Document:

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                                                                   EXHIBIT 10.22

                              SEPARATION AGREEMENT
                        AND GENERAL RELEASE OF ALL CLAIMS

        This Separation Agreement and General Release of All Claims
("Agreement") is made by and between Genetronics, Inc. ("Company") and Terry
Gibson ("Employee") with respect to the following facts:

        A. Employee is currently employed by Company.

        B. Company is restructuring and is eliminating Employee's position.
Employee's employment will cease effective October 26, 2001("Separation Date").
Company wishes to reach an amicable separation with Employee and assist
Employee's transition to other employment.

        C. The parties desire to settle all claims and issues that have, or
could have been raised, in relation to Employee's employment with Company and
arising out of or in any way related to the acts, transactions or occurrences
between Employee and Company to date, including, but not limited to, Employee's
employment with Company or the termination of that employment, on the terms set
forth below.

        THEREFORE, in consideration of the promises and mutual agreements
hereinafter set forth, it is agreed by and between the undersigned as follows:

        1. Severance Payment and Benefits. Company agrees to pay Employee the
equivalent of One Hundred Four Thousand, Nine Hundred Ninety-Nine Dollars and
Ninety-Six Cents ($104,999.96), less all appropriate federal and state income
and employment taxes ("Severance Payment"), a sum to which Employee is not
otherwise entitled. The Severance Payment will be made in continuing payments
every second Friday in accordance with the Company's normal payroll process
until the Severance Payment has expired. Employee acknowledges and agrees that
this Severance Payment constitutes adequate legal consideration for the promises
and representations made by Employee in this Agreement. Additionally for the
period of severance under this Agreement, Company shall pay the COBRA premium
for Employee and one dependent as well as the life insurance premium under the
Company's Group Life Insurance Policy. To the extent these payments create a
taxable event for Employee, Employee shall be solely liable for such payment of
such tax. No other benefits are offered under this Agreement.

        2. General Release.

           2.1 Employee unconditionally, irrevocably and absolutely releases and
discharges Company, and any parent and subsidiary corporations, divisions and
affiliated corporations, partnerships or other affiliated entities of Company,
past and present, as well as Company's employees, officers, directors, agents,
successors and assigns (collectively, "Released Parties"), from all claims
related in any way to the transactions or occurrences between them to date, to
the fullest extent permitted by law, including, but not limited to, Employee's
employment with Company, the termination of Employee's employment, and all other
losses, liabilities, claims, charges, demands and causes of action, known or
unknown,

<PAGE>

suspected or unsuspected, arising directly or indirectly out of or in any way
connected with Employee's employment with Company. This release is intended to
have the broadest possible application and includes, but is not limited to, any
tort, contract, common law, constitutional or other statutory claims, including,
but not limited to alleged violations of the California Labor Code or the
federal Fair Labor Standards Act, Title VII of the Civil Rights Act of 1964 and
the California Fair Employment and Housing Act, the Americans with Disabilities
Act, the Age Discrimination in Employment Act of 1967, as amended, and all
claims for attorneys' fees, costs and expenses.

           2.2 Employee acknowledges that Employee may discover facts or law
different from, or in addition to, the facts or law that Employee knows or
believes to be true with respect to the claims released in this Agreement and
agrees, nonetheless, that this Agreement and the release contained in it shall
be and remain effective in all respects notwithstanding such different or
additional facts or the discovery of them.

           2.3 Employee declares and represents that Employee intends this
Agreement to be complete and not subject to any claim of mistake, and that the
release herein expresses a full and complete release and, regardless of the
adequacy or inadequacy of the consideration, Employee intends the release herein
to be final and complete. Employee executes this release with the full knowledge
that this release covers all possible claims against the Released Parties, to
the fullest extent permitted by law.

           2.4 Employee expressly waives Employee's right to recovery of any
type, including damages or reinstatement, in any administrative or court action,
whether state or federal, and whether brought by Employee or on Employee's
behalf, related in any way to the matters released herein.

        3. California Civil Code Section 1542 Waiver. Employee expressly
acknowledges and agrees that all rights under Section 1542 of the California
Civil Code are expressly waived. That section provides:

           A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES
           NOT KNOW OR SUSPECT TO EXIST IN HIS FAVOR AT THE TIME OF EXECUTING
           THE RELEASE, WHICH IF KNOWN BY HIM MUST HAVE MATERIALLY AFFECTED HIS
           SETTLEMENT WITH THE DEBTOR.

        4. Representation Concerning Filing of Legal Actions. Employee
represents that, as of the date of this Agreement, Employee has not filed any
lawsuits, charges, complaints, petitions, claims or other accusatory pleadings
against Company or any of the other Released Parties in any court or with any
governmental agency. Employee further agrees that, to the fullest extent
permitted by law, Employee will not prosecute, nor allow to be prosecuted on
Employee's behalf, in any administrative agency, whether state or federal, or in
any court, whether state or federal, any claim or demand of any type related to
the matters released above, it being the intention of the parties that with the
execution of this release, the Released Parties will be absolutely,
unconditionally and forever discharged of and from all obligations to or on
behalf of Employee related in any way to the matters discharged herein.

                                       2
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        5. No Admissions. By entering into this Agreement, the Released Parties
make no admission that they have engaged, or are now engaging, in any unlawful
conduct. The parties understand and acknowledge that this Agreement is not an
admission of liability and shall not be used or construed as such in any legal
or administrative proceeding.

        6. Older Workers' Benefit Protection Act.

           6.1 This Agreement is intended to satisfy the requirements of the
Older Workers' Benefit Protection Act, 29 U.S.C. Section 626(f). Accordingly,
Employee acknowledges and agrees that Employee has read and understands the
terms of this Agreement; that this Agreement advises Employee in writing that
Employee may consult with an attorney before executing this Agreement, if
desired; that Employee has obtained and considered such legal counsel as
Employee deems necessary; that Employee has been given forty-five (45) days to
consider whether or not to enter into this Agreement (although Employee may
elect not to use the full 45-day period at Employee's option); and that by
signing this Agreement, Employee acknowledges that Employee does so freely,
knowingly, and voluntarily. The Agreement shall not become effective or
enforceable until the eighth day after Employee signs the Agreement ("Effective
Date"). In other words, the Employee may revoke acceptance of this Agreement
within seven (7) days after signing it. The Employee's revocation must be in
writing and received by Ken Dix, Vice President, Legal Affairs, by 5:00 p.m.
Pacific Standard Time on the seventh day in order to be effective. The Severance
Payment will become due and payable after the Effective Date in accordance with
Paragraph 1, provided the Agreement has not been revoked. This Agreement does
not waive or release any rights or claims that Employee may have under the Age
Discrimination in Employment Act that arise after the execution of this
Agreement.

           6.2 Employee further acknowledges that Employee has been advised of
the following information:

                      (i) All Employees whose positions are being eliminated
pursuant to the reduction in force on October 26, 2001 are eligible for
severance pay;

                      (ii) All such Employees age 40 or over will have
forty-five (45) days within which to consider whether to accept the Separation
Agreement;

                      (iii) All Employees under age 40 will have seven (7) days
within which to consider whether to accept the Separation Agreement;

                      (iv) The job titles and ages of all Employees eligible for
this program are listed in part A to Exhibit 1 of this Agreement;

                      (v) Employees in the same job classification or
organizational unit as Employee who are not eligible for this program are listed
in part B to Exhibit 1 of this Agreement.

        7. Severability. In the event any provision of this Agreement shall be
found unenforceable by an arbitrator or a court of competent jurisdiction, the
provision shall be deemed modified to the extent necessary to allow
enforceability of the provision as so limited, it being intended that Company
shall receive the benefits contemplated herein to the fullest extent permitted
by law. If a deemed modification is not satisfactory in the judgment of such
arbitrator

                                       3
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or court, the unenforceable provision shall be deemed deleted, and the validity
and enforceability of the remaining provisions shall not be affected thereby.

        8. Applicable Law. The validity, interpretation and performance of this
Agreement shall be construed and interpreted according to the laws of the United
States of America and the State of California.

        9. Binding on Successors. The parties agree that this Agreement shall be
binding on, and inure to the benefit of, Employee or its successors, heirs
and/or assigns.

        10. Full Defense. This Agreement may be pled as a full and complete
defense to, and may be used as a basis for an injunction against, any action,
suit or other proceeding that may be prosecuted, instituted or attempted by
Employee in breach hereof. Employee agrees that in the event an action or
proceeding is instituted by the Released Parties in order to enforce the terms
or provisions of this Agreement, the Released Parties shall be entitled to an
award of reasonable costs and attorneys' fees incurred in connection with
enforcing this Agreement.

        11. Good Faith. The parties agree to do all things necessary and to
execute all further documents necessary and appropriate to carry out and
effectuate the terms and purposes of this Agreement.

        12. Entire Agreement; Modification. This Agreement is intended to be the
entire agreement between the parties and supersedes and cancels any and all
other and prior agreements, written or oral, between the parties regarding this
subject matter. It is agreed that there are no collateral agreements or
representations, written or oral, regarding the terms and conditions of
Employee's separation of employment with Company and settlement of all claims
between the parties other than those set forth in this Agreement. This Agreement
may be amended only by a written instrument executed by all parties hereto.

THE PARTIES TO THIS AGREEMENT HAVE READ THE FOREGOING AGREEMENT AND FULLY
UNDERSTAND EACH AND EVERY PROVISION CONTAINED HEREIN. WHEREFORE, THE PARTIES
HAVE EXECUTED THIS AGREEMENT ON THE DATES SHOWN BELOW.

Dated:    November 1, 2001                By:  /s/ Terry Gibson
       ---------------------                  ----------------------------------
                                               Terry Gibson

                                          Genetronics, Inc.

Dated:  November 7, 2001                  By:  /s/ Avtar H. Dillon
       ---------------------                  ----------------------------------
                                               Avtar H. Dhillon, M.D.
                                               President & CEO

                                       4
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                                    EXHIBIT 1

The Older Workers' Benefit Protection Act requires that Genetronics, Inc.,
provide the following information to you:

    A.     Individuals Selected for the October 26, 2001 Reduction in Force by
           Job Title and Age:

<TABLE>
<CAPTION>
    JOB TITLE                                             AGE
    ---------                                             ---
    <S>                                                   <C>
    COO                                                   60
    CFO                                                   57
    Director, HR                                          40
    Director, Marketing                                   49
    Network Administrator                                 34
    Receptionist                                          59
    Mechanical Engineer                                   30
    Principal Manuf. Engineer                             49
    Creative Art Designer                                 50
    Technical Services Engineer                           60
    Safety Officer                                        31
    QA Administrator                                      33
    Marketing Admin Specialist                            33
    Customer Service Rep                                  39
    Admin Sales Assist                                    27
    Document Control Coord                                47
</TABLE>

    B.     Individuals Not Selected for the October 26, 2001 Reduction in Force
           (Within Same Job Classification or Organizational Units) by Job Title
           and Age:

<TABLE>
<CAPTION>
    JOB TITLE                                             AGE
    ---------                                             ---
    <S>                                                   <C>
    CEO                                                   40
    Controller                                            38
    Dept. Assist. HR                                      42
    IT Manager                                            27
    Mechanical Engineer                                   26
    QA Tech                                               44
    QA Tech                                               44
    Admin Assist                                          55
</TABLE>

                                       5<PAGE>

                                                                   EXHIBIT 10.23

GENETRONICS BIOMEDICAL CORPORATION PRIVATE PLACEMENT AGENCY AGREEMENT

--------------------------------------------------------------------------------

THIS AGREEMENT dated for reference November 1, 2001, is made

BETWEEN

               GENETRONICS BIOMEDICAL CORPORATION, a corporation incorporated
               under the laws of the State of Delaware, having an office at
               11199 Sorrento Valley Road, San Diego, California 92121

                                                                 (the "Issuer");

AND

               CANACCORD CAPITAL CORPORATION, of 2200 - 609 Granville Street,
               Vancouver, British Columbia, V7Y 1H2

                                                                  (the "Agent").

WHEREAS:

A.             The Issuer wishes to privately place with purchasers an aggregate
of 5,212,494 Special Warrants;

B.             The Issuer wishes to appoint the Agent to act as agent in the
sale of the Special Warrants, and the Agent is willing to accept such
appointment on the terms and conditions of this Agreement;

THE PARTIES to this Agreement therefore agree:

1.             DEFINITIONS

In this Agreement and the Recitals hereto:

        (a)    "Administration Fee" has the meaning defined in Subsection
               6.7(b);

        (b)    "Agent's Fee" has the meaning defined in Section 6

        (c)    "Agent's Series "A" Special Warrants" means the special warrants
               issued to Canaccord Europe as the Corporate Finance Fee and as
               further described in Section 6;

        (d)    "Agent's Series "B" Special Warrants" means the special warrants
               issued to the Agent as part of the Agent's Fee and as further
               described in Section 6;

        (e)    "Agent's Shares" means the common shares of the Issuer issued to
               Canaccord Europe upon exercise or deemed exercise of the Agent's
               Series "A" Special Warrants;

        (f)    "Agent's Special Warrants" means the Agent's Series "A" Special
               Warrants and the Agent's Series "B" Special Warrants;

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        (g)    "Agent's Warrants" means the share purchase warrants issued to
               the Agent upon exercise of the Agent's Series "B" Special
               Warrants;

        (h)    "Agent's Warrant Shares" means the common shares of the Issuer
               issued to the Agent upon the exercise of the Agent's Warrants;

        (i)    "Applicable Legislation" means the U.S. Securities Act and the
               securities legislation of those Canadian provinces where the
               Securities are offered and sold which may include one or more of
               the Securities Act (Alberta), the Securities Act (B.C.), and the
               Securities Act (Ontario), together with the regulations and rules
               made and promulgated thereunder and all administrative policy
               statements, blanket orders and rulings, notices, and other
               administrative directions issued by the Commissions;

        (j)    "Canaccord Europe" means Canaccord Capital (Europe) Limited, a
               subsidiary of the Agent;

        (k)    "Closing" means the day that the Special Warrants are issued to
               Purchasers;

        (l)    "Commissions" means the Alberta Securities Commission, the B.C.
               Securities Commission, and the Ontario Securities Commission, as
               applicable, and the SEC;

        (m)    "Corporate Finance Fee" means the corporate finance fee granted
               to the Agent in accordance with Subsection 6.2;

        (n)    "Escrowed Funds" has the meaning defined in Section 3;

        (o)    "Exchanges" means the Toronto Stock Exchange and the American
               Stock Exchange;

        (p)    "Exchange Act" means the United States Securities Exchange Act of
               1934, as amended;

        (q)    "Exchange Policies" means the rules and policies of the
               Exchanges;

        (r)    "Exemptions" means the statutory exemptions whereby the
               distribution of the Special Warrants may be effected without the
               requirement of compliance with the prospectus or registration
               requirements of the Applicable Legislation and without delivery
               of an offering memorandum:

               (i)    with residents of Alberta, British Columbia and Ontario,
                      as applicable, where the distribution takes place in
                      accordance with sections 65(1)(e) and 107(1)(d) of the
                      Securities Act (Alberta), sections 45(1)(5) and 74(2)(4)
                      of the Securities Act (B.C.) and sections 35(1)(5) and
                      72(1)(d) of the Securities Act (Ontario);

               (ii)   with non-residents of Canada where reasonable steps are
                      taken by the Issuer and the Agent to ensure that the
                      Special Warrants and the Shares, Warrants and Warrant
                      Shares issuable on conversion of the Special Warrants or
                      exercise of the Warrants, as the case may be, come to rest
                      outside of Canada in accordance with the Interpretation
                      Note to former Ontario Securities Commission Policy 1.5
                      and British Columbia Securities Commission Instrument
                      72-503; and

               (iii)  where the distribution takes place in accordance with
                      Regulation D or another applicable exemption from
                      registration under the U.S. Securities Act;

        (s)    "Filing Deadline" means the day the subscription forms and other
               documentation in connection with the Private Placement is
               required to be filed with the Exchanges, or any extension
               thereof;

        (t)    "General Solicitation" and "General Advertising" mean "general
               solicitation" and "general advertising", respectively, as used in
               Rule 502(c) under Regulation D;

        (u)    "Material Change" has the meaning defined in the Securities Act
               (Ontario);

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        (v)    "Material Fact" has the meaning defined in the Securities Act
               (Ontario);

        (w)    "Misrepresentation" has the meaning defined in the Securities Act
               (Ontario);

        (x)    "Monthly Agent's Fee" has the meaning defined in Subsection
               6.7(a);

        (y)    "Private Placement" means the offering of the Securities on the
               terms and conditions of this Agreement;

        (z)    "Prospectus" means a preliminary and final prospectus, including
               any amendments made thereto, filed with the Alberta, B.C. and
               Ontario Securities Commissions, as applicable, and for which a
               final receipt is issued by the Alberta, B.C. and Ontario
               Securities Commissions, as applicable;

        (aa)   "Public Record" means all documents filed by the Issuer with the
               Commissions pursuant to the prospectus, continuous disclosure and
               proxy solicitation requirements of the Applicable Legislation,
               including without limitation all press releases, material change
               reports, annual reports, prospectuses and financial statements;

        (bb)   "Purchaser" means a purchaser of the Special Warrants, and may
               include the Agent in accordance with the terms of this Agreement;

        (cc)   "Qualification Date" means the later of the day on which final
               receipt for a Prospectus is issued by the Alberta, B.C. and
               Ontario Securities Commissions and the day on which the
               Registration Statement is declared effective by the SEC;

        (dd)   "Qualification Deadline" means the the close of business on that
               day which is the first business day 90 days immediately following
               the Closing;

        (ee)   "Registrable Securities" means the Shares, the Warrant Shares,
               the Agent's Shares and the Agent's Warrant Shares;

        (ff)   "Registration Expenses" shall mean all expenses incurred by the
               Issuer in complying with Section 12A, including, without
               limitation, all registration, qualification and filing fees,
               printing expenses, escrow fees, fees and disbursements of legal
               counsel for the Issuer, fees and disbursements of one special
               legal counsel for the selling shareholders with respect to the
               Registration Statement, exchange listing fees, NASD fees, blue
               sky fees and expenses, and the expense of any financial audits
               incident to or required by any such registration (but excluding
               the compensation of regular employees of the Issuer, which shall
               be paid in any event by the Issuer);

        (gg)   "Registration Statement" means the registration statement on Form
               S-3, or such other form as may be available to the Issuer, to be
               filed with the SEC and which is declared effective in connection
               with the registration of the Registrable Securities pursuant to
               Section 12A;

        (hh)   "Regulation D" means Regulation D promulgated under the U.S.
               Securities Act;

        (ii)   "Regulatory Authorities" means the Commissions and the Exchanges;

        (jj)   "SEC" means the United States Securities and Exchange Commission
               and any successor federal agency having similar powers;

        (kk)   "Securities" means the Special Warrants, the Shares, the Warrants
               and the Warrant Shares, the Agent's Series "A" Special Warrants,
               the Agent's Series "B" Special Warrants, the Agent's Shares, the
               Agent's Warrants and the Agent's Warrant Shares;

        (ll)   "Securities Act (Alberta) means Securities Act, R.S.A. 1981, c.
               S-6.1, as amended;

        (mm)   "Securities Act (B.C.)" means Securities Act, R.S.B.C. 1996, c.
               418, as amended

<PAGE>

        (nn)   "Securities Act (Ontario)" means the Securities Act, R.S.O. 1990,
               c. S.5, as amended;

        (oo)   "Selling Jurisdictions" means the jurisdictions where the
               Securities are offered and sold, and may include one or more of
               the United States, Alberta, British Columbia, and Ontario and
               certain offshore jurisdictions outside of Canada and the United
               States;

        (pp)   "Shares" means previously unissued common shares in the capital
               of the Issuer, as presently constituted, to be issued upon the
               exercise or deemed exercise of the Special Warrants;

        (qq)   "Special Warrant Certificates" means the certificates
               representing the Special Warrants;

        (rr)   "Special Warrants" means the special warrants of the Issuer
               subscribed for and issued to the Purchasers under the Private
               Placement;

        (ss)   "Subsidiary" means Genetronics, Inc.;

        (tt)   "Trustee" has the meaning set out in Subsection 3.1;

        (uu)   "USD" means United States dollars;

        (vv)   "U.S. Securities Act" means the United States Securities Act of
               1933, as amended;

        (ww)   "Warrants" means the share purchase warrants of the Issuer issued
               to Purchasers upon the exercise or deemed exercise of the Special
               Warrants; and

        (xx)   "Warrant Shares" means the common shares of the Issuer issued to
               Purchasers upon the exercise of the Warrants.

2.             PURCHASE OF SPECIAL WARRANTS

Subject to the terms and conditions of this Agreement, the Agent agrees to offer
on behalf of the Issuer, and the Issuer agrees to issue and sell to the
Purchasers 5,212,494 Special Warrants for a consideration of USD 2,345,622.30
(USD 0.45 per Special Warrant). In the event that less than all such Special
Warrants are sold to Purchasers, the Agent will purchase the remainder.

3.             ESCROWED FUNDS

3.1            On Closing, 20% of the gross proceeds received from the sale of
the Special Warrants will be placed into escrow (the "Escrowed Funds") with the
transfer agent of the Issuer, or an alternate trustee as reasonably agreed
between the Issuer and the Agent (the "Trustee"), in accordance with the terms
of a trust indenture to be entered into between the Issuer and the Trustee,
satisfactory in form and substance to the Agent.

3.2            The Escrowed Funds will be released by the Trustee from escrow
and paid as follows:

        (a)    to the Issuer on the Qualification Date if such date occurs prior
               to the Qualification Deadline; or

        (b)    subject to Subsection 4.2(d), to holders of Special Warrants on
               the first business day following the Qualification Deadline if
               the Qualification Date has not occurred.

<PAGE>

4.             THE SPECIAL WARRANTS

4.1            The Special Warrant Certificates will be satisfactory in form and
substance to the Agent.

4.2            The Issuer covenants with the Agent, and the Special Warrant
Certificates will provide, among other things, that:

        (a)    the Special Warrants will be issued and registered in the names
               of the Purchasers or their nominees;

        (b)    each Special Warrant will entitle the holder to acquire one Share
               and one-half of a Warrant, without payment of further
               consideration, on the exercise or deemed exercise of the Special
               Warrant;

        (c)    each Special Warrant may be exercised by the holder in whole or
               in part at any time after the Closing and all unexercised Special
               Warrants will be deemed to be exercised on that day which is the
               earlier of:

               (i)    one year from the Closing; and

               (ii)   the fifth business day after the Qualification Date;

        (d)    if the Qualification Date does not occur by the Qualification
               Deadline and if the holder of the Special Warrant has provided to
               the Issuer all of the information required of the holder by the
               Issuer, within a reasonable time period of the Issuer's request,
               to permit the Issuer to file the Registration Statement, then the
               Escrowed Funds will be repaid to the holder of the Special
               Warrant on a pro rata basis;

        (e)    upon exercise or deemed exercise, the Special Warrants will be
               automatically cancelled and will have no further force or effect;

        (f)    subject to the Applicable Legislation and the Exchange Policies,
               the Special Warrants will not be transferable, except by the
               Agent in accordance with the terms of the subscription agreement
               entered into between the Issuer and the Agent;

        (g)    there will be an appropriate adjustment in the class and number
               of Shares issued upon exercise or deemed exercise of the Special
               Warrants upon the occurrence of certain events, including any
               subdivision, consolidation or reclassification of the Issuer's
               common shares, the payment of stock dividends and the merger of
               the Issuer; and

        (h)    the Issuer will use its best efforts to remain a "reporting
               issuer" in British Columbia and Ontario, not in default of
               Applicable Legislation therein, for one year from the date of the
               Closing.

4.3            The issuance of the Special Warrants will not restrict or prevent
the Issuer from obtaining any other financing, or from issuing additional
securities or rights prior to the exercise or deemed exercise of the Special
Warrants.

5.             THE WARRANTS

5.1            The Warrants will be issued and registered in the name of the
Purchasers or the nominee in whose name the Special Warrants were issued.

5.2            The right to purchase a Warrant Share under a Warrant may be
exercised at any time until the close of business on the day which is 18 months
from the applicable Closing.

5.3            One whole Warrant will entitle the holder, on exercise, to
purchase one Warrant Share at a price of USD 0.75 per Warrant Share.

5.4            The Warrants will be non-transferable, except by the Agent in
accordance with the Applicable Legislation and the Exchange Policies.

<PAGE>

5.5            The certificates representing the Special Warrants will, among
other things, include provisions for the appropriate adjustment in the class,
number and price of the Warrant Shares issued upon exercise of the Warrants upon
the occurrence of certain events, including any subdivision, consolidation or
reclassification of the Issuer's common shares, the payment of stock dividends
and the merger of the Issuer.

5.6            The issue of the Warrants will not restrict or prevent the Issuer
from obtaining any other financing, or from issuing additional securities or
rights, during the period within which the Warrants may be exercised.

