Disinfectant Wipes, which will be marketed for commercial use.

Licence Agreement with Sirona

During January 2006, ALDA entered into a technology licence and option agreement with its wholly-owned subsidiary, Sirona, for the purpose of developing and commercializing therapeutic applications of the company’s T36 infection control technology in such areas as antiseptics, topical anti-fungal treatments, anti-microbial personal lubricants and anti-viral soaps. Under the agreement, Sirona has been granted a limited licence to undertake further research and development and financial obligations for any clinical trials and patent applications. Sirona will pay ALDA milestone payments, in cash or shares, upon completion of defined achievements, such as completed clinical trials, regulatory filings and regulatory approvals. At any time Sirona has the option to negotiate a commercial licence with the company for a particular therapeutic application in consideration of a licencing fee and 2% royalty. Management believes that by pursuing potential human therapeutic applications through its subsidiary, both companies can focus more effectively on their respective core businesses. As well, the arrangement will provide both organizations with more flexibility when obtaining future financing to advance new technologies.

Private Placement

On June 8, 2006, ALDA announced that it had negotiated a non-brokered private placement consisting of 1.1 million units at a price of $0.05 per unit for gross proceeds of $55,000. Each unit includes one common share and one non-transferable share purchase warrant. Each whole warrant entitles the holder to purchase one additional common share of the company at a price of $0.10 per share for a period of 12 months from the issuance of the purchase warrant. Proceeds from the offering will be used for working capital.