6.             AGENT'S FEE

6.1            In consideration of the services performed by the Agent under
this Agreement, the Issuer agrees to pay to the Agent an Agent's Fee consisting
of the following:

         (a)   a cash payment equal to 7.5% of the gross proceeds received by
               the Issuer from the sale of the Special Warrants on the Closing,
               payable in lawful money of the United States; and

         (b)   that number of Agent's Series "B" Special Warrants equal to 10%
               of the number of Special Warrants sold at the Closing.

6.2            The Issuer will also pay to Canaccord Europe on the Closing a
corporate finance fee consisting of 100,000 Agent's Series "A" Special Warrants.

6.3            Each Agent's Series "A" Special Warrant will be convertible into
one Agent's Share for no additional consideration.

6.4            Each Agent's Series "B" Special Warrant will be convertible into
one Agent's Warrant which will entitle the Agent to purchase one Agent's Warrant
Share at USD 0.45, for a period of 18 months from the applicable Closing.

6.5            Except as set out in Subsections 6.3 and 6.4, the Agent's Series
"A" Special Warrants and the Agent's Series "B" Special Warrants will have the
same terms as the Special Warrants as set out in Sections 4.2(c), (e), (f) and
(g).

6.6            The Agent acknowledges that the certificates representing the
Agent's Series "A" Special Warrants, the Agent's Series "B" Special Warrants,
the Agent's Shares and the Agent's Warrants will be endorsed with only the
following legends

               THE SECURITIES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO A
               HOLD PERIOD AND MAY NOT BE TRADED IN BRITISH COLUMBIA UNTIL 12:01
               A.M. ON [DATE FOUR MONTHS AND ONE DAY FROM CLOSING], IN ONTARIO
               UNTIL 12:01 A.M. ON [IN THE CASE OF THE SPECIAL WARRANTS AND
               WARRANTS, DATE 18 MONTHS AND ONE DAY FROM CLOSING AND, IN THE
               CASE OF THE UNDERLYING SHARES, DATE ONE YEAR AND ONE DAY FROM
               CLOSING], OR IN ALBERTA UNTIL 12:01 A.M. ON THE DATE THAT IS
               TWELVE MONTHS FROM THE DATE THE ISSUER BECOMES A "REPORTING
               ISSUER" IN ALBERTA EXCEPT AS PERMITTED BY THE TORONTO STOCK
               EXCHANGE AND THE APPLICABLE SECURITIES LEGISLATION IN THOSE
               JURISDICTIONS.

               THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER
               THE U.S. SECURITIES ACT OF 1933, AS AMENDED (THE "U.S. SECURITIES
               ACT") OR UNDER ANY STATE SECURITIES LAWS. THE HOLDER HEREOF, BY
               PURCHASING SUCH SECURITIES, AGREES FOR THE BENEFIT OF THE
               CORPORATION THAT SUCH SECURITIES MAY BE OFFERED, SOLD OR
               OTHERWISE TRANSFERRED ONLY (A) TO THE CORPORATION, (B) PURSUANT
               TO AN EXEMPTION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT
               PROVIDED BY RULE 144 THEREUNDER OR ANOTHER APPLICABLE EXEMPTION,
               OR (C) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT. DELIVERY
               OF THIS CERTIFICATE MAY NOT

<PAGE>

               CONSTITUTE "GOOD DELIVERY" IN SETTLEMENT OF TRANSACTIONS ON STOCK
               EXCHANGES IN CANADA.

6.7            As part of the Agent's Fee set out above, the Issuer will also
pay the following:

        (a)    to Canaccord Europe, USD 5,000 per month for twelve months
               following the Closing (the "Monthly Agent's Fee"), payable in
               advance on a quarterly basis, the first payment to be made at
               Closing and then on the first business day that falls every three
               months from the Closing; and

        (b)    to the Agent, CAD 5,000 as an administration fee (the
               "Administration Fee"), to be paid at the Closing.

7.             OFFERING RESTRICTIONS

7.1            The Agent, acting on behalf of the Issuer, will sell the Special
Warrants only to persons who represent themselves as being persons:

        (a)    resident in Alberta, British Columbia, Ontario, jurisdictions
               outside of Canada where the Special Warrants may lawfully be
               offered for sale, or in the United States;

        (b)    who are purchasing as principal, or are deemed by law or
               discretionary order to be purchasing as principal;

        (c)    who are qualified to purchase the Special Warrants under the
               Exemptions, as applicable; and

        (d)    who are an "Accredited Investor" as such term is defined in Rule
               501 under the U.S. Securities Act as indicated by the completion
               of the Certification for Securities Law Compliance attached
               hereto as part of Schedule "A".

7.2            The Agent, acting on behalf of the Issuer, will sell the Special
Warrants only in those of the Selling Jurisdictions where it is licensed to sell
such securities or is exempt from licensing or through sub-agents who are
licensed to sell such securities in the Selling Jurisdictions.

7.3            The Private Placement has not been and will not be advertised in
any way.

7.4            No selling or promotional expenses will be paid or incurred in
connection with the Private Placement, except for professional services or for
services performed by a registered dealer.

7.5            Before each Closing, the Issuer and the Agent will take all
reasonable steps necessary to ensure compliance with the Exemptions.

7.6            The Agent will comply with all applicable laws of the
jurisdictions in which it assists in soliciting or procuring subscriptions for
the Special Warrants and will not assist in soliciting or procuring
subscriptions for Special Warrants so as to require the registration thereof or
the filing of a prospectus with respect thereto under the laws of any
jurisdiction.

7.7            Until the Prospectus and the Registration Statement are filed,
neither the Agent nor the Issuer will take any action (a) for the purpose of
preparing the market or creating a demand in Canada or the United States for any
of the Securities or (b) that could be reasonably expected to prepare the market
or create a demand in Canada or the United States for any of the Securities.

<PAGE>

8.             SUBSCRIPTIONS

8.1            The Agent will use its commercially reasonable efforts to obtain
from each Purchaser, and deliver to the Issuer, on or before the Filing Deadline
duly completed and signed subscriptions in one of the forms attached as Schedule
"A" or in such other form consented to by the Issuer and the Agent and executed
by the Purchaser.

8.2            The Issuer will accept each properly completed subscription
agreement tendered by the Agent, unless:

        (a)    the subscriber thereunder would, by virtue of the issue of the
               shares subscribed for, become a "control person" of the Issuer,
               within the meaning of the Applicable Legislation; or

        (b)    the subscription would be prohibited by the Applicable
               Legislation.

9.             FILINGS WITH THE REGULATORY AUTHORITIES

9.1            The Issuer will forthwith provide the Exchanges written notice of
the terms of this Agreement and the proposed Private Placement and all other
information required by the Exchange Policies (the "Notice").

9.2            The Issuer will forthwith provide the Agent and its solicitor
with a copy of the Notice, and, forthwith on receipt, a copy of the Toronto
Stock Exchange's conditional approval of the listing on the Toronto Stock
Exchange of the Shares, the Warrant Shares, the Agent's Shares and the Agent's
Warrant Shares to be issued on the conversion of the Special Warrants, Agent's
Series "A" Special Warrants, or Agent's Series "B" Special Warrants, or upon
exercise of the Warrants or Agent's Warrants, as the case may be.

9.3            After the Closing, the Issuer will file all required documents
with, and pay all required filing fees of the Exchanges or the Commissions, as
the case may be, and take all other actions required by the Exchange Policies or
by the Applicable Legislation to fulfil all conditions upon listing imposed by
the Exchanges, or to comply with the Exemptions, with all possible dispatch.

10.            CLOSING

10.1           In this Section:

        (a)    "Certificates" means the Special Warrant Certificates;

        (b)    "Proceeds" means the gross proceeds of the sale of Special
               Warrants on the Closing, less:

               (i)    the Escrowed Funds;

               (ii)   that portion of the Agent's Fee payable in cash, including
                      the first payment of the Monthly Agent's Fee and the
                      Administration Fee,;

               (iii)  the expenses of the Agent in connection with the Private
                      Placement which have not been paid by the Issuer and which
                      are provided for in this Agreement;

               (iv)   any amount which has been attached by garnishing order or
                      other form of attachment; and

               (v)    any amount paid directly to the Issuer by Purchasers in
                      connection with the Private Placement; and

        (c)    "Agent's Certificates" means certificates representing the
               Agent's Series "A" Special Warrants and Agent's Series "B"
               Special Warrants to be issued at the Closing, as applicable.

<PAGE>

10.2           The Closing will take place on Friday, November 23rd, 2001, or on
such other date as reasonably agreed between the Issuer and the Agent.

10.3           The Issuer will, on the Closing, issue and deliver the
Certificates and Agent's Certificates to the Agent or Canaccord Europe, as
applicable, or at the Agent's request, will deliver the Certificates to the
Purchasers, against payment of the Proceeds.

10.4           If instructed to deliver the Certificates to the Purchasers as
set out in Subsection 10.3 above, the Issuer will make all necessary
arrangements for the exchange of the certificates representing the Special
Warrants that were to be delivered to the Agent on the delivery date for
certificates representing such number of the Special Warrants registered in such
names of the Purchasers as the Agent may designate not less than 48 hours prior
to the Closing.

10.5           The Certificates will contain no legends other than the
following:

               THE SECURITIES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO A
               HOLD PERIOD AND MAY NOT BE TRADED IN BRITISH COLUMBIA UNTIL 12:01
               A.M. ON [DATE SIX MONTHS AND ONE DAY FROM CLOSING, IN ONTARIO
               UNTIL 12:01 A.M. ON [IN THE CASE OF THE SPECIAL WARRANTS AND
               WARRANTS, DATE 18 MONTHS AND ONE DAY FROM CLOSING AND, IN THE
               CASE OF THE UNDERLYING SHARES, DATE ONE YEAR AND ONE DAY FROM
               CLOSING], OR IN ALBERTA UNTIL 12:01 A.M. ON THE DATE THAT IS
               TWELVE MONTHS FROM THE DATE THE ISSUER BECOMES A "REPORTING
               ISSUER" IN ALBERTA, EXCEPT AS PERMITTED BY THE TORONTO STOCK
               EXCHANGE AND THE APPLICABLE SECURITIES LEGISLATION IN THOSE
               JURISDICTIONS.

               THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER
               THE U.S. SECURITIES ACT OF 1933, AS AMENDED (THE "U.S. SECURITIES
               ACT") OR UNDER ANY STATE SECURITIES LAWS. THE HOLDER HEREOF, BY
               PURCHASING SUCH SECURITIES, AGREES FOR THE BENEFIT OF THE
               CORPORATION THAT SUCH SECURITIES MAY BE OFFERED, SOLD OR
               OTHERWISE TRANSFERRED ONLY (A) TO THE CORPORATION, (B) PURSUANT
               TO AN EXEMPTION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT
               PROVIDED BY RULE 144 THEREUNDER OR ANOTHER APPLICABLE EXEMPTION,
               OR (C) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT. DELIVERY
               OF THIS CERTIFICATE MAY NOT CONSTITUTE "GOOD DELIVERY" IN
               SETTLEMENT OF TRANSACTIONS ON STOCK EXCHANGES IN CANADA.

10.6           The Agent will deliver the Escrowed Funds to the Trustee at
Closing.

10.7           The Agent will also, on the Closing, deliver to the Issuer an
"all sold" certificate certifying that it has not, to the best of its knowledge,
sold the Securities to residents of Alberta, British Columbia or Ontario, as
applicable, except in strict compliance with, in the case of residents of
Alberta, sections 65(1)(e) and 107(1)(d) of the Securities Act (Alberta), in the
case of residents of British Columbia, sections 45(1)(5) and 74(2)(4) of the
Securities Act (B.C.) and, in the case of residents of Ontario, sections
35(1)(5) and 72(1)(d) of the Securities Act (Ontario).

10.8           Promptly after the Closing, the Issuer will submit to the SEC and
applicable state securities regulatory authorities any and all filings necessary
to make claims of exemption from registration under applicable United States
federal and state securities laws, as applicable, and will deliver copies of
such filings to the Agent and its solicitors.

11.            CONDITIONS OF CLOSING

11.1           The obligations of the Agent on the Closing will be conditional
upon the following:

        (a)    the Issuer having taken all necessary corporate action to be able
               to validly create, issue and sell the Securities to be issued at
               that Closing and all underlying Shares, Agent's Shares, Warrants,
               Warrant Shares, Agent's Warrants and Agent's Warrant Shares to be
               issued pursuant to those Securities;

<PAGE>

        (b)    the Issuer having made all necessary filings, if any, and
               obtained all necessary approvals, if any, in Alberta, British
               Columbia, Ontario and the United States, as applicable, required
               before such Closing in order to issue and sell the Special
               Warrants to the Purchasers and to ensure that such issuance and
               sale will not be subject to the registration and prospectus
               requirements of the Applicable Legislation;

        (c)    the Issuer's outstanding common shares being listed and posted
               for trading on the Exchanges;

        (d)    the Exchanges having confirmed that the Shares and Agent's Shares
               to be issued upon the conversion of the Special Warrants and
               Agent's Series "A" Special Warrants, as the case may be, and the
               Warrant Shares and Agent's Warrant Shares to be issued upon
               exercise of the Warrants and Agent's Warrants, as the case may
               be, will be listed on the Exchanges subject in each case only to
               conditions which by their nature may only be fulfilled after the
               Closing;

        (e)    the Agent being satisfied, in its sole discretion, with the
               results of its investigation of the business and affairs of the
               Issuer;

        (f)    the Issuer having delivered to the Agent and its solicitors at
               that Closing and each previous Closing (if any) favourable
               opinions of the Issuer's solicitors dated as of the date of the
               Closing, as to all legal matters reasonably requested by the
               Agent relating to the incorporation of the Issuer and its
               Subsidiary, their respective businesses and the creation,
               issuance and sale of the Securities, satisfactory in form and
               substance to the Agent;

        (g)    the Issuer having delivered to the Agent and its solicitors at
               that Closing and each previous Closing (if any) such certificates
               of its officers and other documents relating to the Private
               Placement or the affairs of the Issuer as the Agent or its
               solicitors may reasonably request, satisfactory in form and
               substance to the Agent;

        (h)    each representation and warranty of the Issuer herein being true,
               and the Issuer having performed or complied with all of its
               covenants, agreements and obligations hereunder;

        (i)    receipt of all required regulatory approval for or acceptance of
               the Private Placement; and

        (j)    the removal or partial revocation of any cease trading order or
               trading suspension made by any competent authority to the extent
               necessary to complete the Private Placement.

11.2           The conditions set out in Subsection 11.1 are for the sole
benefit of the Agent and may be waived by the Agent in whole or in part.

12.            MATERIAL CHANGES

12.1           If, between the date of this Agreement and the Closing or the
Qualification Date, a Material Change, or a change in a Material Fact occurs,
the Issuer will:

        (a)    as soon as practicable notify the Agent in writing, setting forth
               the particulars of such change;

        (b)    as soon as practicable, issue and file with the Regulatory
               Authorities a press release that is authorised by a senior
               officer disclosing the nature and substance of the change;

        (c)    as soon as practicable file with the Commissions the report
               required by Applicable Legislation and in any event no later than
               10 days after the date on which the change occurs; and

        (d)    provide copies of that press release, when issued, and that
               report, when filed, to the Agent and its solicitors.

<PAGE>

12.2           If the Issuer is uncertain as to whether there has been a
Material Change, or a change in a Material Fact, it will promptly provide the
Agent with full particulars of the event giving rise to the uncertainty, and
will consult with the Agent as to whether such event constitutes a Material
Change, or a change in a Material Fact.

12A.           PROSPECTUS AND REGISTRATION STATEMENT

12A.1          The Issuer will use its commercially reasonable efforts to have
the Qualification Date occur on or before the Qualification Deadline. If the
Qualification Date does not occur by the Qualification Deadline, then the Issuer
will continue to use its commercially reasonable efforts to have the
Qualification Date occur no later than one year after the Closing.

12A.2          As soon as possible after Closing, the Issuer will file a
Prospectus with the Securities Commissions of the Selling Jurisdictions in
Canada, for the purpose of qualifying the distribution of the Shares and
Warrants issuable upon exercise of the Special Warrants and, subject to Ontario
securities law, the Agent's Shares and Agent's Warrants issuable upon exercise
of the Agent's Special Warrants in accordance with the Applicable Legislation,
and will use its commercially reasonable efforts to obtain a final receipt
therefor from the Securities Commissions of the Selling Jurisdictions in Canada.
Subject to the timely receipt of information reasonably requested from the
Purchasers in connection with a Registration Statement, as soon as possible
after Closing, but in any event no more than 45 days after the Closing, the
Issuer will file the Registration Statement with the SEC for the purpose of
qualifying the resale of the Shares, the Warrant Shares, the Agent's Shares and
the Agent's Warrant Shares in accordance with the U.S. Securities Act and will
use its commercially reasonable efforts to have the Registration Statement
declared effective by the SEC.

12A.3          The Issuer agrees to keep the Registration Statement continuously
effective for two years from the Closing or until the distribution described in
the Registration Statement has been completed, whichever period is shorter.

12A.4          The form and substance of the Prospectus and the Registration
Statement will be satisfactory to the Issuer and its solicitors and the Agent
and its solicitors, acting reasonably.

12A.5          The Issuer will permit the Agent and its solicitor to participate
in the preparation of the Prospectus and Registration Statement, to discuss the
Issuer's business with its corporate officials and auditors and to conduct such
full and comprehensive review and investigation of the Issuer's business,
affairs, capital and operations as the Agent and its solicitor reasonably
consider to be necessary to establish a due diligence defence under the
Applicable Legislation to an action for misrepresentation or damages and to
enable the Agent to responsibly execute the Agent's certificate in the
Prospectus.

12B.           PROSPECTUS

12B.1          The Prospectus will contain a contractual right of rescission in
accordance with Applicable Legislation granted by the Issuer to the Purchasers
for misrepresentations concerning the Issuer in the Prospectus.

12B.2          If (a) the Agent and its solicitor, acting reasonably, are
satisfied that the Prospectus contains full, true and plain disclosure of all
Material Facts relating to the Issuer, its subsidiaries, if any, and the
Securities, and (b) the Issuer has delivered to the Agent the documents
described in this Section to be delivered on the date of the final Prospectus,
then the Agent will make all necessary arrangements to execute the Agent's
certificate in the final Prospectus.

12B.3          On the date of the final Prospectus, the Issuer will deliver the
following documents to the Agent and its solicitor, each of which will be in a
form and substance satisfactory to the Agent and its solicitor:

        (a)    an opinion of the auditors of the Issuer, dated as of the date of
               the final Prospectus and addressed to the Agent, relating to the
               accuracy of the financial statements included in the Prospectus
               and verification of the accuracy of the financial, numerical and
               certain other information disclosed in the Prospectus;

<PAGE>

        (b)    a certificate of the Issuer issued to the Agent and its
               solicitor, dated as of the date of the final Prospectus and
               executed by the President of the Issuer or by another officer
               approved by the Agent, certifying certain facts relating to the
               Issuer and its affairs; and

        (c)    any other certificates, comfort letters or opinions in connection
               with any matter related to the Prospectus which are reasonably
               requested by the Agent or its solicitor.

12B.4          On the Qualification Date, the Issuer will deliver the following
documents to the Agent and its solicitor, each of which will be in a form and
substance satisfactory to the Agent and its solicitor:

        (a)    an opinion of counsel of the Issuer, dated as of the
               Qualification Date and addressed to the Agent and its solicitor,
               relating to any legal matters in connection with the Issuer and
               the distribution under the Prospectus for which the Agent or its
               solicitor may reasonably request an opinion; and

        (b)    any other certificates, comfort letters or opinions in connection
               with any matter related to the Prospectus which are reasonably
               requested by the Agent or its solicitor.

12B.5          The Issuer will furnish to the Agent such number of commercial
copies of the Prospectus and each amendment and supplement thereto and such
other relevant documents as the Agent may reasonably request.

12B.6          When the Securities Commissions of the Selling Jurisdictions in
Canada have each issued a receipt for the final Prospectus, and the Issuer has
delivered to the Agent copies of such receipt and all documents required to be
delivered to the Agent on the date of the final Prospectus and the Qualification
Date, the Agent will deliver, or cause to be delivered, one copy of the
Prospectus to each Special Warrant holder.

12C.           REGISTRATION STATEMENT

12C.1          The Issuer will use its commercially reasonable efforts to effect
the registration and sale of the Registrable Securities in accordance with such
reasonable methods of disposition as may be specified in writing by the
shareholders participating therein. Without limiting the foregoing, the Issuer
in each such case will, as expeditiously as is commercially reasonable:

        (a)    prepare and file with the SEC the Registration Statement to
               effect such registration (including such audited financial
               statements as may be required by the U.S. Securities Act or the
               rules and regulations promulgated thereunder) and use its
               commercially reasonable efforts to cause such registration
               statement to become effective, and cause the Registration
               Statement and the related prospectus and any amendment or
               supplement thereto, as of the effective date of the Registration
               Statement, or such amendment or supplement (A) to comply in all
               material respects with the applicable requirements of the U.S.
               Securities Act and the rules and regulations of the SEC
               promulgated under the U.S. Securities Act and (B) not to contain
               any untrue statement of a material fact or omit to state a
               material fact required to be stated therein or necessary to make
               the statements therein in the light of all the facts and
               circumstances not misleading;

        (b)    promptly prepare and file with the SEC such amendments and
               supplements to the Registration Statement and the prospectus used
               in connection with the Registration Statement as may be necessary
               to keep the Registration Statement effective and to comply with
               the provisions of the U.S. Securities Act with respect to the
               disposition of all Registrable Securities covered by the
               Registration Statement until the earlier of such time as all such
               Registrable Securities have been disposed of in accordance with
               the intended methods of disposition by the selling shareholder or
               shareholders thereof set forth in the Registration Statement or a
               date calculated as described in Subsection 12A.3;

        (c)    furnish to each selling shareholder one conformed copy of the
               Registration Statement and of each such amendment and supplement
               thereto (in each case including all exhibits) and one copy of
               each document incorporated by reference therein and such number
               of copies of the prospectus included in the Registration
               Statement (including each preliminary prospectus and any summary
               prospectus) and any other prospectus filed under Rule 424
               promulgated under the U.S. Securities Act relating to such

<PAGE>

               seller's Registrable Securities, and such other documents as such
               seller may reasonably request to facilitate the disposition of
               its Registrable Securities;

        (d)    use its commercially reasonable efforts to register or qualify
               all Registrable Securities and other securities covered by the
               Registration Statement under such securities or Blue Sky laws of
               the states of the United States as each selling shareholder shall
               reasonably request, to keep such registration or qualification in
               effect for so long as the Registration Statement remains in
               effect (subject to the limitations in this Section) except that
               the Issuer shall not for any such purpose be required to qualify
               generally to do business as a foreign corporation in any
               jurisdiction in which it is not and would not, but for the
               requirements of this Section, be obligated to be so qualified, or
               to subject itself to taxation in any such jurisdiction, or to
               consent to general service of process in any such jurisdiction;

        (e)    immediately notify the selling shareholder, at any time when a
               prospectus or prospectus supplement relating thereto is required
               to be delivered under the U.S. Securities Act, upon discovery
               that, or upon the happening of any event as a result of which,
               the prospectus included in the Registration Statement, as then in
               effect, includes an untrue statement of a material fact or omits
               to state any material fact required to be stated therein or
               necessary to make the statements therein not misleading in the
               light of the circumstances then existing, which untrue statement
               or omission requires amendment of the Registration Statement or
               supplementation of the prospectus, and promptly thereafter
               prepare and furnish to such selling shareholder a reasonable
               number of copies of a supplement to or an amendment of such
               prospectus as may be necessary so that, as thereafter delivered
               to the purchasers of such Registrable Securities such prospectus
               shall not include an untrue statement of a material fact or omit
               to state a material fact required to be stated therein or
               necessary to make the statements therein not misleading in the
               light of the facts and circumstances then existing;

        (f)    otherwise use commercially reasonable efforts to comply with all
               applicable rules and regulations of the SEC;

        (g)    provide and cause to be maintained a transfer agent and registrar
               for all Registrable Securities covered by the Registration
               Statement from and after a date not later than the effective date
               of the Registration Statement and cause all such Registrable
               Securities to be listed on such national securities exchange or
               automated system on which the class of Registrable Securities is
               then listed; and

        (h)    pay all Registration Expenses in connection with the registration
               of the Registrable Securities.

12C.2          In connection with any registration or qualification of the
Registrable Securities under this Agreement (i) the Issuer shall indemnify and
hold harmless the shareholder, including but not limited to each person or
entity, if any, who controls the shareholder within the meaning of section 15 of
the U.S. Securities Act, against all losses, claims, damages, liabilities and
expenses (including but not limited to reasonable expenses incurred in
investigating, preparing and defending against any claim) to which the
shareholder or such controlling person may become subject under the U.S.
Securities Act, the Exchange Act or otherwise, insofar as the same arise out of
or are based upon or are caused by any untrue statement or alleged untrue
statement of a material fact contained in the Registration Statement or
prospectus (as amended or supplemented if the Issuer shall have furnished any
amendments or supplements thereto) furnished pursuant to this Agreement or
insofar as the same arise out of, are based upon or are caused by any omission
or alleged omission to state therein a material fact required to be stated
therein or necessary to make the statement therein not misleading, except
insofar as such losses, claims, damages, liabilities or expenses are ultimately
determined to have arisen out of or were based upon or were caused by any untrue
statement or alleged untrue statement or omission or alleged omission based upon
written information furnished to the Issuer by or on behalf of a shareholder or
any such control person for inclusion in any Registration Statement or
prospectus (and any amendments or supplements thereto); provided, however, that
the Issuer shall not be liable in any such case to the extent that any such
losses arise out of or are based upon an untrue statement or alleged untrue
statement or omission or alleged omission in the final prospectus, if such
untrue statement or alleged untrue statement or omission or alleged omission is
corrected in an amendment or supplement to the final prospectus and such
shareholder thereafter fails to deliver such final prospectus as so amended or
supplemented prior to or concurrently with the sale of the Registrable
Securities covered by the Registration Statement to the person asserting such
losses after the Issuer had furnished such shareholder with a sufficient number
of copies thereof in a manner and at a time sufficient to permit delivery of the
same by such shareholder, and (ii) each selling shareholder shall indemnify the
Issuer, its affiliates, any person who signed the Registration Statement, and
their respective officers, directors and control persons against all such
losses, claims, damages, liabilities and expenses

<PAGE>

(including but not limited to reasonable expenses incurred in investigating,
preparing and defending against any claim) insofar as the same arise out of or
are based upon or are caused by any such untrue statement or alleged untrue
statement or any such omission or alleged omission based on written information
furnished to the Issuer by or on behalf of such shareholder or any such control
person for the inclusion in any Registration Statement or prospectus (and any
amendments or supplements thereto).

12C.3          Promptly upon receipt by a party indemnified under this Agreement
of notice of the commencement of any action against such indemnified party in
respect of which indemnity or reimbursement may be sought against any
indemnifying party under this Agreement, such indemnified party shall notify the
indemnifying party in writing of the commencement of such action, but the
failure to so notify the indemnifying party shall not relieve it of any
liability which it may have to any indemnified party otherwise than under this
Agreement unless such failure shall materially and adversely affect the defence
of such action. In case notice of commencement of any such action shall be given
to the indemnifying party as above provided, the indemnifying party shall be
entitled to participate in and, to the extent it may wish, jointly with any
other indemnifying party similarly notified, to assume the defence of such
action at its own expense, with counsel chosen by it and reasonably satisfactory
to such indemnified party. The indemnified party shall have the right to employ
separate legal counsel in any such action and participate in the defence
thereof, but the fees and expenses of such counsel (other than reasonable
expenses incurred in investigating, preparing and defending against any claim)
shall be paid by the indemnified party unless (a) the indemnifying party agrees
to pay the same, (b) the indemnifying party fails to assume the defence of such
action with counsel reasonably satisfactory to the indemnified party (in such
case the indemnifying party shall not have the right to assume the defence of
such action on behalf of such indemnified party), or (c) the named parties to
any such action (including any impleaded parties) have been advised by such
counsel that representation of such indemnified party and the indemnifying party
by the same counsel would be inappropriate under applicable standards of
professional conduct (in which case the indemnifying party shall not have the
right to assume the defence of such action on behalf of such indemnified party).
In the event that either of the circumstances described in clauses (b) and (c)
of the sentence immediately preceding shall occur, the indemnified party shall
have the right to select a separate counsel and to assume such legal defence and
otherwise to participate in the defence of any such action, with the expenses
and fees of such separate counsel and other expenses related to such
participation to be reimbursed by the indemnifying party as incurred. No
indemnifying party shall be liable for any settlement entered into with its
consent, which consent shall not be unreasonably withheld or delayed.

12C.4          If at any time the Issuer is required to file reports in
compliance with either section 13 or section 15(d) of the Exchange Act, the
Issuer will (a) file reports in compliance with the Exchange Act and (b) comply
with all rules and regulations of the SEC applicable to the use of Rule 144.

13.            TERMINATION

13.1           The Agent may terminate its obligations under this Agreement by
notice in writing to the Issuer at any time before the Closing if:

        (a)    an adverse Material Change, or an adverse change in a Material
               Fact relating to any of the Securities, occurs or is announced by
               the Issuer;

        (b)    there is an event or accident, or enactment of a governmental law
               or regulation, or other occurrence of any nature which, in the
               opinion of the Agent, seriously affects or will seriously affect
               the financial markets, or the business of the Issuer or its
               Subsidiary or the ability of the Agent to perform its obligations
               under this Agreement, or a Purchaser's decision to purchase the
               Special Warrants;

        (c)    following a consideration of the history, business, products,
               property or affairs of the Issuer or its principals and
               promoters, or of the state of the financial markets in general,
               or the state of the market for the Issuer's securities in
               particular, the Agent determines, in its sole discretion, that it
               is not in the interest of the Purchasers to complete the purchase
               and sale of the Special Warrants;

        (d)    the Securities cannot, in the opinion of the Agent, be marketed
               due to the state of the financial markets, or the market for the
               Special Warrants in particular;

<PAGE>

        (e)    an enquiry or investigation (whether formal or informal) in
               relation to the Issuer, or the Issuer's directors, officers or
               promoters, is commenced or threatened by an officer or official
               of any competent authority;

        (f)    any order to cease, halt or suspend trading (including an order
               prohibiting communications with persons in order to obtain
               expressions of interest) in the securities of the Issuer
               prohibiting or restricting the Private Placement is made by a
               competent regulatory authority and that order is still in effect;

        (g)    the Issuer is in breach of any material term of this Agreement;
               or

        (h)    the Agent determines that any of the representations or
               warranties made by the Issuer in this Agreement was false at the
               date of this Agreement or has become false without the Issuer
               providing updated information satisfactory to the Agent acting in
               its sole discretion.

13.2           The Agent's obligations hereunder will terminate if the Closing
does not take place within 90 days of the reference date of this Agreement,
unless otherwise agreed in writing by the Agent and the Issuer.

14.            WARRANTIES, REPRESENTATIONS AND COVENANTS

14.1           The Issuer warrants and represents to and covenants with the
Agent that:

        (a)    the Issuer is a valid and subsisting company duly incorporated
               and in good standing under the laws of Delaware, and the
               Subsidiary is a valid and subsisting corporation duly
               incorporated under the laws of its jurisdiction of incorporation;

        (b)    the Issuer and its Subsidiary each hold all material licences and
               permits that are required for carrying on their respective
               businesses in the manner and in the jurisdictions in which such
               businesses are presently being carried on;

        (c)    the Issuer and its Subsidiary each have the corporate power and
               capacity to own their assets and to carry on the business
               presently carried on by them;

        (d)    the Issuer owns no equity interest in any body corporate or other
               legal entity whatsoever except a 100% interest in the Subsidiary;

        (e)    the authorized and issued capital of the Issuer consists of the
               number of common shares disclosed in the Public Record subject
               only to the issuance of up to 7,400,000 additional shares on the
               exercise of options pursuant to the stock option plan of the
               Issuer disclosed in the Public Record and up to 1,100,000
               additional shares on the exercise of currently outstanding
               warrants disclosed in the Public Record and the potential
               issuance of shares pursuant to a consulting contract with Bogart
               Delafield Ferrier, LLC, dated June 14, 2001 (the "BDF Contract"),
               and all of the shares shown in the Public Record as issued are
               issued and outstanding as fully paid and non-assessable as at the
               date hereof;

        (f)    the Issuer will reserve or set aside sufficient shares in its
               treasury to issue the Shares and the Warrant Shares, the Agent's
               Shares and the Agent's Warrant Shares and they will, when issued,
               be duly and validly issued as fully paid and non-assessable;

        (g)    the Issuer will use its commercially reasonable efforts to file
               all documents and take all action necessary to have the Shares
               and the Warrant Shares, the Agent's Shares and the Agent's
               Warrant Shares listed for trading on the Exchanges upon
               conversion of the Special Warrants and Agent's Series "A" Special
               Warrants, or exercise of the Warrants or Agent's Warrants, as the
               case may be, or as soon thereafter as is commercially reasonable;

        (h)    the minute books of the Issuer contain all records of the
               proceedings of the meetings of the Issuer's directors,
               shareholders and committees of directors since incorporation;

<PAGE>

        (i)    the minute book of its Subsidiary contains all records of the
               proceedings of the meetings of its Subsidiary's directors,
               shareholders and committees of directors since its date of
               incorporation;

        (j)    the Issuer is the beneficial owner of the material businesses and
               assets or the interests in the businesses and assets referred to
               in the Public Record as being owned by the Issuer or its
               Subsidiary, and all agreements by which the Issuer or a
               Subsidiary holds or may earn an interest in such businesses or
               assets are in good standing according to their terms;

        (k)    the Public Record, taken as a whole, is true and complete in all
               material respects and each document included in the Public Record
               was prepared in accordance with the securities legislation
               applicable thereto and was true and correct and contained no
               Misrepresentation as at the date thereof;

        (l)    the Issuer is a "reporting issuer" under the securities
               legislation of each of the provinces of British Columbia and
               Ontario and is a "reporting company" under the Exchange Act and
               is not in material default of any of the requirements thereof or
               the regulation and rules made thereunder;

        (m)    the Issuer has filed no material change reports on a confidential
               basis with the Commissions which remain confidential;

        (n)    the Issuer's outstanding common shares are listed, posted and
               called for trading on the Exchanges, and the Issuer is not in
               material breach of its listing agreement with the Exchanges;

        (o)    the audited financial statements of the Issuer for its fiscal
               year ended March 31, 2001 (the "Audited Financial Statements)
               have been prepared in accordance with Canadian generally accepted
               accounting principles (with a reconciliation to United States
               generally accepted accounting principles), and accurately reflect
               the financial position and all material liabilities (accrued,
               absolute, contingent or otherwise) of the Issuer on a
               consolidated basis as at the date thereof;

        (p)    the unaudited financial statements of the Issuer for the three
               month period ended June 30, 2001 and the six month period ended
               September 30, 2001 (the "Interim Financial Statements") have been
               prepared in accordance with United States generally accepted
               accounting principles, and accurately reflect the financial
               position and all material liabilities (accrued, absolute,
               contingent or otherwise) of the Issuer on a consolidated basis as
               at the date thereof

        (q)    there have been no adverse Material Changes in the financial
               position of the Issuer since the date of the Audited Financial
               Statements, except as recorded in the books of the Issuer and
               fully and plainly disclosed in the Public Record;

        (r)    since the date of the Audited Financial Statements, there has
               been no damage, loss or other change of any kind whatsoever in
               circumstances materially affecting the business or assets of the
               Issuer or its Subsidiary, or the right or capacity of the Issuer
               or its Subsidiary to carry on its business;

        (s)    no financial statements of the Issuer are available as at any
               date or for any period subsequent to the Interim Financial
               Statements;

        (t)    all of the material transactions of the Issuer and its Subsidiary
               have been promptly and properly recorded or filed in or with the
               books or records of the Issuer or its Subsidiary;

        (u)    all of the material contracts of the Issuer and its Subsidiary
               are described in the Public Record and are in good standing in
               all material respects, and neither the Issuer nor its Subsidiary
               is in default in any material respect thereof, and the Issuer is
               not aware of any default in any material respect by any other
               party to such contracts;

        (v)    the Issuer has complied and will comply fully with the
               requirements of all applicable corporate and securities laws,
               including, without limitation, the Applicable Legislation, and
               all applicable Delaware corporate legislation in relation to the
               issue of the Securities, and in all matters relating to the
               Private Placement;

<PAGE>

        (w)    the issue and sale of the Securities by the Issuer does not and
               will not conflict with, and does not and will not result in a
               breach of, any of the terms of its incorporating documents or any
               agreement or instrument to which the Issuer is a party;

        (x)    neither the Issuer nor its Subsidiary is party to any actions,
               suits, proceedings or arbitrations which could materially affect
               the business or financial condition of the Issuer, taken as a
               whole, and, to the best of the knowledge of the Issuer, no such
               actions, suits, proceedings or arbitrations are contemplated or
               have been threatened;

        (y)    there are no judgments against the Issuer or its Subsidiary which
               are unsatisfied, nor are there any consent decrees or injunctions
               to which the Issuer or its Subsidiary is subject;

        (z)    to the best of the Issuer's knowledge, neither the Issuer nor its
               Subsidiary is in breach of any law, ordinance, statute,
               regulation, bylaw, order or decree of any kind whatsoever which
               breach would have a material adverse effect on the financial
               position, business or prospects of the Issuer on a consolidated
               basis;

        (aa)   this Agreement has been duly authorized by all necessary
               corporate action on the part of the Issuer and the Issuer has
               full corporate power and authority to undertake the Private
               Placement;

        (bb)   there is not presently, and will not be until the Closing and the
               Qualification Date, any Material Change relating to the Issuer
               which has not been or will not be fully disclosed in the Public
               Record, in accordance with Applicable Legislation;

        (cc)   no order ceasing, halting or suspending trading in securities of
               the Issuer or prohibiting the sale of such securities has been
               issued to and is outstanding against the Issuer or, to the best
               of the knowledge of the Issuer, its directors, officers or
               promoters and, to the best of the knowledge of the Issuer, no
               investigations or proceedings for such purposes are pending or
               threatened;

        (dd)   except as disclosed in the Public Record and otherwise than
               pursuant to the Issuer's stock option plan and the BDF Contract,
               no person has any right, agreement or option, present or future,
               contingent or absolute, or any right capable of becoming such a
               right, agreement or option, for the issue or allotment of any
               shares in the capital of the Issuer or any other security
               convertible into or exchangeable for any such shares, or to
               require the Issuer to purchase, redeem or otherwise acquire any
               of the issued and outstanding shares in its capital;

        (ee)   the Issuer and its Subsidiary has filed all federal, provincial,
               local and foreign tax returns which are required to be filed, or
               has requested extensions thereof, and has paid all taxes required
               to be paid and any other assessment, fine or penalty levied
               against it, to the extent that any of the foregoing is due and
               payable, except for such assessments, fines and penalties which
               are currently being contested in good faith;

        (ff)   the Issuer and its Subsidiary has established on its books and
               records reserves which are adequate for the payment of all taxes
               not yet due and payable and there are no liens for taxes on the
               assets of the Issuer or its Subsidiary except for taxes not yet
               due, and there are no audits of any of the tax returns of the
               Issuer or its Subsidiary which are known by the Issuer's
               management to be pending, and there are no claims which have been
               or may be asserted relating to any such tax returns which, if
               determined adversely, would result in the assertion by any
               governmental agency of any deficiency which would have a material
               adverse effect on the properties, business or assets of the
               Issuer on a consolidated basis;

        (gg)   this Agreement will be upon execution and delivery by the Issuer,
               a legal, valid and binding agreement of the Issuer, enforceable
               against the Issuer in accordance with its terms, subject only to
               customary qualifications regarding creditors' rights and the
               availability of equitable remedies;

        (hh)   the Issuer or its Subsidiary own or are entitled to use all
               material patents, trademarks, service marks, trade names,
               copyrights, trade secrets, information, proprietary rights and
               processes necessary for the

<PAGE>

               business of the Issuer and its Subsidiary as now conducted and as
               proposed to be conducted and, to the best of the knowledge of the
               Issuer and its Subsidiary, without any conflict with or
               infringement of the rights of others;

        (ii)   neither the Issuer nor its Subsidiary has received any
               communication alleging that the Issuer or any Subsidiary has
               violated or, by conducting its business as proposed would violate
               any of the patents, trademarks, service marks, trade names,
               copyrights, or trade secrets or other proprietary rights of any
               other person or entity;

        (jj)   to the best of the Issuer's knowledge, neither the execution or
               delivery of this Agreement, the carrying on of the businesses of
               the Issuer and its Subsidiary, nor the conduct of the businesses
               of the Issuer or its Subsidiary by their respective employees
               will conflict with or result in a breach or default of any of the
               material terms of any contract, covenant or instrument under
               which any of such employees are bound; and

        (kk)   apart from the Agent, no person, firm or corporation acting or
               purporting to act at the request of the Issuer is entitled to any
               brokerage, agency or finder's fee in connection with the
               transactions described herein.

14.2           The representations and warranties of the Issuer contained herein
will be true and correct at the Closing and, except where the Issuer has
provided updated information satisfactory to the Agent acting in its sole
discretion, as of the Qualification Date, and, if that is not the case, then the
Agent will be entitled for a period of one year following the Closing to seek
remedy against the Issuer for any such misrepresentation or breach of warranty,
and no investigation by or on behalf of the Agent or the Purchasers will
diminish in any respect their rights to rely on such representations and
warranties.

14.3           The Agent warrants and represents to and covenants with the
Issuer that:

        (a)    it is a valid and subsisting corporation under the law of the
               jurisdiction in which it was incorporated;

        (b)    it will sell the Special Warrants in compliance with the
               Applicable Legislation;

        (c)    it will execute and deliver a Subscription Agreement, in one of
               the forms attached as Schedule "A", for any Special Warrants that
               it is required to purchase under this Agreement; and

        (d)    if it or any of its subsidiaries transfers any Special Warrants,
               Agent's Series "A" Special Warrants, Agent's Series "B" Special
               Warrants or Agent's Warrants it has purchased or received from
               the Issuer, or any Shares, Agent's Shares or Agent's Warrant
               Shares issuable upon exercise of the Special Warrants or the
               Agent's Warrants to third parties, it will obtain any further
               acknowledgements, representations, warranties, or certifications
               from the Purchasers as required by the Applicable Legislation,
               and will fulfil any filing or reporting obligations in respect of
               the transfers in accordance with the Applicable Legislation and
               Exchange Policies.

14.4           In connection with all sales of the Securities, the Agent
warrants and represents to and covenants with the Issuer that:

        (a)    it acknowledges that the Securities have not been registered
               under the U.S. Securities Act and may be transferred or sold only
               in accordance with the Exemptions;

        (b)    it has not entered and will not enter into any contractual
               arrangement with respect to the distribution of the Securities,
               except with its affiliates, any selling group members or with the
               prior written consent of the Issuer;

        (c)    all offers and sales of the Securities in the United States will
               be effected by Canaccord Capital Corporation (USA), Inc. (the
               "Placement Agent") in accordance with all applicable U.S.
               broker-dealer requirements;

<PAGE>

        (d)    all sales to residents of Alberta, Ontario or British Columbia,
               as applicable, will be effected by the Agent in accordance with
               all applicable Alberta, Ontario and British Columbia registration
               requirements and will be made in strict compliance with, in the
               case of residents of Alberta, sections 65(1)(e) and 107(1)(d) of
               the Securities Act (Alberta), in the case of residents of British
               Columbia, sections 45(1)(5) and 74(2)(4) of the Securities Act
               (B.C.) and, in the case of residents of Ontario, sections
               35(1)(5) and 72(1)(d) of the Securities Act (Ontario);

        (e)    other than the written documents prepared and agreed upon by the
               parties hereto in connection with this Private Placement
               transaction, no written material will be used or distributed in
               connection with the offer or sale of the Securities in the United
               States;

        (f)    all transfers or sales of the Securities in the United States
               will be made only to parties who, prior to such transfer or sale,
               represent and warrant in writing that they are an Institutional
               "Accredited Investor" as such term is defined in Rule 501 under
               the U.S. Securities Act;

        (g)    no form of General Solicitation or General Advertising will be
               used, including advertisements, articles, notices or other
               communications published in any newspaper, magazine or similar
               media or broadcast over radio or television, or other form of
               telecommunications, including electronic display, or any seminar
               or meeting whose attendees had been invited by general
               solicitation or general advertising, in connection with the offer
               or sale of the Securities;

        (h)    prior to any sale of Securities, it shall cause each purchaser
               thereof to give to the Issuer those representations, warranties
               and agreements as are contained in the Certification for
               Securities Law Compliance attached hereto as part of Schedule
               "A".

15.            EXPENSES OF AGENT

15.1           The Issuer will pay all of the expenses of the Private Placement
and all the expenses reasonably incurred by the Agent or Canaccord Europe in
connection with the Private Placement, the Prospectus and the Registration
Statement including, without limitation, the fees and expenses of the solicitors
for the Agent and Canaccord Europe (who need not be the same person or firm) for
which an invoice for such fees and receipts for such expenses have been provided
to the Issuer.

15.2           The Issuer will pay the expenses referred to in the previous
Subsection even if the transactions contemplated by this Agreement are not
completed or this Agreement is terminated, unless the failure of acceptance or
completion or the termination is the result of a breach of this Agreement by the
Agent.

15.3           The Agent may, from time to time, render accounts for their
respective expenses in connection with the Private Placement, the Prospectus and
the Registration Statement to the Issuer for payment on or before the dates set
out in the accounts.

15.4           The Issuer authorizes the Agent to deduct its expenses in
connection with the Private Placement from the gross proceeds of the Private
Placement and any advance payments made by the Issuer, including expenses for
which an account has not yet been rendered but for which a reasonable estimate
has been provided by the Agent to the Issuer.

16.            GARNISHING ORDERS

16.1           If at any time, up to and including the Closing, the Agent
receives a garnishing order or other form of attachment purporting to attach or
garnish a part or all of the sale price of the Special Warrants, the Agent will
be free to pay the amount purportedly attached or garnished into court.

16.2           Any payment by the Agent into court pursuant to a garnishing
order will be deemed to have been received by the Issuer as payment by the Agent
against the sale price of the Securities to the extent of the amount paid, and
the Issuer will be bound to issue and deliver the Securities proportionately to
the amount paid by the Agent.

<PAGE>

16.3           The Agent will not be bound to ascertain the validity of any
garnishing order or attachment, or whether in fact it attaches any moneys held
by the Agent, and the Agent will be free to act with impunity in replying to any
garnishing order or attachment.

16.4           The Issuer will release, indemnify and save harmless the Agent in
respect of all damages, costs, expenses or liability arising from any acts of
the Agent under this Section.

17.            INDEMNITY

17.1           The Issuer will indemnify the Agent and Canaccord Europe and
their agents, directors, officers, employees, affiliates (as that term is
defined in the U.S. Securities Act) and shareholders (individually, an
"Indemnified Party" and collectively, the "Indemnified Parties") and save them
harmless against all losses, claims, damages or liabilities:

        (a)    existing by reason of an untrue statement contained in the Public
               Record, one of the subscription agreements attached as Schedule
               "A" or in another form approved by the Issuer or other written or
               oral representation made by the Issuer to a Purchaser or
               potential Purchaser in connection with the Private Placement, the
               Prospectus and the Registration Statement, or by reason of the
               omission to state any fact necessary to make such statements or
               representations not misleading (except for information and
               statements supplied by and relating solely to the Agent or
               Canaccord Europe);

        (b)    arising directly or indirectly out of any order made by any
               regulatory authority based upon an allegation that any such
               untrue statement or representation, or omission exists (except
               information and statements supplied by and relating solely to the
               Agent or Canaccord Europe), that trading in or distribution of
               any of the Securities is to cease;

        (c)    resulting from the failure by the Issuer to obtain the requisite
               regulatory approval for the Private Placement, the Prospectus and
               the Registration Statement unless the failure to obtain such
               approval is the result of a breach of this Agreement by the
               Agent;

        (d)    resulting from the breach by the Issuer of any of the terms of
               this Agreement;

        (e)    resulting from any representation or warranty made by the Issuer
               herein being untrue or ceasing to be true;

        (f)    subject to Subsection 8.2, if the Issuer fails to issue and
               deliver the certificates representing the Special Warrants in the
               form and denominations satisfactory to the Agent at the time and
               place required by the Agent with the result that any completion
               of a sale of the Special Warrants does not take place; or

        (g)    if, following the completion of a sale of any of the Special
               Warrants, a determination is made by any competent authority
               setting aside the sale or issuance, unless that determination
               arises out of an act or omission or a breach of this Agreement by
               the Agent.

17.2           If any action or claim is brought against an Indemnified Party in
respect of which indemnity may be sought from the Issuer pursuant to this
Agreement, the Indemnified Party will promptly notify the Issuer in writing of
the nature of such action or claim.

17.3           The Issuer will assume the defence of the action or claim,
including the employment of counsel and the payment of all expenses.

17.4           The Indemnified Party will have the right to employ separate
counsel, and the Issuer will pay the reasonable fees and expenses of such
counsel.

17.5           The indemnity provided for in this Section will not be limited or
otherwise affected by any other indemnity obtained by the Indemnified Party from
any other person in respect of any matters specified in this

<PAGE>

Agreement and will continue in full force and effect until all possible
liability of the Indemnified Parties arising out of the transactions
contemplated by this Agreement has been extinguished by the operation of law.

17.6           If indemnification under this Agreement is found in a final
judgment (not subject to further appeal) by a court of competent jurisdiction
not to be available for reason of public policy, the Issuer and the Indemnified
Parties will contribute to the losses, claims, damages, liabilities or expenses
(or actions in respect thereof) for which such indemnification is held
unavailable in such proportion as is appropriate to reflect the relative
benefits to and fault of the Issuer, on the one hand, and the Indemnified
Parties on the other hand, in connection with the matter giving rise to such
losses, claims, damages, liabilities or expenses (or actions in respect
thereof). No person found liable for a fraudulent Misrepresentation will be
entitled to contribution from any person who is not found liable for such
fraudulent Misrepresentation.

17.7           To the extent that any Indemnified Party is not a party to this
Agreement, the Agent will obtain and hold the right and benefit of this Section
in trust for and on behalf of such Indemnified Party.

17.8           The indemnity provided herein replaces and supersedes the
indemnity provided by the Issuer pursuant to the letter from Canaccord Europe to
the Issuer dated July 25, 2001, and captioned "Proposed Financing".

17.9           The Agent will indemnify the Issuer and save it harmless against
all losses, claims, damages or liabilities arising from the breach by the Agent
of any of the terms of this Agreement.

18.            ASSIGNMENT AND SELLING GROUP PARTICIPATION

18.1           The Agent will not assign this Agreement or any of its rights
under this Agreement or, with respect to the Securities, enter into any
agreement in the nature of an option or a sub-option unless and until, for each
intended transaction, the Agent has obtained the consent of the Issuer, and any
required notice has been given to and accepted by the Regulatory Authorities.

18.2           The Agent may offer selling group participation in the normal
course of the brokerage business to selling groups of other dealers, brokers and
investment dealers, who may or who may not be offered part of the Agent's Fee.
The Agent will ensure that there is a restriction in any subagency or selling
group agreements requiring subagents or selling group members not to offer
securities to residents of Alberta, Ontario or British Columbia, as applicable,
except in strict compliance with, in the case of residents of Alberta, sections
65(1)(e) and 107(1)(d) of the Securities Act (Alberta), in the case of residents
of British Columbia, sections 45(1)(5) and 74(2)(4) of the Securities Act (B.C.)
and, in the case of residents of Ontario, sections 35(1)(5) and 72(1)(d) of the
Securities Act (Ontario).

19.            RIGHT OF FIRST REFUSAL

19.1           The Issuer will grant Canaccord Europe a right of first refusal
to act as co-manager on any issuance of shares from treasury, except for shares
issued pursuant to securities issued under the Private Placement, shares issued
pursuant to incentive stock options, currently outstanding share purchase
warrants or the BDF Contract, for the purposes of a public or private offering
for a period of one year after the Closing, and shall provide Canaccord Europe
with notice in respect of any such offering.

19.2           The right of first refusal must be exercised by Canaccord Europe
within 15 days following the receipt of the notice by notifying the Issuer that
it will act as co-manager on the issuance of shares from treasury for the
purposes of a public or private offering on the terms set out in the notice.

19.3           If Canaccord Europe fails to give notice within the 15 days that
it will act as co-manager upon the terms set out in the notice, the Issuer will
then be free to make other arrangements to obtain financing from another source
or work with another party as co-manager on the same terms or on terms no less
favourable to the Issuer, subject to obtaining the acceptance of the Regulatory
Authorities.

19.4           The right of first refusal will not terminate if, on receipt of
any notice from the Issuer under this Section, Canaccord Europe fails to
exercise the right.

<PAGE>

19.5           This right of first refusal supersedes and replaces any prior
right of first refusal agreement, either written or oral, including but not
limited to the right of first refusal granted to the Agent under the Agency
Agreement between the Issuer and the Agent, as applicable, dated January 11,
2001.

20.            NOTICE

20.1           Any notice under this Agreement will be given in writing and must
be delivered, sent by facsimile transmission addressed to the party to which
notice is to be given at the address indicated above, or at another address
designated by the party in writing.

20.2           If notice is sent by facsimile transmission or is delivered, it
will be deemed to have been given at the time of transmission or delivery, or if
not a business day, the next business day.

21.            ENGAGEMENT LETTER

The parties to this Agreement acknowledge that this Agreement and the documents
referred to herein contain the entire agreement between the parties with respect
to the subject matter contained herein and supersedes and replaces all other
agreements, written or oral, including but not limited to the letter from
Canaccord Europe to the Issuer dated July 25, 2001, and captioned "Proposed
Financing".

22.            TIME

Time is of the essence of this Agreement and will be calculated in accordance
with the provisions of the Interpretation Act (British Columbia).

23.            LANGUAGE

This Agreement is to be read with all changes in gender or number as required by
the context.

24.            ENUREMENT

This Agreement enures to the benefit of and is binding on the parties to this
Agreement and their successors and permitted assigns.

25.            HEADINGS

The headings in this Agreement are for convenience of reference only and do not
affect the interpretation of this Agreement.

26.            COUNTERPARTS

This Agreement may be executed in two or more counterparts and may be delivered
by facsimile transmission. Each counterpart will be deemed to be an original and
all counterparts will constitute one agreement, effective as of the reference
date given above.

<PAGE>

27.            LAW

This Agreement is governed by the internal laws of British Columbia (without
reference to its rules governing the choice or conflict of laws), and the
parties hereto irrevocably attorn and submit to the exclusive jurisdiction of
the courts of British Columbia with respect to any dispute related to this
Agreement.

This document was executed and delivered as of the date given above:

Executed by an authorized                   )
signatory of GENETRONICS BIOMEDICAL         )
CORPORATION                                 )
in the presence of:                         )
                                            )
                                            )
Jan Urata                                   )
---------------------------------------     )
Name                                        )   GENETRONICS BIOMEDICAL
                                            )   CORPORATION
                                            )
1400 - 1055 West Hastings Street            )
---------------------------------------     )
Address                                     )   By:       /s/Jim Heppell
                                            )      -----------------------------
                                            )
Vancouver, BC  V6E 2E9                      )
---------------------------------------     )
                                            )
                                            )
Legal Assistant                             )
---------------------------------------     )
Occupation                                  )
                                            )
                                            )
Executed by an authorized                   )
signatory of CANACCORD CAPITAL              )
CORPORATION                                 )
in the presence of:                         )
                                            )
                                            )
Glenda Chin                                 )
---------------------------------------     )
Name                                        )   CANACCORD CAPITAL CORPORATION
)                                           )
c/o Canaccord Capital Corporation           )
---------------------------------------     )
Address                                     )   By:   /s/ Michael G. Greenwood
                                            )       ----------------------------
                                            )
2200 - 609 Granville Street                 )
---------------------------------------     )
                                            )   By:   /s/David J. Horton
                                            )      -----------------------------
                                            )
Vancouver, BC  V7Y 1H2                      )
---------------------------------------     )
Occupation                                  )

<PAGE>

                                  SCHEDULE "A"

                    PRIVATE PLACEMENT SUBSCRIPTION AGREEMENTS

                            INSTRUCTIONS TO PURCHASER

   1.   Complete all the information in the boxes on page 1 and sign where
        indicated with an "X".

   2.   Complete the certification that starts on page 5 and sign where
        indicated with an "X" on page 7.

   3.   Complete the Toronto Stock Exchange private placement questionnaire and
        undertaking that starts on page 10 and sign where indicated with an "X"
        on page 11.

   4.   If you an individual, complete and sign the Form 45-903F1 that starts on
        page 8.

<PAGE>

 THIS IS PAGE 1 OF 19 PAGES OF A SUBSCRIPTION AGREEMENT AND RELATED APPENDIXES,
          SCHEDULES AND FORMS. COLLECTIVELY, THESE PAGES TOGETHER ARE
                  REFERRED TO AS THE "SUBSCRIPTION AGREEMENT".

                    PRIVATE PLACEMENT SUBSCRIPTION AGREEMENT
                 (BRITISH COLUMBIA $97,000 MINIMUM SUBSCRIPTION)

TO:   GENETRONICS BIOMEDICAL CORPORATION (the "Issuer"),
      San Diego, California, U.S.A.

Subject and pursuant to the terms set out in the Terms on pages 2 to 4, the
General Provisions on pages 1 to 8 and the other schedules and appendixes
incorporated by reference, the undersigned (the "Purchaser") hereby irrevocably
subscribes for, and on Closing will purchase from the Issuer, the following
securities at the following price:

================================================================================

  ___________________________________________________________ Special Warrants

  USD 0.45 per Special Warrant for a total purchase price of USD _____________

  The Purchaser holds the following securities of the Issuer:

  ____________________________________________________________________________

================================================================================

The Purchaser directs the Issuer to issue, register and deliver the certificates
representing the Purchased Securities as follows:

--------------------------------------------------------------------------------

<TABLE>
------------------------------------------------------------------------------------------
<S>                                               <C>
REGISTRATION INSTRUCTIONS:                        DELIVERY INSTRUCTIONS:

_________________________________________         _________________________________________
Name to appear on certificate                     Name and account reference, if applicable

_________________________________________         _________________________________________
Account reference, if applicable                  Contact name

_________________________________________         _________________________________________
Address                                           Address

_________________________________________         _________________________________________
                                                  Telephone number

------------------------------------------------------------------------------------------

  EXECUTED BY THE PURCHASER THIS _______ DAY OF _____________, 2001.

------------------------------------------------------------------------------------------

WITNESS:                                          EXECUTION BY PURCHASER:

_________________________________________         X __________________________________________
Signature of witness                              Signature of individual (if Purchaser IS an
                                                  individual)
_________________________________________         X __________________________________________
Name of witness                                   Authorized signatory (if Purchaser is NOT an
                                                  individual)

_________________________________________         ____________________________________________
Address of witness                                Name of Purchaser (PLEASE PRINT)

_________________________________________         ____________________________________________
                                                  Name of authorized signatory (PLEASE PRINT)

ACCEPTED this ___ day of _________, 2001.
                                                  ____________________________________________
GENETRONICS BIOMEDICAL CORPORATION                Address of Purchaser (residence if an
Per:                                              individual)

_________________________________________
Authorized signatory

------------------------------------------------------------------------------------------
</TABLE>

By signing this acceptance, the Issuer agrees to be bound by the Terms on pages
2 to 4, the General Provisions on pages 1 to 8 and the other schedules and
appendixes incorporated by reference.

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,              PAGE 2 OF 19 PAGES
SCHEDULES AND FORMS)

                                      TERMS

THE REFERENCE DATE OF THIS         November 1, 2001
AGREEMENT (THE "AGREEMENT DATE")

                                   THE OFFERING

<TABLE>
<S>                                <C>
THE ISSUER                         Genetronics Biomedical Corporation

THE AGENT                          Canaccord Capital Corporation (which,
                                   together with any sub-agents, is referred to
                                   as the "Agent") has agreed to purchase the
                                   Special Warrants of the Issuer that are not
                                   sold to purchasers upon the terms and
                                   conditions of an agency agreement dated for
                                   reference the Agreement Date (the "Agency
                                   Agreement").

THE "OFFERING"                     The offering consists of an aggregate of
                                   5,212,494 non-transferable (except by the
                                   Agent to transferees in accordance with the
                                   Applicable Legislation) special warrants (the
                                   "Special Warrants") at USD 0.45 per Special
                                   Warrant for proceeds of USD 2,345,622.30.
                                   Each Special Warrant is exercisable without
                                   additional payment to acquire one common
                                   share (the "Shares") and one half share
                                   purchase warrant (the "Warrants"). Each whole
                                   Warrant may be exercised within 18 months
                                   from the date of issuance to acquire one
                                   common share of the Issuer (the "Warrant
                                   Shares") at a price of USD 0.75 per share.

PROSPECTUS AND CONVERSION RATE     The Issuer will use its commercially
INCREASE                           reasonable efforts to ensure that the Special
                                   Warrants and the underlying Shares and
                                   Warrant Shares will be qualified by a
                                   prospectus in Canada (the "Prospectus") and
                                   the resale of the Shares and Warrant Shares
                                   by the initial purchasers of the Special
                                   Warrants will be the subject of a
                                   registration statement in the U.S. (the
                                   "Registration Statement") (the day on which
                                   final receipt for the Prospectus is received
                                   by the Issuer and on which the Registration
                                   Statement becomes effective or, if different,
                                   the later of such dates, being the
                                   "Qualification Date"). The Issuer will use
                                   its commercially reasonable efforts to have
                                   the Qualification Date occur within 90 days
                                   of the closing (the "Closing") of this
                                   Offering. If the Qualification Date does not
                                   occur within 90 days of Closing and if the
                                   Purchaser has provided to the Issuer all of
                                   the information required of them by the
                                   Issuer to permit the Issuer to file the
                                   Registration Statement, the Purchaser will
                                   receive a refund of 20% of the total purchase
                                   price paid for the Special Warrants.

ADDITIONAL PROVISIONS IN RESPECT   Each Special Warrant may be exercised by the
OF THE SPECIAL WARRANTS            Purchasers in whole or in part at any time
                                   after each Closing. If, however, the Special
                                   Warrants are exercised prior to the day on
                                   which a final receipt for the Prospectus is
                                   received by the Issuer, the Shares and
                                   Warrant Shares underlying the Special
                                   Warrants and Warrants, respectively, may not
                                   be traded in British Columbia for a period of
                                   six months from Closing and may not be traded
                                   in Ontario for a period of one year from
                                   Closing. If the Special Warrants are
                                   exercised prior to the day on which the
                                   Registration Statement becomes effective, the
                                   Shares and Warrant Shares underlying the
                                   Special Warrants will be subject to
                                   restrictions on trading under the U.S.
                                   Securities Act until at least one year from
                                   Closing.

                                   All unexercised Special Warrants will be
                                   deemed to be exercised on that day which is
                                   the fifth business day after the day on which
                                   final receipt for the Prospectus is received
                                   by the Issuer.
</TABLE>

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,              PAGE 3 OF 19 PAGES
SCHEDULES AND FORMS)

<TABLE>
<S>                                <C>
PURCHASED SECURITIES               The "Purchased Securities" are Special
                                   Warrants convertible into one common share
                                   and one-half share purchase warrant.

TOTAL AMOUNT                       5,212,494 Special Warrants.

PRICE                              USD 0.45 for total proceeds of USD
                                   2,345,622.30.

WARRANTS                           Subject to the Applicable Legislation and the
                                   rules and policies of the Toronto Stock
                                   Exchange and the American Stock Exchange, the
                                   Warrants will be non-transferable.

                                   The certificates representing the Warrants
                                   will contain, among other things, the
                                   complete provisions concerning the exercise
                                   of the Warrants and provisions for the
                                   appropriate adjustment in the class and
                                   number of the Warrant Shares issued upon
                                   conversion of the Warrants upon the
                                   occurrence of certain events, including any
                                   subdivision, consolidation or
                                   reclassification of the common shares of the
                                   Issuer, the payment of stock dividends and
                                   the merger of the Issuer.

                                   The Warrants will not restrict or prevent the
                                   Issuer from obtaining any other financing, or
                                   from issuing additional securities or rights.

SELLING JURISDICTIONS              The United States, British Columbia, Ontario
                                   and certain offshore jurisdictions outside of
                                   Canada and the United States.

"CLOSING DATE"                     November 23, 2001, or at such other date as
                                   agreed by the Issuer and the Agent.

LEGENDS                            The certificates representing the Securities
                                   will be endorsed with only the following
                                   legends:

                                   THE SECURITIES REPRESENTED BY THIS
                                   CERTIFICATE ARE SUBJECT TO A HOLD PERIOD AND
                                   MAY NOT BE TRADED IN BRITISH COLUMBIA UNTIL
                                   12:01 A.M. ON [DATE SIX MONTHS AND ONE DAY
                                   FROM CLOSING] OR IN ONTARIO UNTIL 12:01 A.M.
                                   ON [IN THE CASE OF THE SPECIAL WARRANTS AND
                                   WARRANTS, DATE 18 MONTHS AND ONE DAY FROM
                                   CLOSING AND, IN THE CASE OF THE UNDERLYING
                                   SHARES, DATE ONE YEAR AND ONE DAY FROM
                                   CLOSING] EXCEPT AS PERMITTED BY THE TORONTO
                                   STOCK EXCHANGE AND THE APPLICABLE SECURITIES
                                   LEGISLATION IN THOSE JURISDICTIONS.

                                   THE SECURITIES REPRESENTED HEREBY HAVE NOT
                                   BEEN REGISTERED UNDER THE U.S. SECURITIES ACT
                                   OF 1933, AS AMENDED (THE "U.S. SECURITIES
                                   ACT") OR UNDER ANY STATE SECURITIES LAWS. THE
                                   HOLDER HEREOF, BY
</TABLE>

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,              PAGE 4 OF 19 PAGES
SCHEDULES AND FORMS)

<TABLE>
<S>                                <C>
                                   PURCHASING SUCH SECURITIES, AGREES FOR THE
                                   BENEFIT OF THE CORPORATION THAT SUCH
                                   SECURITIES MAY BE OFFERED, SOLD OR OTHERWISE
                                   TRANSFERRED ONLY (A) TO THE CORPORATION, (B)
                                   PURSUANT TO AN EXEMPTION FROM REGISTRATION
                                   UNDER THE U.S. SECURITIES ACT PROVIDED BY
                                   RULE 144 THEREUNDER OR ANOTHER APPLICABLE
                                   EXEMPTION, OR (C) PURSUANT TO AN EFFECTIVE
                                   REGISTRATION STATEMENT. DELIVERY OF THIS
                                   CERTIFICATE MAY NOT CONSTITUTE "GOOD
                                   DELIVERY" IN SETTLEMENT OF TRANSACTIONS ON
                                   STOCK EXCHANGES IN CANADA.

                                          THE ISSUER

JURISDICTION OF ORGANIZATION       The Issuer is incorporated under the laws of
                                   Delaware.

AUTHORIZED AND OUTSTANDING         The authorized capital of the Issuer is
CAPITAL                            100,000,000 shares of common stock with a par
                                   value of $0.001 per share and 10,000,000
                                   shares of preferred stock with a par value of
                                   $0.01 per share. As of October 1, 2001, the
                                   issued capital of the Issuer is 33,759,968
                                   shares of common stock.

STOCK EXCHANGE LISTINGS            Shares of the Issuer are listed on the
                                   Toronto Stock Exchange (the "TSE") and the
                                   American Stock Exchange ("AMEX")

"SECURITIES LEGISLATION            The Securities Act (Ontario), R.S.O. 1990, c.
APPLICABLE TO THE ISSUER" OR       S.5, as amended (the "Ontario Act") (pursuant
"APPLICABLE LEGISLATION"           to which the Issuer is a "reporting issuer"),
                                   the Securities Act, R.S.B.C. 1996, c. 418, as
                                   amended (the "B.C. Act") (pursuant to which
                                   the Issuer is a "reporting issuer"), and the
                                   U.S. Securities Act of 1933, as amended (the
                                   "U.S. Securities Act") (to the extent that
                                   the U.S. Securities Act is applicable on the
                                   issuance of securities to U.S. Persons or to
                                   non-U.S. Persons under Regulation D, all of
                                   which terms are terms are defined below),
                                   together with the regulations and rules made
                                   and promulgated thereunder and all
                                   administrative policy statements, blanket
                                   orders and rulings, notices, and other
                                   administrative directions issued by the
                                   Commissions (as defined below), along with
                                   the rules and policies of the TSE (the "TSE
                                   Policies") and the rules and policies of the
                                   AMEX (the "AMEX Policies").

"APPLICABLE EXEMPTIONS"            The Offering is being made in accordance with
                                   the exemptions from, or the non-applicability
                                   of, the registration and prospectus
                                   requirements (the "Applicable Exemptions") of
                                   the Applicable Legislation as provided in an
                                   Interpretation Note regarding "offshore"
                                   distributions published by the Ontario
                                   Securities Commission, BCI 72-503 of the B.C.
                                   Securities Commission, sections 35(1)(5) and
                                   72(1)(d) of the Ontario Act, sections
                                   45(1)(5) and 74(2)(4) of the B.C. Act and
                                   Regulation D of the U.S. Securities Act.

                                  END OF TERMS
</TABLE>

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,              PAGE 5 OF 19 PAGES
SCHEDULES AND FORMS)

                CERTIFICATION FOR U.S. SECURITIES LAW COMPLIANCE

(Capitalized terms not specifically defined in this Certification have the
meaning ascribed to them in the Subscription Agreement to which this Schedule is
attached.)

In connection with the execution of the Subscription Agreement to which this
Schedule is attached, the Purchaser represents and warrants to the Issuer that:

  (a)   It has such knowledge and experience in financial and business matters
        as to be capable of evaluating the merits and risks of an investment in
        the Purchased Securities and it is able to bear the economic risk of
        loss of its entire investment.

  (b)   The Issuer has provided to it the opportunity to ask questions and
        receive answers concerning the terms and conditions of the Offering and
        it has had access to such information concerning the Issuer as it has
        considered necessary or appropriate in connection with its investment
        decision to acquire the Purchased Securities.

  (c)   It is acquiring the Purchased Securities for its own account, for
        investment purposes only and not with a view to any resale, distribution
        or other disposition of the Purchased Securities in violation of the
        United States securities laws.

  (d)   It understands the Purchased Securities have not been and will not be
        registered under the U.S. Securities Act of 1933, as amended (the "1933
        Act") or the securities laws of any state of the United States and that
        the sale contemplated hereby is being made in reliance on an exemption
        from such registration requirements. It further understands that, while
        the Issuer has agreed to use its best efforts to file a registration
        statement in respect of the Purchaser's resale of the Shares and the
        Warrant Shares (the "Registration Statement"), in compliance with the
        U.S. Securities Act with the United States Securities and Exchange
        Commission, and to have the Registration Statement declared effective,
        there can be no assurance the Issuer will be able to do so. It also
        understands that it will be required to furnish certain information
        about it and its holdings of the Issuer's shares as part of the
        information that will be included in the Registration Statement.

  (e)   It satisfies one or more of the categories indicated below (please
        initial the appropriate lines):

        ____ Category 1.     An organization described in Section 501(c)(3) of
                             the United States Internal Revenue Code, a
                             corporation, a Massachusetts or similar business
                             trust or partnership, not formed for the specific
                             purpose of acquiring the Purchased Securities, with
                             total assets in excess of USD 5,000,000;

        ____ Category 2.     A natural person whose individual net worth, or
                             joint net worth with that person's spouse, at the
                             date of this Certification exceeds USD 1,000,000;

        ____ Category 3.     A natural person who had an individual income in
                             excess of USD 200,000 in each of the two most
                             recent years or joint income with that person's
                             spouse in excess of USD 300,000 in each of those
                             years and has a reasonable expectation of reaching
                             the same income level in the current year;

        ____ Category 4.     A trust that (a) has total assets in excess of USD
                             5,000,000, (b) was not formed for the specific
                             purpose of acquiring the Purchased Securities and
                             (c) is directed in its purchases of securities by a
                             person who has such knowledge and experience in
                             financial and business matters that he/she is
                             capable of evaluating the merits and risks of an
                             investment in the Purchased Securities;

        ____ Category 5.     An investment company registered under the
                             Investment Company Act of 1940 or a business
                             development company as defined in Section 2(a)(48)
                             of that Act;

        ____ Category 6.     A Small Business Investment Company licensed by the
                             U.S. Small Business Administration under Section
                             301(c) or (d) of the Small Business Investment Act
                             of 1958;

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,              PAGE 6 OF 19 PAGES
SCHEDULES AND FORMS)

        ____ Category 7.     A private business development company as defined
                             in Section 202(a)(22) of the Investment Advisors
                             Act of 1940; or

        ____ Category 8.     An entity in which all of the equity owners satisfy
                             the requirements of one or more of the foregoing
                             categories.

  (f)   It has not purchased the Purchased Securities as a result of any form of
        general solicitation or general advertising, including advertisements,
        articles, notices or other communications published in any newspaper,
        magazine or similar media or broadcast over radio, or television, or
        other form of telecommunications, including electronic display, or any
        seminar or meeting whose attendees have been invited by general
        solicitation or general advertising.

  (g)   If it decides to offer, sell or otherwise transfer any of the Purchased
        Securities or the underlying Shares, Warrants or Warrant Shares, it will
        not offer, sell or otherwise transfer any of such securities directly or
        indirectly, unless:

         (i)   the sale is to the Issuer;

        (ii)   the sale is made outside the United States in a transaction
               meeting the requirements of Rule 904 of Regulation S under the
               U.S. Securities Act and in compliance with applicable local laws
               and regulations;

       (iii)   the sale is made pursuant to the exemption from the registration
               requirements under the U.S. Securities Act provided by Rule 144
               thereunder and in accordance with any applicable state securities
               or "blue sky" laws;

        (iv)   the Purchased Securities are sold in a transaction that does not
               require registration under the U.S. Securities Act or any
               applicable state laws and regulations governing the offer and
               sale of securities, and it has prior to such sale furnished to
               the Issuer an opinion of counsel reasonably satisfactory to the
               Issuer to the effect that such transaction does not require
               registration; or

        (v)    the sale is made pursuant to an effective registration statement
               filed under the U.S. Securities Act.

  (h)   The Purchased Securities and the underlying Shares, Warrants and Warrant
        Shares are "restricted securities" as that term is defined in the U.S.
        Securities Act, and the certificates representing the Purchased
        Securities and the Shares, Warrants and Warrant Shares issued upon
        conversion of the Purchased Securities, as well as all certificates
        issued in exchange for or in substitution of the foregoing, until such
        time as is no longer required under the applicable requirements of the
        U.S. Securities Act or applicable state securities laws, will bear, on
        the face of such certificate, a legend in substantially the following
        form:

               THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER
               THE U.S. SECURITIES ACT OF 1933, AS AMENDED (THE "U.S. SECURITIES
               ACT") OR UNDER ANY STATE SECURITIES LAWS. THE HOLDER HEREOF, BY
               PURCHASING SUCH SECURITIES, AGREES FOR THE BENEFIT OF THE
               CORPORATION THAT SUCH SECURITIES MAY BE OFFERED, SOLD OR
               OTHERWISE TRANSFERRED ONLY (A) TO THE CORPORATION, (B) PURSUANT
               TO AN EXEMPTION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT
               PROVIDED BY RULE 144 THEREUNDER OR ANOTHER APPLICABLE EXEMPTION,
               OR (C) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT. DELIVERY
               OF THIS CERTIFICATE MAY NOT CONSTITUTE "GOOD DELIVERY" IN
               SETTLEMENT OF TRANSACTIONS ON STOCK EXCHANGES IN CANADA.

  (i)   It understands and agrees that there may be material tax consequences to
        the Purchaser of an acquisition or disposition of the Securities. The
        Issuer gives no opinion and makes no representation with respect to the
        tax consequences to the Purchaser under United States, state, local or
        foreign tax law of the undersigned's acquisition or disposition of such
        Securities.

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,              PAGE 7 OF 19 PAGES
SCHEDULES AND FORMS)

  (j)   It understands and agrees that the financial statements of the Issuer
        have been prepared in accordance with Canadian generally accepted
        accounting principles with a reconciliation to United States generally
        accepted accounting principles.

  (k)   It consents to the Issuer making a notation on its records or giving
        instructions to any transfer agent of the Issuer in order to implement
        the restrictions on transfer set forth and described in this
        Certification and the Subscription Agreement.

Dated _______________ 2001.

                                   X ___________________________________________

                                   Signature of individual (if Purchaser IS an
                                   individual)

                                   X ___________________________________________

                                   Authorized signatory (if Purchaser is NOT an
                                   individual)

                                   _____________________________________________
                                   Name of Purchaser (PLEASE PRINT)

                                   _____________________________________________
                                   Name of authorized signatory (PLEASE PRINT)

                                   _____________________________________________
                                   Official capacity of authorized signatory
                                   (PLEASE PRINT)

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,              PAGE 8 OF 19 PAGES
SCHEDULES AND FORMS)

                                  FORM 45-903F1

                                 SECURITIES ACT

             TO BE COMPLETED ONLY BY PURCHASERS WHO ARE INDIVIDUALS

This is the form required under section 135 of the Rules and, if applicable, by
an order issued under section 76 of the British Columbia Securities Act.

                     ACKNOWLEDGEMENT OF INDIVIDUAL PURCHASER

   1.   I have agreed to purchase from Genetronics Biomedical Corporation (the
        "Issuer") __________________ Purchased Securities (the "Securities") of
        the Issuer. The Purchased Securities are special warrants (the "Special
        Warrants") at USD 0.45 per Special Warrant. Each Special Warrant is
        exercisable without additional payment to acquire one common share (the
        "Shares") and one half share purchase warrant (the "Warrants"). Each
        whole Warrant may be exercised within 18 months from the date of
        issuance to the Purchaser to acquire one common share of the Issuer (the
        "Warrant Shares") at a price of USD 0.75 per share.

   2.   I am purchasing the Securities as principal and, on closing of the
        agreement of purchase and sale, I will be the beneficial owner of the
        Securities.

   3.   I [circle one] have / have not received an offering memorandum
        describing the Issuer and the Securities.

   4.   I acknowledge that:

        (a)    no securities commission or similar regulatory authority has
               reviewed or passed on the merits of the Securities, AND

        (b)    there is no government or other insurance covering the
               Securities, AND

        (c)    I may lose all of my investment, AND

        (d)    there are restrictions on my ability to resell the Securities and
               it is my responsibility to find out what those restrictions are
               and to comply with them before selling the Securities, AND

        (e)    I will not receive a prospectus that the British Columbia
               Securities Act (the "Act") would otherwise require be given to me
               because the Issuer has advised me that it is relying on a
               prospectus exemption, AND

        (f)    because I am not purchasing the Securities under a prospectus, I
               will not have the civil remedies that would otherwise be
               available to me, AND

        (g)    the Issuer has advised me that it is using an exemption from the
               requirement to sell through a dealer registered under the Act,
               except purchases referred to in paragraph 5(g), and as a result I
               do not have the benefit of any protection that might have been
               available to me by having a dealer act on my behalf.

   5.   I also acknowledge that: [CIRCLE ONE]

        (a)    I am purchasing Securities that have an aggregate acquisition
               cost of CAD 97,000 or more, OR

        (b)    my net worth, or my net worth jointly with my spouse at the date
               of the agreement of purchase and sale of the security, is not
               less than CAD 400,000, OR

        (c)    my annual net income before tax is not less than CAD 75,000, or
               my annual net income before tax jointly with my spouse is not
               less than CAD 125,000, in each of the two most recent calendar
               years, and I reasonably expect to have annual net income before
               tax of not less than CAD 75,000 or annual

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,              PAGE 9 OF 19 PAGES
SCHEDULES AND FORMS)

               net income before tax jointly with my spouse of not less than CAD
               125,000 in the current calendar year, OR

        (d)    I am registered under the Act, OR

        (e)    I am a spouse, parent, brother, sister or child of a senior
               officer or director of the Issuer, or of an affiliate of the
               Issuer, OR

        (f)    I am a close personal friend of a senior officer or director of
               the Issuer, or of an affiliate of the Issuer, OR

        (g)    I am purchasing securities under section 128(c) (CAD 25,000 -
               registrant required) of the Rules, and I have spoken to a person
               [NAME OF REGISTERED PERSON: ___________________________ (THE
               "REGISTERED PERSON")] who has advised me that the Registered
               Person is registered to trade or advise in the Securities and
               that the purchase of the Securities is a suitable investment for
               me.

   6.   If I am an individual referred to in paragraph 5(b), 5(c), or 5(d), I
        acknowledge that, on the basis of information about the Securities
        furnished by the Issuer, I am able to evaluate the risks and merits of
        the Securities because: [CIRCLE ONE]

        (a)    of my financial, business or investment experience, OR

        (b)    I have received advice from a person [NAME OF ADVISER:
               ______________________________ (THE "ADVISER")] who has advised
               me that the Adviser is:

               (i)    registered to advise, or exempted from the requirement to
                      be registered to advise, in respect of the Securities, and

               (ii)   not an insider of, or in a special relationship with, the
                      Issuer.

The statements made in this report are true.

DATED _____________, 2001.

                                                ________________________________
                                                  Signature of Purchaser

                                                ________________________________
                                                  Name of Purchaser

                                                ________________________________

                                                ________________________________
                                                  Address of Purchaser

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,             PAGE 10 OF 19 PAGES
SCHEDULES AND FORMS)

                           THE TORONTO STOCK EXCHANGE

                 PRIVATE PLACEMENT QUESTIONNAIRE AND UNDERTAKING

To be completed by each proposed private placement purchaser of listed
securities or securities which are convertible into listed securities.

                                  QUESTIONNAIRE

1.             DESCRIPTION OF TRANSACTION

        (a)    Name of issuer of the securities (the "Issuer")

               Genetronics Biomedical Corporation

        (b)    Number and class of securities to be purchased

    ____________________ Special Warrants; each Special Warrant is exercisable
    without additional payment to acquire one common share (the "Shares") and
    one half share purchase warrant (the "Warrants"); each whole Warrant may be
    exercised within 18 months from the date of issuance to the Purchaser to
    acquire one common share of the Issuer (the "Warrant Shares") at a price of
    USD 0.75 per share.

        (c)    Purchase price

               USD 0.45 per Special Warrant

2.             DETAILS OF PURCHASER

        (a)    Name of purchaser

               _________________________________________________________________

        (b)    Address

               _________________________________________________________________

               _________________________________________________________________

        (c)    Names and addresses of persons having a greater than 10%
               beneficial interest in the purchaser

               _________________________________________________________________

               _________________________________________________________________

3.             RELATIONSHIP TO ISSUER

        (a)    Is the purchaser (or any person named in response to 2(c) above)
               an insider of the Issuer for the purposes of the Ontario
               Securities Act (before giving effect to this private placement)?
               If so, state the capacity in which the purchaser (or person named
               in response to 2(c)) qualifies as an insider

               _________________________________________________________________

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,             PAGE 11 OF 19 PAGES
SCHEDULES AND FORMS)

        (b)    If the answer to (a) is "no", are the purchaser and the Issuer
               controlled by the same person or company? If so, give details

               _________________________________________________________________

4.             DEALINGS OF PURCHASER IN SECURITIES OF THE ISSUER

        Give details of all trading by the purchaser, as principal, in the
        securities of the Issuer (other than debt securities which are not
        convertible into equity securities), directly or indirectly, within the
        60 days preceding the date hereof

                                   UNDERTAKING

TO:            The Toronto Stock Exchange

The undersigned has subscribed for and agreed to purchase, as principal, the
securities described in Item 1 of this Private Placement Questionnaire and
Undertaking.

The undersigned undertakes not to sell or otherwise dispose of any of the said
securities so purchased or any securities derived therefrom for a period that
expires on the earlier of six months from the date of the closing of the
transaction herein and the issuance of a receipt by the Ontario Securities
Commission for a final prospectus qualifying the distribution of the Shares and
the Warrants, without the prior consent of The Toronto Stock Exchange and any
other regulatory body having jurisdiction.

Dated _______________ 2001.

                                   X ___________________________________________
                                   Signature of individual (if Purchaser IS an
                                   individual)

                                   X ___________________________________________
                                   Authorized signatory (if Purchaser is NOT an
                                   individual)

                                   _____________________________________________
                                   Name of Purchaser (PLEASE PRINT)

                                   _____________________________________________
                                   Name of authorized signatory (PLEASE PRINT)

                                   _____________________________________________
                                   Official capacity of authorized signatory
                                   (PLEASE PRINT)

<PAGE>

                               GENERAL PROVISIONS

1.             DEFINITIONS

1.1            In the Subscription Agreement (including the first (cover) page,
the Terms on pages 2 to 4, the General Provisions on pages 1 to 8 and the other
schedules and appendixes incorporated by reference), the following words have
the following meanings unless otherwise indicated:

        (a)    "Agent" has the meaning assigned in the Terms;

        (b)    "Applicable Legislation" means the Securities Legislation
               Applicable to the Issuer (as defined on page 4) and all
               legislation incorporated in the definition of this term in other
               parts of the Subscription Agreement, together with the
               regulations and rules made and promulgated under that legislation
               and all administrative policy statements, blanket orders and
               rulings, notices and other administrative directions issued by
               the Commissions;

        (c)    "Canaccord Europe" means Canaccord Capital (Europe) Limited;

        (d)    "Closing" means the completion of the sale and purchase of the
               Purchased Securities;

        (e)    "Closing Date" has the meaning assigned in the Terms;

        (f)    "Commissions" means the B.C. Securities Commission, the Ontario
               Securities Commission and the SEC;

        (g)    "General Provisions" means those portions of the Subscription
               Agreement headed "General Provisions" and contained on page 1 to
               8;

        (h)    "Private Placement" means the offering of the Purchased
               Securities on the terms and conditions of the Agency Agreement
               and this Subscription Agreement;

        (i)    "Purchased Securities" has the meaning assigned in the Terms;

        (j)    "Regulation D" means Regulation D promulgated under the U.S.
               Securities Act;

        (k)    "Regulation S" means Regulation S promulgated under the U.S.
               Securities Act;

        (l)    "Regulatory Authorities" means the Commissions and the TSE;

        (m)    "SEC" means the Securities and Exchange Commission of the United
               States;

        (n)    "Securities" means the Special Warrants, the Shares, the Warrants
               and the Warrant Shares;

        (o)    "Subscription Agreement" means the first (cover) page, the Terms
               on pages 2 to 4, the General Provisions on pages 1 to 8 and the
               other schedules and appendixes incorporated by reference;

        (p)    "Terms" means those portions of the Subscription Agreement headed
               "Terms" and contained on page 2 to 4; and

        (q)    "U.S. Securities Act" means the Securities Act of 1933 (United
               States of America), as amended.

1.2            A person is "Deemed to be Acting as a Principal" if the person is

<PAGE>

        (a)    duly authorized to enter into this subscription and to execute
               all documentation in connection with the purchase on behalf of
               each beneficial purchaser; is purchasing the Purchased Securities
               as an agent or trustee for accounts that are fully managed by it
               and is

               (i)    a trust company or insurance company authorized to carry
                      on business in British Columbia under the Financial
                      Institutions Act (British Columbia);

               (ii)   an adviser who manages the investment portfolio of clients
                      through discretionary authority granted by one or more
                      clients and who is registered as a portfolio manager under
                      the Securities Act (B.C.) or is exempt from such
                      registration;

               (iii)  a trust company or insurer, authorized under the laws of a
                      province or territory of Canada other than British
                      Columbia to carry on business in such province or
                      territory; or

               (iv)   a portfolio manager registered or exempt from registration
                      under the laws of a province or territory of Canada other
                      than British Columbia; or

        (b)    acting as agent for one or more disclosed principals, each of
               which principals is purchasing as a principal for its own
               account, not for the benefit of any other person, and not with a
               view to the resale or distribution of all or any of the Purchased
               Securities.

1.3            In the Subscription Agreement, the following terms have the
meanings defined in Regulation S: "U.S. Person" and "United States".

1.4            In the Subscription Agreement, unless otherwise specified,
currencies are indicated with the ISO 4217 currency code so that United States
dollars are indicated with the prefix "USD".

1.5            In the Subscription Agreement, other words and phrases that are
capitalized have the meaning assigned in the Subscription Agreement.

2.             REPRESENTATIONS AND WARRANTIES OF PURCHASER

2.1            REPRESENTATIONS BY PURCHASER

The Purchaser represents and warrants to the Issuer that, as at the Agreement
Date and at the Closing:

        (a)    no prospectus has been filed by the Issuer with the Commissions
               in connection with the issuance of the Purchased Securities, the
               issuance is exempted from the prospectus requirements of the
               Applicable Legislation and:

               (i)    the Purchaser is restricted from using most of the civil
                      remedies available under the Applicable Legislation;

               (ii)   the Purchaser may not receive information that would
                      otherwise be required to be provided to the Purchaser
                      under the Applicable Legislation; and

               (iii)  the Issuer is relieved from certain obligations that would
                      otherwise apply under the Applicable Legislation;

        (b)    to the best of the Purchaser's knowledge, the Purchased
               Securities were not advertised;

        (c)    no person has made to the Purchaser any written or oral
               representations:

               (i)    that any person will resell or repurchase the Securities;

<PAGE>

               (ii)   that any person will refund the purchase price of the
                      Purchased Securities;

               (iii)  as to the future price or value of any of the Securities;
                      or

               (iv)   that the Securities will be listed and posted for trading
                      on a stock exchange or that application has been made to
                      list and post the Securities for trading on a stock
                      exchange, other than the TSE and AMEX;

        (d)    the Purchaser is resident in British Columbia and represents and
               warrants as follows:

               (i)    in the case of any Purchaser who is Deemed to be Acting as
                      a Principal, the Purchaser acknowledges that the Issuer
                      may in the future be required by law to disclose on a
                      confidential basis to securities regulatory authorities
                      the identity of each beneficial purchaser of Purchased
                      Securities for whom the Purchaser may be acting.

               (ii)   the Purchaser is purchasing sufficient Purchased
                      Securities so that the aggregate acquisition cost of the
                      Purchased Securities to the Purchaser is not less than CAD
                      97,000, the Purchaser is not a corporation, partnership,
                      trust, fund, association, or any other organized group of
                      persons created solely, or used primarily, to permit the
                      purchase of the Purchased Securities (or other similar
                      purchases) by a group of individuals whose individual
                      share of the aggregate acquisition cost of the Purchased
                      Securities is less than CAD 97,000, and the Purchaser is
                      either:

                      (A)    purchasing the Purchased Securities as principal
                             and no other person, corporation, firm or other
                             organization will have a beneficial interest in the
                             Purchased Securities;

                      (B)    if not purchasing the Purchased Securities as
                             principal, is Deemed to be Acting as a Principal
                             and the aggregate acquisition cost of the Purchased
                             Securities purchased for all the accounts managed
                             by it is not less than CAD 97,000; or

                      (C)    if not purchasing the Purchased Securities as
                             principal, is Deemed to be Acting as a Principal
                             and each of the disclosed principals is purchasing
                             sufficient Purchased Securities so that the
                             aggregate acquisition cost of the Purchased
                             Securities to the Purchaser is not less than CAD
                             97,000, the Purchaser is not a corporation,
                             partnership, trust, fund, association, or any other
                             organized group of persons created solely, or used
                             primarily, to permit the purchase of the Purchased
                             Securities (or other similar purchases) by a group
                             of individuals whose individual share of the
                             aggregate acquisition cost of the Purchased
                             Securities is less than CAD 97,000;

        (e)    the Purchaser acknowledges that the Securities will be subject to
               restrictions on resale until six months have elapsed from the
               date of issue of the Purchased Securities;

        (f)    the Purchaser is not a person, company or combination of persons
               or companies that is a "control person" of the Issuer as defined
               in the Applicable Legislation, will not become a "control person"
               by virtue of this purchase of any of the Securities, and does not
               intend to act in concert with any other person to form a control
               group of the Issuer;

        (g)    the Purchaser acknowledges that:

               (i)    no securities commission or similar regulatory authority
                      has reviewed or passed on the merits of the Securities;

               (ii)   there is no government or other insurance covering the
                      Securities;

               (iii)  there are risks associated with the purchase of the
                      Securities;

<PAGE>

               (iv)   there are restrictions on the Purchaser's ability to
                      resell the Securities and it is the responsibility of the
                      Purchaser to find out what those restrictions are and to
                      comply with them before selling the Securities; and

               (v)    the Issuer has advised the Purchaser that the Issuer is
                      relying on an exemption from the requirements to provide
                      the Purchaser with a prospectus and to sell securities
                      through a person registered to sell securities under the
                      Applicable Legislation and, as a consequence of acquiring
                      securities pursuant to this exemption, certain
                      protections, rights and remedies provided by the
                      Applicable Legislation, including statutory rights of
                      rescission or damages, will not be available to the
                      Purchaser;

        (h)    this subscription has not been solicited in any other manner
               contrary to the Applicable Legislation;

        (i)    the Purchaser is at arm's length (as that term is customarily
               defined) with the Issuer;

        (j)    the Purchaser acknowledges that the Securities are subject to
               restrictions on trading in British Columbia and Ontario as
               described in the section headed "Legends" on page 3;

        (k)    the Purchaser acknowledges that the Securities have not been
               registered under the U.S. Securities Act and may not be offered
               or sold unless registered under the U.S. Securities Act and the
               securities laws of all applicable states of the United States or
               an exemption from such registration requirements is available;

        (l)    the Purchaser acknowledges that the Issuer will use its
               commercially reasonable efforts to obtain a final receipt for a
               Prospectus in British Columbia and Ontario and to procure the
               effectiveness of a Registration Statement in the U.S. within 90
               days of the Closing;

        (m)    the Purchaser (or others for whom it is contracting hereunder)
               has been advised to consult its own legal and tax advisors with
               respect to applicable resale restrictions and tax considerations,
               and it (or others for whom it is contracting hereunder) is solely
               responsible for compliance with applicable resale restrictions
               and applicable tax legislation;

        (n)    the Purchaser has no knowledge of a "material fact" or "material
               change" (as those terms are defined in the Applicable
               Legislation) in the affairs of the Issuer that has not been
               generally disclosed to the public, save knowledge of this
               particular transaction;

        (o)    the offer made by this subscription is irrevocable (subject to
               the Purchaser's right to withdraw the subscription and to
               terminate the obligations as set out in this Agreement) and
               requires acceptance by the Issuer and approval of the TSE;

        (p)    the Purchaser has the legal capacity and competence to enter into
               and execute this Agreement and to take all actions required
               pursuant to the Subscription Agreement and, if the Purchaser is a
               corporation it is duly incorporated and validly subsisting under
               the laws of its jurisdiction of incorporation and all necessary
               approvals by its directors, shareholders and others have been
               given to authorize execution of this Agreement on behalf of the
               Purchaser;

        (q)    the entering into of this Agreement and the transactions
               contemplated hereby will not result in the violation of any of
               the terms and provisions of any law applicable to, or the
               constating documents of, the Purchaser or of any agreement,
               written or oral, to which the Purchaser may be a party or by
               which the Purchaser is or may be bound;

        (r)    this Agreement has been duly executed and delivered by the
               Purchaser and constitutes a legal, valid and binding agreement of
               the Purchaser enforceable against the Purchaser;

        (s)    the Purchaser has been independently advised as to the applicable
               hold period imposed in respect of the Securities by securities
               legislation in the jurisdiction in which the Purchaser resides
               and confirms that no representation has been made respecting the
               applicable hold periods for the Securities and is

<PAGE>

               aware of the risks and other characteristics of the Securities
               and of the fact that the Purchaser may not be able to resell the
               Securities except in accordance with the applicable securities
               legislation and regulatory policies;

        (t)    the Purchaser, and any beneficial purchaser for whom the
               Purchaser is acting, is resident in the province or jurisdiction
               set out on the first (cover) page of this Agreement;

        (u)    the Purchaser is capable of assessing the proposed investment as
               a result of the Purchaser's financial experience or as a result
               of advice received from a registered person other than the Issuer
               or any affiliates of the Issuer;

        (v)    if required by applicable securities legislation, policy or order
               or by any securities commission, stock exchange or other
               regulatory authority, the Purchaser will execute, deliver, file
               and otherwise assist the Issuer in filing, such reports,
               undertakings and other documents with respect to the issue of the
               Securities as may be required;

        (w)    the Purchaser acknowledges that the Agent or Canaccord Europe
               will receive a commission, agent's warrants,a corporate finance
               fee and an administration fee from the Issuer in connection with
               this Private Placement;

        (x)    the Purchaser will not conduct hedging transactions involving the
               Shares unless in compliance with the Applicable Legislation;

        (y)    the Purchaser acknowledges that the Issuer will refuse, and has
               instructed its transfer agent to refuse, to register any
               transfers of the Purchased Securities or the underlying Shares,
               Warrants or Warrants Shares unless such transfer is made in
               accordance with regulations pursuant to, or registration under,
               the Applicable Legislation (including the U.S. Securities Act) or
               pursuant to an available exemption from such registration.

2.2            RELIANCE, INDEMNITY AND NOTIFICATION OF CHANGES

The representations and warranties in the Subscription Agreement (including the
first (cover) page, the Terms on pages 2 to 4, the General Provisions on pages
12 to 19 and the other schedules and appendixes incorporated by reference) are
made by the Purchaser with the intent that they be relied upon by the Issuer and
the Agent in determining its suitability as a purchaser of Purchased Securities,
and the Purchaser hereby agrees to indemnify the Issuer and the Agent against
all losses, claims, costs, expenses and damages or liabilities which any of them
may suffer or incur as a result of reliance thereon. The Purchaser undertakes to
notify the Issuer and the Agent immediately of any change in any representation,
warranty or other information relating to the Purchaser set forth in the
Subscription Agreement (including the first (cover) page, the Terms on pages 2
to 4, the General Provisions on pages 12 to 19 and the other schedules and
appendixes incorporated by reference) which takes place prior to the Closing.

2.3            SURVIVAL OF REPRESENTATIONS AND WARRANTIES

The representations and warranties contained in this Section will survive the
Closing.

3.             REPRESENTATIONS AND WARRANTIES OF THE ISSUER

3.1            INCORPORATION BY REFERENCE FROM AGENCY AGREEMENT

The Issuer hereby makes in favour of the Purchaser the representations and
warranties of the Issuer contained in the Agency Agreement. The Issuer will
provide to the Purchaser, promptly on request and without charge, an extract
from

<PAGE>

the Agency Agreement certified by an officer of the Issuer as a true extract of
the representations and warranties contained in the Agency Agreement.

3.2            SURVIVAL OF REPRESENTATIONS AND WARRANTIES

The representations and warranties contained in this Section will survive the
Closing.

3.3            EXCLUSION OF LIABILITY OF AGENT

The Purchaser acknowledges that the Agent is acting as an agent in this
transaction and that all warranties, conditions, representations or
stipulations, other than those relating solely to the Agent, whether express or
implied and whether arising hereunder or under prior agreement or statement or
by statute or at common law are expressly those of the Issuer. The Purchaser
acknowledges that no information or representation concerning the Issuer has
been provided to the Purchaser by the Issuer, the Agent or Canaccord Europe
other than those contained in the Subscription Agreement and the Agency
Agreement and that the Purchaser is relying entirely upon the Subscription
Agreement and the Agency Agreement. Any information given or statement made is
given or made without liability or responsibility howsoever arising on the part
of the Agent or Canaccord Europe. No person in the employment of, or acting as
agent of, the Agent or Canaccord Europe has any authority to make or give any
representation or warranty whatsoever in relation to the Issuer or the
Securities. Any information given or statement made is given or made without
liability or responsibility howsoever arising on the part of the Agent or
Canaccord Europe, and the Purchaser hereby releases the Agent and Canaccord
Europe from any claims that may arise in respect of any such information given
or statement made.

4.             WITHDRAWAL OF SUBSCRIPTION AND CONTRACTUAL RIGHTS

The Purchaser reserves the right to withdraw this subscription and to terminate
its obligations hereunder at any time before Closing if the Agent terminates its
obligations with respect to the Private Placement under the Agency Agreement and
hereby appoints the Agent as its agent for the purpose of notifying the Issuer
of the withdrawal or termination of this subscription.

If the Purchaser, who acquires Shares and Warrants on the deemed exercise of the
Purchased Securities purchased by it, is or becomes entitled under the
Applicable Legislation to the remedy of rescission by reason of the Prospectus
or any amendment thereto containing a misrepresentation, the Purchaser will be
entitled to rescission not only of the Purchaser's exercise of such Purchased
Securities, but also of its subscription hereunder, and will be entitled in
connection with such rescission to a full refund from the Issuer of all
consideration paid to the Issuer on acquisition of such Purchased Securities.
The foregoing is in addition to any other right or remedy available to the
Purchaser under the Applicable Legislation or otherwise at law.

5.             CLOSING

5.1            The Purchaser acknowledges that there is a risk that insufficient
funds may be raised on the Closing to fund the Issuer's business objectives.

5.2            On or before the end of the fifth business day before the Closing
Date, the Purchaser will deliver to the Issuer or the Agent the Subscription
Agreement and all applicable schedules and required forms, duly executed, and
payment in full for the total price of the Purchased Securities to be purchased
by the Purchaser.

5.3            At Closing, the Issuer will deliver to the Agent the certificates
representing the Purchased Securities purchased by the Purchaser registered in
the name of the Purchaser or its nominee.

<PAGE>

6.             INDEMNITY IN CONNECTION WITH REGISTRATION STATEMENT

The Purchaser hereby indemnifies the Issuer, its affiliates, any person who
signed the Registration Statement, and their respective officers, directors and
control persons against all such losses, claims, damages, liabilities and
expenses (including but not limited to reasonable expenses incurred in
investigating, preparing and defending against any claim) insofar as they arise
out of or are based upon or are caused by any untrue statement or alleged untrue
statement or any omission or alleged omission based on written information
furnished to the Issuer by or on behalf of the Purchaser for the inclusion in
any Registration Statement or prospectus (and any amendments or supplements
thereto).

7.             MISCELLANEOUS

7.1            The Purchaser was introduced to the Issuer by the Agent or
Canaccord Europe under the terms of the Agency Agreement.

7.2            The Purchaser agrees to sell, assign or transfer the Securities
only in accordance with the requirements of Applicable Legislation and any
legends placed on the Securities as contemplated by the Subscription Agreement.

7.3            The Purchaser hereby irrevocably authorizes the Agent, in its
sole discretion:

        (a)    to act as the Purchaser's representative at the Closing, to
               receive certificates for Purchased Securities subscribed for and
               to execute in its name and on its behalf all closing receipts and
               documents required; and

        (b)    to waive, in whole or in part, any representations, warranties,
               covenants or conditions for the benefit of the Purchaser
               contained in the Subscription Agreement or in any agreement or
               document ancillary or related to the Private Placement.

7.4            The Purchaser hereby authorizes the Issuer to correct any minor
errors in, or complete any minor information missing from any part of the
Subscription Agreement and any other schedules, forms, certificates or documents
executed by the Purchaser and delivered to the Issuer in connection with the
Private Placement.

7.5            The Issuer and the Agent will be entitled to rely on delivery by
fax machine of an executed copy of this subscription, and acceptance by the
Issuer of such faxed copy will be equally effective to create a valid and
binding agreement between the Purchaser and the Issuer in accordance with the
terms of the Subscription Agreement.

7.6            Without limitation, this subscription and the transactions
contemplated hereby are conditional upon and subject to the Issuer receiving the
approval of the TSE and the AMEX to this subscription and the transactions
contemplated hereby.

7.7            This agreement is not assignable or transferable by the parties
hereto without the express written consent of the other party to this Agreement.

7.8            Time is of the essence of this Agreement and will be calculated
in accordance with the provisions of the Interpretation Act (British Columbia).

7.9            Except as expressly provided in this Agreement and in the
agreements, instruments and other documents contemplated or provided for herein,
this Agreement contains the entire agreement between the parties with respect to
the Securities and there are no other terms, conditions, representations or
warranties whether expressed, implied, oral or written, by statute, by common
law, by the Issuer, by the Agent, or by anyone else.

7.10           The parties to this Agreement may amend this Agreement only in
writing.

7.11           This Agreement enures to the benefit of and is binding upon the
parties to this Agreement and their successors and permitted assigns.

<PAGE>

7.12           A party to this Agreement will give all notices to or other
written communications with the other party to this Agreement concerning this
Agreement by hand or by registered mail addressed to the address given above.

7.13           This Agreement is to be read with all changes in gender or number
as required by the context.

7.14           This Agreement will be governed by and construed in accordance
with the internal laws of British Columbia (without reference to its rules
governing the choice or conflict of laws), and the parties hereto irrevocably
attorn and submit to the exclusive jurisdiction of the courts of British
Columbia with respect to any dispute related to this Agreement.

                            END OF GENERAL PROVISIONS

                          END OF SUBSCRIPTION AGREEMENT

<PAGE>

                            INSTRUCTIONS TO PURCHASER

   1.   Complete all the information in the boxes on page 1 and sign where
        indicated with an "X".

   2.   Complete the certification that starts on page 5 and sign where
        indicated with an "X" on page 7.

   3.   Complete the Toronto Stock Exchange private placement questionnaire and
        undertaking that starts on page 10 and sign where indicated with an "X"
        on page 11.

<PAGE>

 THIS IS PAGE 1 OF 16 PAGES OF A SUBSCRIPTION AGREEMENT AND RELATED APPENDIXES,
          SCHEDULES AND FORMS. COLLECTIVELY, THESE PAGES TOGETHER ARE
                   REFERRED TO AS THE"SUBSCRIPTION AGREEMENT".

                    PRIVATE PLACEMENT SUBSCRIPTION AGREEMENT
                       (UNITED STATES AND OUTSIDE CANADA)

TO:     GENETRONICS BIOMEDICAL CORPORATION (the "Issuer"),
        San Diego, California, U.S.A.

Subject and pursuant to the terms set out in the Terms on pages 2 to 4, the
General Provisions on pages 10 to 16 and the other schedules and appendixes
incorporated by reference, the undersigned (the "Purchaser") hereby irrevocably
subscribes for, and on Closing will purchase from the Issuer, the following
securities at the following price:

================================================================================

  ___________________________________________________________ Special Warrants

  USD 0.45 per Special Warrant for a total purchase price of USD _____________

  The Purchaser holds the following securities of the Issuer:

  ____________________________________________________________________________

================================================================================

The Purchaser directs the Issuer to issue, register and deliver the certificates
representing the Purchased Securities as follows:

--------------------------------------------------------------------------------

<TABLE>
------------------------------------------------------------------------------------------
<S>                                               <C>
REGISTRATION INSTRUCTIONS:                        DELIVERY INSTRUCTIONS:

_________________________________________         _________________________________________
Name to appear on certificate                     Name and account reference, if applicable

_________________________________________         _________________________________________
Account reference, if applicable                  Contact name

_________________________________________         _________________________________________
Address                                           Address

_________________________________________         _________________________________________
                                                  Telephone number

------------------------------------------------------------------------------------------

  EXECUTED by the Purchaser this _______ day of _____________, 2001.

------------------------------------------------------------------------------------------

WITNESS:                                          EXECUTION BY PURCHASER:

_________________________________________         X __________________________________________
Signature of witness                              Signature of individual (if Purchaser IS an
                                                  individual)
_________________________________________         X __________________________________________
Name of witness                                   Authorized signatory (if Purchaser is NOT an
                                                  individual)

_________________________________________         ____________________________________________
Address of witness                                Name of Purchaser (PLEASE PRINT)

_________________________________________         ____________________________________________
                                                  Name of authorized signatory (PLEASE PRINT)

ACCEPTED this ___ day of _________, 2001.
                                                  ____________________________________________
GENETRONICS BIOMEDICAL CORPORATION                Address of Purchaser (residence if an
Per:                                              individual)

_________________________________________
Authorized signatory

------------------------------------------------------------------------------------------
</TABLE>

By signing this acceptance, the Issuer agrees to be bound by the Terms on pages
2 to 4, the General Provisions on pages 1 to 8 and the other schedules and
appendixes incorporated by reference.

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 2 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

                                      TERMS

<TABLE>
<S>                                <C>
THE REFERENCE DATE OF THIS         November 1, 2001
AGREEMENT (THE "AGREEMENT DATE")

                                   THE OFFERING

THE ISSUER                         Genetronics Biomedical Corporation

THE AGENT                          Canaccord Capital Corporation (which,
                                   together with any sub-agents, is referred to
                                   as the "Agent") has agreed to purchase the
                                   Special Warrants of the Issuer that are not
                                   sold to purchasers upon the terms and
                                   conditions of an agency agreement dated for
                                   reference the Agreement Date (the "Agency
                                   Agreement").

THE "OFFERING"                     The offering consists of an aggregate of
                                   5,212,494 non-transferable (except by the
                                   Agent to transferees in accordance with the
                                   Applicable Legislation) special warrants (the
                                   "Special Warrants") at USD 0.45 per Special
                                   Warrant for proceeds of USD 2,345,622.30.
                                   Each Special Warrant is exercisable without
                                   additional payment to acquire one common
                                   share (the "Shares") and one half share
                                   purchase warrant (the "Warrants"). Each whole
                                   Warrant may be exercised within 18 months
                                   from the date of issuance to acquire one
                                   common share of the Issuer (the "Warrant
                                   Shares") at a price of USD 0.75 per share.

PROSPECTUS AND CONVERSION RATE     The Issuer will use its commercially
INCREASE                           reasonable efforts to ensure that the Special
                                   Warrants and the underlying Shares and
                                   Warrant Shares will be qualified by a
                                   prospectus in Canada (the "Prospectus") and
                                   the resale of the Shares and Warrant Shares
                                   by the initial purchasers of the Special
                                   Warrants will be the subject of a
                                   registration statement in the U.S. (the
                                   "Registration Statement") (the day on which
                                   final receipt for the Prospectus is received
                                   by the Issuer and on which the Registration
                                   Statement becomes effective or, if different,
                                   the later of such dates, being the
                                   "Qualification Date"). The Issuer will use
                                   its commercially reasonable efforts to have
                                   the Qualification Date occur within 90 days
                                   of the Closing (the "Closing") of this
                                   Offering. If the Qualification Date does not
                                   occur within 90 days of Closing and if the
                                   Purchaser has provided to the Issuer all of
                                   the information required of them by the
                                   Issuer to permit the Issuer to file the
                                   Registration Statement, the Purchaser will
                                   receive a refund of 20% of the total purchase
                                   price paid for the Special Warrants.

ADDITIONAL PROVISIONS IN RESPECT   Each Special Warrant may be exercised by the
OF THE SPECIAL WARRANTS            Purchasers in whole or in part at any time
                                   after each Closing. If, however, the Special
                                   Warrants are exercised prior to the day on
                                   which a final receipt for the Prospectus is
                                   received by the Issuer, the Shares and
                                   Warrant Shares underlying the Special
                                   Warrants and Warrants, respectively, may not
                                   be traded in British Columbia for a period of
                                   six months from Closing and may not be traded
                                   in Ontario for a period of one year from
                                   Closing. If the Special Warrants are
                                   exercised prior to the day on which the
                                   Registration Statement becomes effective, the
                                   Shares and Warrant Shares underlying the
                                   Special Warrants will be subject to
                                   restrictions on trading under the U.S.
                                   Securities Act until at least one year from
                                   Closing.

                                   All unexercised Special Warrants will be
                                   deemed to be exercised on that day which is
                                   the fifth business day after the day on which
                                   final receipt for the Prospectus is received
                                   by the Issuer.

PURCHASED SECURITIES               The "Purchased Securities" are Special
                                   Warrants convertible into one
</TABLE>

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 3 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

<TABLE>
<S>                                <C>
                                   common share and one-half share purchase
                                   warrant.

TOTAL AMOUNT                       5,212,494 Special Warrants.

PRICE                              USD 0.45 for total proceeds of USD
                                   2,345,622.30.

WARRANTS                           Subject to the Applicable Legislation and the
                                   rules and policies of the Toronto Stock
                                   Exchange and the American Stock Exchange, the
                                   Warrants will be non-transferable.

                                   The certificates representing the Warrants
                                   will contain, among other things, the
                                   complete provisions concerning the exercise
                                   of the Warrants and provisions for the
                                   appropriate adjustment in the class and
                                   number of the Warrant Shares issued upon
                                   conversion of the Warrants upon the
                                   occurrence of certain events, including any
                                   subdivision, consolidation or
                                   reclassification of the common shares of the
                                   Issuer, the payment of stock dividends and
                                   the merger of the Issuer.

                                   The Warrants will not restrict or prevent the
                                   Issuer from obtaining any other financing, or
                                   from issuing additional securities or rights.

SELLING JURISDICTIONS              The United States, British Columbia, Ontario
                                   and certain offshore jurisdictions outside of
                                   Canada and the United States.

"CLOSING DATE"                     November 23, 2001, or at such other date as
                                   agreed by the Issuer and the Agent.

LEGENDS                            The certificates representing the Securities
                                   will be endorsed with only the following
                                   legends:

                                   THE SECURITIES REPRESENTED BY THIS
                                   CERTIFICATE ARE SUBJECT TO A HOLD PERIOD AND
                                   MAY NOT BE TRADED IN BRITISH COLUMBIA UNTIL
                                   12:01 A.M. ON [DATE SIX MONTHS AND ONE DAY
                                   FROM CLOSING] OR IN ONTARIO UNTIL 12:01 A.M.
                                   ON [IN THE CASE OF THE SPECIAL WARRANTS AND
                                   WARRANTS, DATE 18 MONTHS AND ONE DAY FROM
                                   CLOSING AND, IN THE CASE OF THE UNDERLYING
                                   SHARES, DATE ONE YEAR AND ONE DAY FROM
                                   CLOSING] EXCEPT AS PERMITTED BY THE TORONTO
                                   STOCK EXCHANGE AND THE APPLICABLE SECURITIES
                                   LEGISLATION IN THOSE JURISDICTIONS.

                                   THE SECURITIES REPRESENTED HEREBY HAVE NOT
                                   BEEN REGISTERED UNDER THE U.S. SECURITIES ACT
                                   OF 1933, AS AMENDED (THE "U.S. SECURITIES
                                   ACT") OR UNDER ANY STATE SECURITIES LAWS. THE
                                   HOLDER HEREOF, BY PURCHASING SUCH SECURITIES,
                                   AGREES FOR THE BENEFIT OF THE CORPORATION
                                   THAT SUCH SECURITIES MAY BE OFFERED, SOLD OR
                                   OTHERWISE TRANSFERRED ONLY (A) TO THE
                                   CORPORATION, (B) PURSUANT TO AN EXEMPTION
                                   FROM REGISTRATION UNDER THE U.S. SECURITIES
                                   ACT PROVIDED BY RULE 144 THEREUNDER OR
                                   ANOTHER APPLICABLE EXEMPTION, OR (C) PURSUANT
                                   TO AN EFFECTIVE REGISTRATION STATEMENT.
                                   DELIVERY OF THIS CERTIFICATE MAY NOT
                                   CONSTITUTE "GOOD DELIVERY" IN SETTLEMENT OF
                                   TRANSACTIONS ON STOCK EXCHANGES IN CANADA.

                                          THE ISSUER

JURISDICTION OF ORGANIZATION       The Issuer is incorporated under the laws of
                                   Delaware.
</TABLE>

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 4 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

<TABLE>
<S>                                <C>
AUTHORIZED AND OUTSTANDING         The authorized capital of the Issuer is
CAPITAL                            100,000,000 shares of common stock with a par
                                   value of $0.001 per share and 10,000,000
                                   shares of preferred stock with a par value of
                                   $0.01 per share. As of October 1, 2001, the
                                   issued capital of the Issuer is 33,759,968
                                   shares of common stock.

STOCK EXCHANGE LISTINGS            Shares of the Issuer are listed on the
                                   Toronto Stock Exchange (the "TSE") and the
                                   American Stock Exchange ("AMEX")

"SECURITIES LEGISLATION            The Securities Act (Ontario), R.S.O. 1990, c.
APPLICABLE TO THE ISSUER" OR       S.5, as amended (the "Ontario Act") (pursuant
"APPLICABLE LEGISLATION"           to which the Issuer is a "reporting issuer"),
                                   the Securities Act, R.S.B.C. 1996, c. 418, as
                                   amended (the "B.C. Act") (pursuant to which
                                   the Issuer is a "reporting issuer"), and the
                                   U.S. Securities Act of 1933, as amended (the
                                   "U.S. Securities Act") (to the extent that
                                   the U.S. Securities Act is applicable on the
                                   issuance of securities to U.S. Persons or to
                                   non-U.S. Persons under Regulation D, all of
                                   which terms are terms are defined below),
                                   together with the regulations and rules made
                                   and promulgated thereunder and all
                                   administrative policy statements, blanket
                                   orders and rulings, notices, and other
                                   administrative directions issued by the
                                   Commissions (as defined below), along with
                                   the rules and policies of the TSE (the "TSE
                                   Policies") and the rules and policies of the
                                   AMEX (the "AMEX Policies").

"APPLICABLE EXEMPTIONS"            The Offering is being made in accordance with
                                   the exemptions from, or the non-applicability
                                   of, the registration and prospectus
                                   requirements (the "Applicable Exemptions") of
                                   the Applicable Legislation as provided in an
                                   Interpretation Note regarding "offshore"
                                   distributions published by the Ontario
                                   Securities Commission, BCI 72-503 of the B.C.
                                   Securities Commission, sections 35(1)(5) and
                                   72(1)(d) of the Ontario Act, sections
                                   45(1)(5) and 74(2)(4) of the B.C. Act and
                                   Regulation D of the U.S. Securities Act.

                                  END OF TERMS
</TABLE>

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 5 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

                CERTIFICATION FOR U.S. SECURITIES LAW COMPLIANCE

(Capitalized terms not specifically defined in this Certification have the
meaning ascribed to them in the Subscription Agreement to which this Schedule is
attached.)

In connection with the execution of the Subscription Agreement to which this
Schedule is attached, the Purchaser represents and warrants to the Issuer that:

  (a)   It has such knowledge and experience in financial and business matters
        as to be capable of evaluating the merits and risks of an investment in
        the Purchased Securities and it is able to bear the economic risk of
        loss of its entire investment.

  (b)   The Issuer has provided to it the opportunity to ask questions and
        receive answers concerning the terms and conditions of the Offering and
        it has had access to such information concerning the Issuer as it has
        considered necessary or appropriate in connection with its investment
        decision to acquire the Purchased Securities.

  (c)   It is acquiring the Purchased Securities for its own account, for
        investment purposes only and not with a view to any resale, distribution
        or other disposition of the Purchased Securities in violation of the
        United States securities laws.

  (d)   It understands the Purchased Securities have not been and will not be
        registered under the U.S. Securities Act of 1933, as amended (the "1933
        Act") or the securities laws of any state of the United States and that
        the sale contemplated hereby is being made in reliance on an exemption
        from such registration requirements. It further understands that, while
        the Issuer has agreed to use its best efforts to file a registration
        statement in respect of the Purchaser's resale of the Shares and the
        Warrant Shares (the "Registration Statement"), in compliance with the
        U.S. Securities Act with the United States Securities and Exchange
        Commission, and to have the Registration Statement declared effective,
        there can be no assurance the Issuer will be able to do so. It also
        understands that it will be required to furnish certain information
        about it and its holdings of the Issuer's shares as part of the
        information that will be included in the Registration Statement.

  (e)   It satisfies one or more of the categories indicated below (please
        initial the appropriate lines):

        ____ Category 1.     An organization described in Section 501(c)(3) of
                             the United States Internal Revenue Code, a
                             corporation, a Massachusetts or similar business
                             trust or partnership, not formed for the specific
                             purpose of acquiring the Purchased Securities, with
                             total assets in excess of USD 5,000,000;

        ____ Category 2.     A natural person whose individual net worth, or
                             joint net worth with that person's spouse, at the
                             date of this Certification exceeds USD 1,000,000;

        ____ Category 3.     A natural person who had an individual income in
                             excess of USD 200,000 in each of the two most
                             recent years or joint income with that person's
                             spouse in excess of USD 300,000 in each of those
                             years and has a reasonable expectation of reaching
                             the same income level in the current year;

        ____ Category 4.     A trust that (a) has total assets in excess of USD
                             5,000,000, (b) was not formed for the specific
                             purpose of acquiring the Purchased Securities and
                             (c) is directed in its purchases of securities by a
                             person who has such knowledge and experience in
                             financial and business matters that he/she is
                             capable of evaluating the merits and risks of an
                             investment in the Purchased Securities;

        ____ Category 5.     An investment company registered under the
                             Investment Company Act of 1940 or a business
                             development company as defined in Section 2(a)(48)
                             of that Act;

        ____ Category 6.     A Small Business Investment Company licensed by the
                             U.S. Small Business Administration under Section
                             301(c) or (d) of the Small Business Investment Act
                             of 1958;

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 6 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

        ____ Category 7.     A private business development company as defined
                             in Section 202(a)(22) of the Investment Advisors
                             Act of 1940; or

        ____ Category 8.     An entity in which all of the equity owners satisfy
                             the requirements of one or more of the foregoing
                             categories.

  (f)   It has not purchased the Purchased Securities as a result of any form of
        general solicitation or general advertising, including advertisements,
        articles, notices or other communications published in any newspaper,
        magazine or similar media or broadcast over radio, or television, or
        other form of telecommunications, including electronic display, or any
        seminar or meeting whose attendees have been invited by general
        solicitation or general advertising.

  (g)   If it decides to offer, sell or otherwise transfer any of the Purchased
        Securities or the underlying Shares, Warrants or Warrant Shares, it will
        not offer, sell or otherwise transfer any of such securities directly or
        indirectly, unless:

         (i)   the sale is to the Issuer;

        (ii)   the sale is made outside the United States in a transaction
               meeting the requirements of Rule 904 of Regulation S under the
               U.S. Securities Act and in compliance with applicable local laws
               and regulations;

        (iii)  the sale is made pursuant to the exemption from the registration
               requirements under the U.S. Securities Act provided by Rule 144
               thereunder and in accordance with any applicable state securities
               or "blue sky" laws;

        (iv)   the Purchased Securities are sold in a transaction that does not
               require registration under the U.S. Securities Act or any
               applicable state laws and regulations governing the offer and
               sale of securities, and it has prior to such sale furnished to
               the Issuer an opinion of counsel reasonably satisfactory to the
               Issuer to the effect that such transaction does not require
               registration; or

        (v)    the sale is made pursuant to an effective registration statement
               filed under the U.S. Securities Act.

   (h)  The Purchased Securities and the underlying Shares, Warrants and Warrant
        Shares are "restricted securities" as that term is defined in the U.S.
        Securities Act, and the certificates representing the Purchased
        Securities and the Shares, Warrants and Warrant Shares issued upon
        conversion of the Purchased Securities, as well as all certificates
        issued in exchange for or in substitution of the foregoing, until such
        time as is no longer required under the applicable requirements of the
        U.S. Securities Act or applicable state securities laws, will bear, on
        the face of such certificate, a legend in substantially the following
        form:

               THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER
               THE U.S. SECURITIES ACT OF 1933, AS AMENDED (THE "U.S. SECURITIES
               ACT") OR UNDER ANY STATE SECURITIES LAWS. THE HOLDER HEREOF, BY
               PURCHASING SUCH SECURITIES, AGREES FOR THE BENEFIT OF THE
               CORPORATION THAT SUCH SECURITIES MAY BE OFFERED, SOLD OR
               OTHERWISE TRANSFERRED ONLY (A) TO THE CORPORATION, (B) PURSUANT
               TO AN EXEMPTION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT
               PROVIDED BY RULE 144 THEREUNDER OR ANOTHER APPLICABLE EXEMPTION,
               OR (C) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT. DELIVERY
               OF THIS CERTIFICATE MAY NOT CONSTITUTE "GOOD DELIVERY" IN
               SETTLEMENT OF TRANSACTIONS ON STOCK EXCHANGES IN CANADA.

   (i)  It understands and agrees that there may be material tax consequences to
        the Purchaser of an acquisition or disposition of the Securities. The
        Issuer gives no opinion and makes no representation with respect to the
        tax consequences to the Purchaser under United States, state, local or
        foreign tax law of the undersigned's acquisition or disposition of such
        Securities.

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 7 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

  (j)   It understands and agrees that the financial statements of the Issuer
        have been prepared in accordance with Canadian generally accepted
        accounting principles with a reconciliation to United States generally
        accepted accounting principles.

  (k)   It consents to the Issuer making a notation on its records or giving
        instructions to any transfer agent of the Issuer in order to implement
        the restrictions on transfer set forth and described in this
        Certification and the Subscription Agreement.

Dated _______________ 2001.

                                    X __________________________________________
                                    Signature of individual (if Purchaser IS an
                                    individual)

                                    X __________________________________________
                                    Authorized signatory (if Purchaser is NOT an
                                    individual)

                                    ____________________________________________
                                    Name of Purchaser (PLEASE PRINT)

                                    ____________________________________________
                                    Name of authorized signatory (PLEASE PRINT)

                                    ____________________________________________
                                    Official capacity of authorized signatory
                                    (PLEASE PRINT)

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 8 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

                           THE TORONTO STOCK EXCHANGE

                 PRIVATE PLACEMENT QUESTIONNAIRE AND UNDERTAKING

To be completed by each proposed private placement purchaser of listed
securities or securities which are convertible into listed securities.

                                  QUESTIONNAIRE

1.             DESCRIPTION OF TRANSACTION

        (a)    Name of issuer of the securities (the "Issuer")

               Genetronics Biomedical Corporation

        (b)    Number and class of securities to be purchased

    ____________________ Special Warrants; each Special Warrant is exercisable
    without additional payment to acquire one common share (the "Shares") and
    one half share purchase warrant (the "Warrants"); each whole Warrant may be
    exercised within 18 months from the date of issuance to the Purchaser to
    acquire one common share of the Issuer (the "Warrant Shares") at a price of
    USD 0.75 per share.

        (c)    Purchase price

               USD 0.45 per Special Warrant

2.             DETAILS OF PURCHASER

        (a)    Name of purchaser

               _________________________________________________________________

        (b)    Address

               _________________________________________________________________

               _________________________________________________________________

        (c)    Names and addresses of persons having a greater than 10%
               beneficial interest in the purchaser

               _________________________________________________________________

               _________________________________________________________________

3.             RELATIONSHIP TO ISSUER

        (a)    Is the purchaser (or any person named in response to 2(c) above)
               an insider of the Issuer for the purposes of the Ontario
               Securities Act (before giving effect to this private placement)?
               If so, state the capacity in which the purchaser (or person named
               in response to 2(c)) qualifies as an insider

               _________________________________________________________________

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 9 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

        (b)    If the answer to (a) is "no", are the purchaser and the Issuer
               controlled by the same person or company? If so, give details

               _________________________________________________________________

4.             DEALINGS OF PURCHASER IN SECURITIES OF THE ISSUER

        Give details of all trading by the purchaser, as principal, in the
        securities of the Issuer (other than debt securities which are not
        convertible into equity securities), directly or indirectly, within the
        60 days preceding the date hereof

        ________________________________________________________________________

        ________________________________________________________________________

                                   UNDERTAKING

TO:            The Toronto Stock Exchange

The undersigned has subscribed for and agreed to purchase, as principal, the
securities described in Item 1 of this Private Placement Questionnaire and
Undertaking.

The undersigned undertakes not to sell or otherwise dispose of any of the said
securities so purchased or any securities derived therefrom for a period that
expires on the earlier of six months from the date of the closing of the
transaction herein and the issuance of a receipt by the Ontario Securities
Commission for a final prospectus qualifying the distribution of the Shares and
the Warrants, without the prior consent of The Toronto Stock Exchange and any
other regulatory body having jurisdiction.

Dated _______________ 2001.

                                    X __________________________________________
                                    Signature of individual (if Purchaser IS an
                                    individual)

                                    X __________________________________________
                                    Authorized signatory (if Purchaser is NOT an
                                    individual)

                                    ____________________________________________
                                    Name of Purchaser (PLEASE PRINT)

                                    ____________________________________________
                                    Name of authorized signatory (PLEASE PRINT)

                                    ____________________________________________
                                    Official capacity of authorized signatory
                                    (PLEASE PRINT)

<PAGE>

                               GENERAL PROVISIONS

1.             DEFINITIONS

1.1            In the Subscription Agreement (including the first (cover) page,
the Terms on pages 2 to 4, the General Provisions on pages 1 to 8 and the other
schedules and appendixes incorporated by reference), the following words have
the following meanings unless otherwise indicated:

        (a)    "Agent" has the meaning assigned in the Terms;

        (b)    "Applicable Legislation" means the Securities Legislation
               Applicable to the Issuer (as defined on page 4) and all
               legislation incorporated in the definition of this term in other
               parts of the Subscription Agreement, together with the
               regulations and rules made and promulgated under that legislation
               and all administrative policy statements, blanket orders and
               rulings, notices and other administrative directions issued by
               the Commissions;

        (c)    "Canaccord Europe" means Canaccord Capital (Europe) Limited;

        (d)    "Closing" means the completion of the sale and purchase of the
               Purchased Securities;

        (e)    "Closing Date" has the meaning assigned in the Terms;

        (f)    "Commissions" means the B.C. Securities Commission, the Ontario
               Securities Commission and the SEC;

        (g)    "General Provisions" means those portions of the Subscription
               Agreement headed "General Provisions" and contained on page 1 to
               8;

        (h)    "Private Placement" means the offering of the Purchased
               Securities on the terms and conditions of the Agency Agreement
               and this Subscription Agreement;

        (i)    "Purchased Securities" has the meaning assigned in the Terms;

        (j)    "Regulation D" means Regulation D promulgated under the U.S.
               Securities Act;

        (k)    "Regulation S" means Regulation S promulgated under the U.S.
               Securities Act;

        (l)    "Regulatory Authorities" means the Commissions and the TSE;

        (m)    "SEC" means the Securities and Exchange Commission of the United
               States;

        (n)    "Securities" means the Special Warrants, the Shares, the Warrants
               and the Warrant Shares;

        (o)    "Subscription Agreement" means the first (cover) page, the Terms
               on pages 2 to 4, the General Provisions on pages 1 to 8 and the
               other schedules and appendixes incorporated by reference;

        (p)    "Terms" means those portions of the Subscription Agreement headed
               "Terms" and contained on page 2 to 4; and

        (q)    "U.S. Securities Act" means the Securities Act of 1933 (United
               States of America), as amended.

1.2            In the Subscription Agreement, the following terms have the
meanings defined in Regulation S: "U.S. Person" and "United States".

<PAGE>

1.3            In the Subscription Agreement, unless otherwise specified,
currencies are indicated with the ISO 4217 currency code so that United States
dollars are indicated with the prefix "USD".

1.4            In the Subscription Agreement, other words and phrases that are
capitalized have the meaning assigned in the Subscription Agreement.

2.             REPRESENTATIONS AND WARRANTIES OF PURCHASER

2.1            REPRESENTATIONS BY PURCHASER

The Purchaser represents and warrants to the Issuer that, as at the Agreement
Date and at the Closing:

        (a)    no prospectus has been filed by the Issuer with the Commissions
               in connection with the issuance of the Purchased Securities, the
               issuance is exempted from the prospectus requirements of the
               Applicable Legislation and:

               (i)    the Purchaser is restricted from using most of the civil
                      remedies available under the Applicable Legislation;

               (ii)   the Purchaser may not receive information that would
                      otherwise be required to be provided to the Purchaser
                      under the Applicable Legislation; and

               (iii)  the Issuer is relieved from certain obligations that would
                      otherwise apply under the Applicable Legislation;

        (b)    to the best of the Purchaser's knowledge, the Purchased
               Securities were not advertised;

        (c)    no person has made to the Purchaser any written or oral
               representations:

               (i)    that any person will resell or repurchase the Securities;

               (ii)   that any person will refund the purchase price of the
                      Purchased Securities;

               (iii)  as to the future price or value of any of the Securities;
                      or

               (iv)   that the Securities will be listed and posted for trading
                      on a stock exchange or that application has been made to
                      list and post the Securities for trading on a stock
                      exchange, other than the TSE and AMEX;

        (d)    the Purchaser is not resident in British Columbia or Ontario;

        (e)    the Purchaser is not a person, company or combination of persons
               or companies that is a "control person" of the Issuer as defined
               in the Applicable Legislation, will not become a "control person"
               by virtue of this purchase of any of the Securities, and does not
               intend to act in concert with any other person to form a control
               group of the Issuer;

        (f)    the Purchaser acknowledges that:

               (i)    no securities commission or similar regulatory authority
                      has reviewed or passed on the merits of the Securities;

               (ii)   there is no government or other insurance covering the
                      Securities;

               (iii)  there are risks associated with the purchase of the
                      Securities;

<PAGE>

               (iv)   there are restrictions on the Purchaser's ability to
                      resell the Securities and it is the responsibility of the
                      Purchaser to find out what those restrictions are and to
                      comply with them before selling the Securities; and

               (v)    the Issuer has advised the Purchaser that the Issuer is
                      relying on an exemption from the requirements to provide
                      the Purchaser with a prospectus and to sell securities
                      through a person registered to sell securities under the
                      Applicable Legislation and, as a consequence of acquiring
                      securities pursuant to this exemption, certain
                      protections, rights and remedies provided by the
                      Applicable Legislation, including statutory rights of
                      rescission or damages, will not be available to the
                      Purchaser;

        (g)    this subscription has not been solicited in any other manner
               contrary to the Applicable Legislation;

        (h)    the Purchaser is at arm's length (as that term is customarily
               defined) with the Issuer;

        (i)    the Purchaser acknowledges that the Securities are subject to
               restrictions on trading in British Columbia and Ontario as
               described in the section headed "Legends" on page 3;

        (j)    the Purchaser acknowledges that the Securities have not been
               registered under the U.S. Securities Act and may not be offered
               or sold unless registered under the U.S. Securities Act and the
               securities laws of all applicable states of the United States or
               an exemption from such registration requirements is available;

        (k)    the Purchaser acknowledges that the Issuer will use its
               commercially reasonable efforts to obtain a final receipt for a
               Prospectus in British Columbia and Ontario and to procure the
               effectiveness of a Registration Statement in the U.S. within 90
               days of the Closing;

        (l)    the Purchaser (or others for whom it is contracting hereunder)
               has been advised to consult its own legal and tax advisors with
               respect to applicable resale restrictions and tax considerations,
               and it (or others for whom it is contracting hereunder) is solely
               responsible for compliance with applicable resale restrictions
               and applicable tax legislation;

        (m)    the Purchaser has no knowledge of a "material fact" or "material
               change" (as those terms are defined in the Applicable
               Legislation) in the affairs of the Issuer that has not been
               generally disclosed to the public, save knowledge of this
               particular transaction;

        (n)    the offer made by this subscription is irrevocable (subject to
               the Purchaser's right to withdraw the subscription and to
               terminate the obligations as set out in this Agreement) and
               requires acceptance by the Issuer and approval of the TSE;

        (o)    the Purchaser has the legal capacity and competence to enter into
               and execute this Agreement and to take all actions required
               pursuant to the Subscription Agreement and, if the Purchaser is a
               corporation it is duly incorporated and validly subsisting under
               the laws of its jurisdiction of incorporation and all necessary
               approvals by its directors, shareholders and others have been
               given to authorize execution of this Agreement on behalf of the
               Purchaser;

        (p)    the entering into of this Agreement and the transactions
               contemplated hereby will not result in the violation of any of
               the terms and provisions of any law applicable to, or the
               constating documents of, the Purchaser or of any agreement,
               written or oral, to which the Purchaser may be a party or by
               which the Purchaser is or may be bound;

        (q)    this Agreement has been duly executed and delivered by the
               Purchaser and constitutes a legal, valid and binding agreement of
               the Purchaser enforceable against the Purchaser;

        (r)    the Purchaser has been independently advised as to the applicable
               hold period imposed in respect of the Securities by securities
               legislation in the jurisdiction in which the Purchaser resides
               and confirms that no representation has been made respecting the
               applicable hold periods for the Securities and is

<PAGE>

               aware of the risks and other characteristics of the Securities
               and of the fact that the Purchaser may not be able to resell the
               Securities except in accordance with the applicable securities
               legislation and regulatory policies;

        (s)    the Purchaser, and any beneficial purchaser for whom the
               Purchaser is acting, is resident in the state or jurisdiction set
               out on the first (cover) page of this Agreement;

        (t)    the Purchaser is capable of assessing the proposed investment as
               a result of the Purchaser's financial experience or as a result
               of advice received from a registered person other than the Issuer
               or any affiliates of the Issuer;

        (u)    if required by applicable securities legislation, policy or order
               or by any securities commission, stock exchange or other
               regulatory authority, the Purchaser will execute, deliver, file
               and otherwise assist the Issuer in filing, such reports,
               undertakings and other documents with respect to the issue of the
               Securities as may be required;

        (v)    the Purchaser acknowledges that the Agent or Canaccord Europe
               will receive a commission, agent's warrants,a corporate finance
               fee and an administration fee from the Issuer in connection with
               this Private Placement;

        (w)    the Purchaser will not conduct hedging transactions involving the
               Shares unless in compliance with the Applicable Legislation;

        (x)    the Purchaser acknowledges that the Issuer will refuse, and has
               instructed its transfer agent to refuse, to register any
               transfers of the Purchased Securities or the underlying Shares,
               Warrants or Warrants Shares unless such transfer is made in
               accordance with regulations pursuant to, or registration under,
               the Applicable Legislation (including the U.S. Securities Act) or
               pursuant to an available exemption from such registration.

2.2            RELIANCE, INDEMNITY AND NOTIFICATION OF CHANGES

The representations and warranties in the Subscription Agreement (including the
first (cover) page, the Terms on pages 2 to 4, the General Provisions on pages 1
to 8 and the other schedules and appendixes incorporated by reference) are made
by the Purchaser with the intent that they be relied upon by the Issuer and the
Agent in determining its suitability as a purchaser of Purchased Securities, and
the Purchaser hereby agrees to indemnify the Issuer and the Agent against all
losses, claims, costs, expenses and damages or liabilities which any of them may
suffer or incur as a result of reliance thereon. The Purchaser undertakes to
notify the Issuer and the Agent immediately of any change in any representation,
warranty or other information relating to the Purchaser set forth in the
Subscription Agreement (including the first (cover) page, the Terms on pages 2
to 4, the General Provisions on pages 1 to 8 and the other schedules and
appendixes incorporated by reference) which takes place prior to the Closing.

2.3            SURVIVAL OF REPRESENTATIONS AND WARRANTIES

The representations and warranties contained in this Section will survive the
Closing.

3.             REPRESENTATIONS AND WARRANTIES OF THE ISSUER

3.1            INCORPORATION BY REFERENCE FROM AGENCY AGREEMENT

The Issuer hereby makes in favour of the Purchaser the representations and
warranties of the Issuer contained in the Agency Agreement. The Issuer will
provide to the Purchaser, promptly on request and without charge, an extract
from

<PAGE>

the Agency Agreement certified by an officer of the Issuer as a true extract of
the representations and warranties contained in the Agency Agreement.

3.2            SURVIVAL OF REPRESENTATIONS AND WARRANTIES

The representations and warranties contained in this Section will survive the
Closing.

3.3            EXCLUSION OF LIABILITY OF AGENT

The Purchaser acknowledges that the Agent is acting as an agent in this
transaction and that all warranties, conditions, representations or
stipulations, other than those relating solely to the Agent, whether express or
implied and whether arising hereunder or under prior agreement or statement or
by statute or at common law are expressly those of the Issuer. The Purchaser
acknowledges that no information or representation concerning the Issuer has
been provided to the Purchaser by the Issuer, the Agent or Canaccord Europe
other than those contained in the Subscription Agreement and the Agency
Agreement and that the Purchaser is relying entirely upon the Subscription
Agreement and the Agency Agreement. Any information given or statement made is
given or made without liability or responsibility howsoever arising on the part
of the Agent or Canaccord Europe. No person in the employment of, or acting as
agent of, the Agent or Canaccord Europe has any authority to make or give any
representation or warranty whatsoever in relation to the Issuer or the
Securities. Any information given or statement made is given or made without
liability or responsibility howsoever arising on the part of the Agent or
Canaccord Europe, and the Purchaser hereby releases the Agent and Canaccord
Europe from any claims that may arise in respect of any such information given
or statement made.

4.             WITHDRAWAL OF SUBSCRIPTION AND CONTRACTUAL RIGHTS

The Purchaser reserves the right to withdraw this subscription and to terminate
its obligations hereunder at any time before Closing if the Agent terminates its
obligations with respect to the Private Placement under the Agency Agreement and
hereby appoints the Agent as its agent for the purpose of notifying the Issuer
of the withdrawal or termination of this subscription.

If the Purchaser, who acquires Shares and Warrants on the deemed exercise of the
Purchased Securities purchased by it, is or becomes entitled under the
Applicable Legislation to the remedy of rescission by reason of the Prospectus
or any amendment thereto containing a misrepresentation, the Purchaser will be
entitled to rescission not only of the Purchaser's exercise of such Purchased
Securities, but also of its subscription hereunder, and will be entitled in
connection with such rescission to a full refund from the Issuer of all
consideration paid to the Issuer on acquisition of such Purchased Securities.
The foregoing is in addition to any other right or remedy available to the
Purchaser under the Applicable Legislation or otherwise at law.

5.             CLOSING

5.1            The Purchaser acknowledges that there is a risk that insufficient
funds may be raised on the Closing to fund the Issuer's business objectives.

5.2            On or before the end of the fifth business day before the Closing
Date, the Purchaser will deliver to the Issuer or the Agent the Subscription
Agreement and all applicable schedules and required forms, duly executed, and
payment in full for the total price of the Purchased Securities to be purchased
by the Purchaser.

5.3            At Closing, the Issuer will deliver to the Agent the certificates
representing the Purchased Securities purchased by the Purchaser registered in
the name of the Purchaser or its nominee.

<PAGE>

6.             INDEMNITY IN CONNECTION WITH REGISTRATION STATEMENT

The Purchaser hereby indemnifies the Issuer, its affiliates, any person who
signed the Registration Statement, and their respective officers, directors and
control persons against all such losses, claims, damages, liabilities and
expenses (including but not limited to reasonable expenses incurred in
investigating, preparing and defending against any claim) insofar as they arise
out of or are based upon or are caused by any untrue statement or alleged untrue
statement or any omission or alleged omission based on written information
furnished to the Issuer by or on behalf of the Purchaser for the inclusion in
any Registration Statement or prospectus (and any amendments or supplements
thereto).

7.             MISCELLANEOUS

7.1            The Purchaser was introduced to the Issuer by the Agent or
Canaccord Europe under the terms of the Agency Agreement.

7.2            The Purchaser agrees to sell, assign or transfer the Securities
only in accordance with the requirements of Applicable Legislation and any
legends placed on the Securities as contemplated by the Subscription Agreement.

7.3            The Purchaser hereby irrevocably authorizes the Agent, in its
sole discretion:

        (a)    to act as the Purchaser's representative at the Closing, to
               receive certificates for Purchased Securities subscribed for and
               to execute in its name and on its behalf all closing receipts and
               documents required; and

        (b)    to waive, in whole or in part, any representations, warranties,
               covenants or conditions for the benefit of the Purchaser
               contained in the Subscription Agreement or in any agreement or
               document ancillary or related to the Private Placement.

7.4            The Purchaser hereby authorizes the Issuer to correct any minor
errors in, or complete any minor information missing from any part of the
Subscription Agreement and any other schedules, forms, certificates or documents
executed by the Purchaser and delivered to the Issuer in connection with the
Private Placement.

7.5            The Issuer and the Agent will be entitled to rely on delivery by
fax machine of an executed copy of this subscription, and acceptance by the
Issuer of such faxed copy will be equally effective to create a valid and
binding agreement between the Purchaser and the Issuer in accordance with the
terms of the Subscription Agreement.

7.6            Without limitation, this subscription and the transactions
contemplated hereby are conditional upon and subject to the Issuer receiving the
approval of the TSE and the AMEX to this subscription and the transactions
contemplated hereby.

7.7            This agreement is not assignable or transferable by the parties
hereto without the express written consent of the other party to this Agreement.

7.8            Time is of the essence of this Agreement and will be calculated
in accordance with the provisions of the Interpretation Act (British Columbia).

7.9            Except as expressly provided in this Agreement and in the
agreements, instruments and other documents contemplated or provided for herein,
this Agreement contains the entire agreement between the parties with respect to
the Securities and there are no other terms, conditions, representations or
warranties whether expressed, implied, oral or written, by statute, by common
law, by the Issuer, by the Agent, or by anyone else.

7.10           The parties to this Agreement may amend this Agreement only in
writing.

7.11           This Agreement enures to the benefit of and is binding upon the
parties to this Agreement and their successors and permitted assigns.

<PAGE>

7.12           A party to this Agreement will give all notices to or other
written communications with the other party to this Agreement concerning this
Agreement by hand or by registered mail addressed to the address given above.

7.13           This Agreement is to be read with all changes in gender or number
as required by the context.

7.14           This Agreement will be governed by and construed in accordance

with the internal laws of British Columbia (without reference to its rules
governing the choice or conflict of laws), and the parties hereto irrevocably
attorn and submit to the exclusive jurisdiction of the courts of British
Columbia with respect to any dispute related to this Agreement.

                            END OF GENERAL PROVISIONS

                          END OF SUBSCRIPTION AGREEMENT

<PAGE>

                            INSTRUCTIONS TO PURCHASER

   1.   Complete all the information in the boxes on page 1 and sign where
        indicated with an "X".

   2.   Complete the certification that starts on page 5 and sign where
        indicated with an "X" on page 7.

   3.   Complete the Toronto Stock Exchange private placement questionnaire and
        undertaking that starts on page 10 and sign where indicated with an "X"
        on page 11.

<PAGE>

 THIS IS PAGE 1 OF 16 PAGES OF A SUBSCRIPTION AGREEMENT AND RELATED APPENDIXES,
          SCHEDULES AND FORMS. COLLECTIVELY, THESE PAGES TOGETHER ARE
                   REFERRED TO AS THE "SUBSCRIPTION AGREEMENT".

                    PRIVATE PLACEMENT SUBSCRIPTION AGREEMENT
                       (UNITED STATES AND OUTSIDE CANADA)

TO:     GENETRONICS BIOMEDICAL CORPORATION (the "Issuer"),
        San Diego, California, U.S.A.

Subject and pursuant to the terms set out in the Terms on pages 2 to 4, the
General Provisions on pages 1 to 8 and the other schedules and appendixes
incorporated by reference, the undersigned (the "Purchaser") hereby irrevocably
subscribes for, and on Closing will purchase from the Issuer, the following
securities at the following price:

================================================================================

  ___________________________________________________________ Special Warrants

  USD 0.50 per Special Warrant for a total purchase price of USD _____________

  The Purchaser holds the following securities of the Issuer:

  ____________________________________________________________________________

================================================================================

The Purchaser directs the Issuer to issue, register and deliver the certificates
representing the Purchased Securities as follows:

--------------------------------------------------------------------------------

<TABLE>
------------------------------------------------------------------------------------------
<S>                                               <C>
REGISTRATION INSTRUCTIONS:                        DELIVERY INSTRUCTIONS:

_________________________________________         _________________________________________
Name to appear on certificate                     Name and account reference, if applicable

_________________________________________         _________________________________________
Account reference, if applicable                  Contact name

_________________________________________         _________________________________________
Address                                           Address

_________________________________________         _________________________________________
                                                  Telephone number

------------------------------------------------------------------------------------------

  EXECUTED by the Purchaser this _______ day of _____________, 2001.

------------------------------------------------------------------------------------------

WITNESS:                                          EXECUTION BY PURCHASER:

_________________________________________         X __________________________________________
Signature of witness                              Signature of individual (if Purchaser IS an
                                                  individual)
_________________________________________         X __________________________________________
Name of witness                                   Authorized signatory (if Purchaser is NOT an
                                                  individual)

_________________________________________         ____________________________________________
Address of witness                                Name of Purchaser (PLEASE PRINT)

_________________________________________         ____________________________________________
                                                  Name of authorized signatory (PLEASE PRINT)

ACCEPTED this ___ day of _________, 2001.
                                                  ____________________________________________
GENETRONICS BIOMEDICAL CORPORATION                Address of Purchaser (residence if an
Per:                                              individual)

_________________________________________
Authorized signatory

------------------------------------------------------------------------------------------
</TABLE>

By signing this acceptance, the Issuer agrees to be bound by the Terms on pages
2 to 4, the General Provisions on pages 1 to 8 and the other schedules and
appendixes incorporated by reference.

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 2 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

                                      TERMS

<TABLE>
<S>                                <C>
THE REFERENCE DATE OF THIS         October 1, 2001
AGREEMENT (THE "AGREEMENT DATE")

                                   THE OFFERING

THE ISSUER                         Genetronics Biomedical Corporation

THE AGENT                          The offering is made on a commercially
                                   reasonable efforts basis by Canaccord Capital
                                   (Europe) Limited (which, together with any
                                   sub-agents, is referred to as the "Agent")
                                   under an agency agreement dated for reference
                                   the Agreement Date (the "Agency Agreement").

THE "OFFERING"                     The offering consists of up to an aggregate
                                   of 4,389,468 non-transferable special
                                   warrants (the "Special Warrants") at USD 0.50
                                   per Special Warrant for proceeds of up to USD
                                   2,194,734. Each Special Warrant is
                                   exercisable without additional payment to
                                   acquire one common share (the "Shares") and
                                   one half share purchase warrant (the
                                   "Warrants"). Each whole Warrant may be
                                   exercised within 18 months from the date of
                                   issuance to the Purchaser to acquire one
                                   common share of the Issuer (the "Warrant
                                   Shares") at a price of USD 0.75 per share.

PROSPECTUS AND CONVERSION RATE     The Issuer will use its commercially
INCREASE                           reasonable efforts to ensure that the
                                   Special Warrants and the underlying Shares
                                   and Warrant Shares will be qualified by a
                                   prospectus in Canada (the "Prospectus") and
                                   the resale of the Shares and Warrant Shares
                                   by the initial purchasers of the Special
                                   Warrants will be the subject of a
                                   registration statement in the U.S. (the
                                   "Registration Statement") (the day on which
                                   final receipt for the Prospectus is received
                                   by the Issuer and on which the Registration
                                   Statement becomes effective or, if different,
                                   the later of such dates, being the
                                   "Qualification Date"). The Issuer will use
                                   its commercially reasonable efforts to have
                                   the Qualification Date occur within 90 days
                                   of the final closing (the "Final Closing") of
                                   this Offering. If the Qualification Date does
                                   not occur within 90 days of Final Closing and
                                   if the Purchaser has provided to the Issuer
                                   all of the information required of them by
                                   the Issuer to permit the Issuer to file the
                                   Registration Statement, the Purchaser will
                                   receive 1.2 Shares and 0.6 Warrants for each
                                   Special Warrant converted.

ADDITIONAL PROVISIONS IN RESPECT   Each Special Warrant may be exercised by the
OF THE SPECIAL WARRANTS            Purchasers in whole or in part at any time
                                   after each Closing. If, however, the Special
                                   Warrants are exercised prior to the day on
                                   which a final receipt for the Prospectus is
                                   received by the Issuer, the Shares and
                                   Warrant Shares underlying the Special
                                   Warrants and Warrants, respectively, may not
                                   be traded in British Columbia for a period of
                                   six months from Closing and may not be traded
                                   in Ontario for a period of one year from
                                   Closing. If the Special Warrants are
                                   exercised prior to the day on which the
                                   Registration Statement becomes effective, the
                                   Shares and Warrant Shares underlying the
                                   Special Warrants will be subject to
                                   restrictions on trading under the U.S.
                                   Securities Act until at least one year from
                                   Closing.

                                   All unexercised Special Warrants will be
                                   deemed to be exercised on that day which is
                                   the fifth business day after the day on which
                                   final receipt for the Prospectus is received
                                   by the Issuer.

PURCHASED SECURITIES               The "Purchased Securities" are Special
                                   Warrants convertible into one common share
                                   and one-half share purchase warrant.
</TABLE>

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 3 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

<TABLE>
<S>                                <C>
TOTAL AMOUNT                       A maximum of 4,389,468 Special Warrants.

PRICE                              USD 0.50 for maximum total proceeds of USD
                                   2,194,734.

WARRANTS                           Subject to the Applicable Legislation and the
                                   rules and policies of the Toronto Stock
                                   Exchange and the American Stock Exchange, the
                                   Warrants will be non-transferable.

                                   The certificates representing the Warrants
                                   will contain, among other things, the
                                   complete provisions concerning the exercise
                                   of the Warrants and provisions for the
                                   appropriate adjustment in the class and
                                   number of the Warrant Shares issued upon
                                   conversion of the Warrants upon the
                                   occurrence of certain events, including any
                                   subdivision, consolidation or
                                   reclassification of the common shares of the
                                   Issuer, the payment of stock dividends and
                                   the merger of the Issuer.

                                   The Warrants will not restrict or prevent the
                                   Issuer from obtaining any other financing, or
                                   from issuing additional securities or rights.

SELLING JURISDICTIONS              The United States, British Columbia, Ontario
                                   and certain offshore jurisdictions outside of
                                   Canada and the United States.

"CLOSING DATE"                     October 17, 2001, or at such other date as
                                   agreed by the Issuer and the Agent.

LEGENDS                            The certificates representing the Securities
                                   will be endorsed with only the following
                                   legends:

                                   THE SECURITIES REPRESENTED BY THIS
                                   CERTIFICATE ARE SUBJECT TO A HOLD PERIOD AND
                                   MAY NOT BE TRADED IN BRITISH COLUMBIA UNTIL
                                   12:01 A.M. ON [DATE SIX MONTHS AND ONE DAY
                                   FROM CLOSING] OR IN ONTARIO UNTIL 12:01 A.M.
                                   ON [IN THE CASE OF THE SPECIAL WARRANTS AND
                                   WARRANTS, DATE 18 MONTHS AND ONE DAY FROM
                                   CLOSING AND, IN THE CASE OF THE UNDERLYING
                                   SHARES, DATE ONE YEAR AND ONE DAY FROM
                                   CLOSING] EXCEPT AS PERMITTED BY THE TORONTO
                                   STOCK EXCHANGE AND THE APPLICABLE SECURITIES
                                   LEGISLATION IN THOSE JURISDICTIONS.

                                   THE SECURITIES REPRESENTED HEREBY HAVE NOT
                                   BEEN REGISTERED UNDER THE U.S. SECURITIES ACT
                                   OF 1933, AS AMENDED (THE "U.S. SECURITIES
                                   ACT") OR UNDER ANY STATE SECURITIES LAWS. THE
                                   HOLDER HEREOF, BY PURCHASING SUCH SECURITIES,
                                   AGREES FOR THE BENEFIT OF THE CORPORATION
                                   THAT SUCH SECURITIES MAY BE OFFERED, SOLD OR
                                   OTHERWISE TRANSFERRED ONLY (A) TO THE
                                   CORPORATION, (B) PURSUANT TO AN EXEMPTION
                                   FROM REGISTRATION UNDER THE U.S. SECURITIES
                                   ACT PROVIDED BY RULE 144 THEREUNDER OR
                                   ANOTHER APPLICABLE EXEMPTION, OR (C) PURSUANT
                                   TO AN EFFECTIVE REGISTRATION STATEMENT.
                                   DELIVERY OF THIS CERTIFICATE MAY NOT
                                   CONSTITUTE "GOOD DELIVERY" IN SETTLEMENT OF
                                   TRANSACTIONS ON STOCK EXCHANGES IN CANADA.

                                   THE ISSUER

JURISDICTION OF ORGANIZATION       The Issuer is incorporated under the laws of
                                   Delaware.

AUTHORIZED AND OUTSTANDING         The authorized capital of the Issuer is
CAPITAL                            100,000,000 shares of common stock with a par
                                   value of $0.001 per share and 10,000,000
                                   shares of preferred stock
</TABLE>

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 4 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

<TABLE>
<S>                                <C>
                                   with a par value of $0.01 per share. As of
                                   October 1, 2001, the issued capital of the
                                   Issuer is 33,759,968 shares of common stock.

STOCK EXCHANGE LISTINGS            Shares of the Issuer are listed on the
                                   Toronto Stock Exchange (the "TSE") and the
                                   American Stock Exchange ("AMEX")

"SECURITIES LEGISLATION            The Securities Act (Ontario), R.S.O. 1990, c.
APPLICABLE TO THE ISSUER" OR       S.5, as amended (the "Ontario Act") (pursuant
"APPLICABLE LEGISLATION"           to which the Issuer is a "reporting issuer"),
                                   the Securities Act, R.S.B.C. 1996, c. 418, as
                                   amended (the "B.C. Act") (pursuant to which
                                   the Issuer is a "reporting issuer"), and the
                                   U.S. Securities Act of 1933, as amended (the
                                   "U.S. Securities Act") (to the extent that
                                   the U.S. Securities Act is applicable on the
                                   issuance of securities to U.S. Persons or to
                                   non-U.S. Persons under Regulation D, all of
                                   which terms are terms are defined below),
                                   together with the regulations and rules made
                                   and promulgated thereunder and all
                                   administrative policy statements, blanket
                                   orders and rulings, notices, and other
                                   administrative directions issued by the
                                   Commissions (as defined below), along with
                                   the rules and policies of the TSE (the "TSE
                                   Policies") and the rules and policies of the
                                   AMEX (the "AMEX Policies").

"APPLICABLE EXEMPTIONS"            The Offering is being made in accordance with
                                   the exemptions from, or the non-applicability
                                   of, the registration and prospectus
                                   requirements (the "Applicable Exemptions") of
                                   the Applicable Legislation as provided in an
                                   Interpretation Note regarding "offshore"
                                   distributions published by the Ontario
                                   Securities Commission, BCI 72-503 of the B.C.
                                   Securities Commission, sections 35(1)(5) and
                                   72(1)(d) of the Ontario Act, sections
                                   45(1)(5) and 74(2)(4) of the B.C. Act and
                                   Regulation D of the U.S. Securities Act.

                                  END OF TERMS
</TABLE>

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 5 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

                CERTIFICATION FOR U.S. SECURITIES LAW COMPLIANCE

(Capitalized terms not specifically defined in this Certification have the
meaning ascribed to them in the Subscription Agreement to which this Schedule is
attached.)

In connection with the execution of the Subscription Agreement to which this
Schedule is attached, the Purchaser represents and warrants to the Issuer that:

  (a)   It has such knowledge and experience in financial and business matters
        as to be capable of evaluating the merits and risks of an investment in
        the Purchased Securities and it is able to bear the economic risk of
        loss of its entire investment.

  (b)   The Issuer has provided to it the opportunity to ask questions and
        receive answers concerning the terms and conditions of the Offering and
        it has had access to such information concerning the Issuer as it has
        considered necessary or appropriate in connection with its investment
        decision to acquire the Purchased Securities.

  (c)   It is acquiring the Purchased Securities for its own account, for
        investment purposes only and not with a view to any resale, distribution
        or other disposition of the Purchased Securities in violation of the
        United States securities laws.

  (d)   It understands the Purchased Securities have not been and will not be
        registered under the U.S. Securities Act of 1933, as amended (the "1933
        Act") or the securities laws of any state of the United States and that
        the sale contemplated hereby is being made in reliance on an exemption
        from such registration requirements. It further understands that, while
        the Issuer has agreed to use its best efforts to file a registration
        statement in respect of the Purchaser's resale of the Shares and the
        Warrant Shares (the "Registration Statement"), in compliance with the
        U.S. Securities Act with the United States Securities and Exchange
        Commission, and to have the Registration Statement declared effective,
        there can be no assurance the Issuer will be able to do so. It also
        understands that it will be required to furnish certain information
        about it and its holdings of the Issuer's shares as part of the
        information that will be included in the Registration Statement.

  (e)   It satisfies one or more of the categories indicated below (please
        initial the appropriate lines):

        ____ Category 1.     An organization described in Section 501(c)(3) of
                             the United States Internal Revenue Code, a
                             corporation, a Massachusetts or similar business
                             trust or partnership, not formed for the specific
                             purpose of acquiring the Purchased Securities, with
                             total assets in excess of USD 5,000,000;

        ____ Category 2.     A natural person whose individual net worth, or
                             joint net worth with that person's spouse, at the
                             date of this Certification exceeds USD 1,000,000;

        ____ Category 3.     A natural person who had an individual income in
                             excess of USD 200,000 in each of the two most
                             recent years or joint income with that person's
                             spouse in excess of USD 300,000 in each of those
                             years and has a reasonable expectation of reaching
                             the same income level in the current year;

        ____ Category 4.     A trust that (a) has total assets in excess of USD
                             5,000,000, (b) was not formed for the specific
                             purpose of acquiring the Purchased Securities and
                             (c) is directed in its purchases of securities by a
                             person who has such knowledge and experience in
                             financial and business matters that he/she is
                             capable of evaluating the merits and risks of an
                             investment in the Purchased Securities;

        ____ Category 5.     An investment company registered under the
                             Investment Company Act of 1940 or a business
                             development company as defined in Section 2(a)(48)
                             of that Act;

        ____ Category 6.     A Small Business Investment Company licensed by the
                             U.S. Small Business Administration under Section
                             301(c) or (d) of the Small Business Investment Act
                             of 1958;

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 6 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

        ____ Category 7.     A private business development company as defined
                             in Section 202(a)(22) of the Investment Advisors
                             Act of 1940; or

        ____ Category 8.     An entity in which all of the equity owners satisfy
                             the requirements of one or more of the foregoing
                             categories.

  (f)   It has not purchased the Purchased Securities as a result of any form of
        general solicitation or general advertising, including advertisements,
        articles, notices or other communications published in any newspaper,
        magazine or similar media or broadcast over radio, or television, or
        other form of telecommunications, including electronic display, or any
        seminar or meeting whose attendees have been invited by general
        solicitation or general advertising.

  (g)   If it decides to offer, sell or otherwise transfer any of the Purchased
        Securities or the underlying Shares, Warrants or Warrant Shares, it will
        not offer, sell or otherwise transfer any of such securities directly or
        indirectly, unless:

         (i)   the sale is to the Issuer;

        (ii)   the sale is made outside the United States in a transaction
               meeting the requirements of Rule 904 of Regulation S under the
               U.S. Securities Act and in compliance with applicable local laws
               and regulations;

       (iii)   the sale is made pursuant to the exemption from the registration
               requirements under the U.S. Securities Act provided by Rule 144
               thereunder and in accordance with any applicable state securities
               or "blue sky" laws;

        (iv)   the Purchased Securities are sold in a transaction that does not
               require registration under the U.S. Securities Act or any
               applicable state laws and regulations governing the offer and
               sale of securities, and it has prior to such sale furnished to
               the Issuer an opinion of counsel reasonably satisfactory to the
               Issuer to the effect that such transaction does not require
               registration; or

         (v)   the sale is made pursuant to an effective registration statement
               filed under the U.S. Securities Act.

  (h)   The Purchased Securities and the underlying Shares, Warrants and Warrant
        Shares are "restricted securities" as that term is defined in the U.S.
        Securities Act, and the certificates representing the Purchased
        Securities and the Shares, Warrants and Warrant Shares issued upon
        conversion of the Purchased Securities, as well as all certificates
        issued in exchange for or in substitution of the foregoing, until such
        time as is no longer required under the applicable requirements of the
        U.S. Securities Act or applicable state securities laws, will bear, on
        the face of such certificate, a legend in substantially the following
        form:

               THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER
               THE U.S. SECURITIES ACT OF 1933, AS AMENDED (THE "U.S. SECURITIES
               ACT") OR UNDER ANY STATE SECURITIES LAWS. THE HOLDER HEREOF, BY
               PURCHASING SUCH SECURITIES, AGREES FOR THE BENEFIT OF THE
               CORPORATION THAT SUCH SECURITIES MAY BE OFFERED, SOLD OR
               OTHERWISE TRANSFERRED ONLY (A) TO THE CORPORATION, (B) PURSUANT
               TO AN EXEMPTION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT
               PROVIDED BY RULE 144 THEREUNDER OR ANOTHER APPLICABLE EXEMPTION,
               OR (C) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT. DELIVERY
               OF THIS CERTIFICATE MAY NOT CONSTITUTE "GOOD DELIVERY" IN
               SETTLEMENT OF TRANSACTIONS ON STOCK EXCHANGES IN CANADA.

  (i)   It understands and agrees that there may be material tax consequences to
        the Purchaser of an acquisition or disposition of the Securities. The
        Issuer gives no opinion and makes no representation with respect to the
        tax consequences to the Purchaser under United States, state, local or
        foreign tax law of the undersigned's acquisition or disposition of such
        Securities.

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 7 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

  (j)   It understands and agrees that the financial statements of the Issuer
        have been prepared in accordance with Canadian generally accepted
        accounting principles with a reconciliation to United States generally
        accepted accounting principles.

  (k)   It consents to the Issuer making a notation on its records or giving
        instructions to any transfer agent of the Issuer in order to implement
        the restrictions on transfer set forth and described in this
        Certification and the Subscription Agreement.

Dated _______________ 2001.

                                    X __________________________________________
                                    Signature of individual (if Purchaser IS an
                                    individual)

                                    X __________________________________________
                                    Authorized signatory (if Purchaser is NOT an
                                    individual)

                                    ____________________________________________
                                    Name of Purchaser (PLEASE PRINT)

                                    ____________________________________________
                                    Name of authorized signatory (PLEASE PRINT)

                                    ____________________________________________
                                    Official capacity of authorized signatory
                                    (PLEASE PRINT)

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 8 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

                           THE TORONTO STOCK EXCHANGE

                 PRIVATE PLACEMENT QUESTIONNAIRE AND UNDERTAKING

To be completed by each proposed private placement purchaser of listed
securities or securities which are convertible into listed securities.

                                  QUESTIONNAIRE

1.             DESCRIPTION OF TRANSACTION

        (a)    Name of issuer of the securities (the "Issuer")

               Genetronics Biomedical Corporation

        (b)    Number and class of securities to be purchased

    ____________________ Special Warrants; each Special Warrant is exercisable
    without additional payment to acquire one common share (the "Shares") and
    one half share purchase warrant (the "Warrants"); each whole Warrant may be
    exercised within 18 months from the date of issuance to the Purchaser to
    acquire one common share of the Issuer (the "Warrant Shares") at a price of
    USD 0.75 per share.

        (c)    Purchase price

               USD 0.50 per Special Warrant

2.             DETAILS OF PURCHASER

         (a)   Name of purchaser

               _________________________________________________________________

         (b)   Address

               _________________________________________________________________

               _________________________________________________________________

        (c)    Names and addresses of persons having a greater than 10%
               beneficial interest in the purchaser

               _________________________________________________________________

               _________________________________________________________________

3.             RELATIONSHIP TO ISSUER

        (a)    Is the purchaser (or any person named in response to 2(c) above)
               an insider of the Issuer for the purposes of the Ontario
               Securities Act (before giving effect to this private placement)?
               If so, state the capacity in which the purchaser (or person named
               in response to 2(c)) qualifies as an insider

               _________________________________________________________________

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED                          PAGE 9 OF 16 PAGES
APPENDIXES, SCHEDULES AND FORMS)

        (b)    If the answer to (a) is "no", are the purchaser and the Issuer
               controlled by the same person or company? If so, give details

               _________________________________________________________________

4.             DEALINGS OF PURCHASER IN SECURITIES OF THE ISSUER

        Give details of all trading by the purchaser, as principal, in the
        securities of the Issuer (other than debt securities which are not
        convertible into equity securities), directly or indirectly, within the
        60 days preceding the date hereof

        ________________________________________________________________________

        ________________________________________________________________________

                                  UNDERTAKING

TO:            The Toronto Stock Exchange

The undersigned has subscribed for and agreed to purchase, as principal, the
securities described in Item 1 of this Private Placement Questionnaire and
Undertaking.

The undersigned undertakes not to sell or otherwise dispose of any of the said
securities so purchased or any securities derived therefrom for a period that
expires on the earlier of six months from the date of the closing of the
transaction herein and the issuance of a receipt by the Ontario Securities
Commission for a final prospectus qualifying the distribution of the Shares and
the Warrants, without the prior consent of The Toronto Stock Exchange and any
other regulatory body having jurisdiction.

Dated _______________ 2001.

                                    X __________________________________________
                                    Signature of individual (if Purchaser IS an
                                    individual)

                                    X __________________________________________
                                    Authorized signatory (if Purchaser is NOT an
                                    individual)

                                    ____________________________________________
                                    Name of Purchaser (PLEASE PRINT)

                                    ____________________________________________
                                    Name of authorized signatory (PLEASE PRINT)

                                    ____________________________________________
                                    Official capacity of authorized signatory
                                    (PLEASE PRINT)

<PAGE>

                               GENERAL PROVISIONS

1.             DEFINITIONS

1.1            In the Subscription Agreement (including the first (cover) page,
               the Terms on pages 2 to 4, the General Provisions on pages 1 to
               8 and the other schedules and appendixes incorporated by
               reference), the following words have the following meanings
               unless otherwise indicated:

        (a)    "Agent" has the meaning assigned in the Terms;

        (b)    "Applicable Legislation" means the Securities Legislation
               Applicable to the Issuer (as defined on page 4) and all
               legislation incorporated in the definition of this term in other
               parts of the Subscription Agreement, together with the
               regulations and rules made and promulgated under that legislation
               and all administrative policy statements, blanket orders and
               rulings, notices and other administrative directions issued by
               the Commissions;

        (c)    "Closing" means the completion of the sale and purchase of the
               Purchased Securities;

        (d)    "Closing Date" has the meaning assigned in the Terms;

        (e)    "Commissions" means the B.C. Securities Commission, the Ontario
               Securities Commission and the SEC;

        (f)    "Final Closing" means the last closing under the Private
               Placement;

        (g)    "General Provisions" means those portions of the Subscription
               Agreement headed "General Provisions" and contained on page 1 to
               8;

        (h)    "Private Placement" means the offering of the Purchased
               Securities on the terms and conditions of the Agency Agreement
               and this Subscription Agreement;

        (i)    "Purchased Securities" has the meaning assigned in the Terms;

        (j)    "Regulation D" means Regulation D promulgated under the U.S.
               Securities Act;

        (k)    "Regulation S" means Regulation S promulgated under the U.S.
               Securities Act;

        (l)    "Regulatory Authorities" means the Commissions and the TSE;

        (m)    "SEC" means the Securities and Exchange Commission of the United
               States;

        (n)    "Securities" means the Special Warrants, the Shares, the Warrants
               and the Warrant Shares;

        (o)    "Subscription Agreement" means the first (cover) page, the Terms
               on pages 2 to 4, the General Provisions on pages 1 to 8 and the
               other schedules and appendixes incorporated by reference;

        (p)    "Terms" means those portions of the Subscription Agreement headed
               "Terms" and contained on page 2 to 4; and

        (q)    "U.S. Securities Act" means the Securities Act of 1933 (United
               States of America), as amended.

1.2            In the Subscription Agreement, the following terms have the
meanings defined in Regulation S: "U.S. Person" and "United States".

<PAGE>

1.3            In the Subscription Agreement, unless otherwise specified,
currencies are indicated with the ISO 4217 currency code so that United States
dollars are indicated with the prefix "USD".

1.4            In the Subscription Agreement, other words and phrases that are
capitalized have the meaning assigned in the Subscription Agreement.

2.             REPRESENTATIONS AND WARRANTIES OF PURCHASER

2.1            REPRESENTATIONS BY PURCHASER

The Purchaser represents and warrants to the Issuer that, as at the Agreement
Date and at the Closing:

        (a)    no prospectus has been filed by the Issuer with the Commissions
               in connection with the issuance of the Purchased Securities, the
               issuance is exempted from the prospectus requirements of the
               Applicable Legislation and:

               (i)    the Purchaser is restricted from using most of the civil
                      remedies available under the Applicable Legislation;

               (ii)   the Purchaser may not receive information that would
                      otherwise be required to be provided to the Purchaser
                      under the Applicable Legislation; and

               (iii)  the Issuer is relieved from certain obligations that would
                      otherwise apply under the Applicable Legislation;

        (b)    to the best of the Purchaser's knowledge, the Purchased
               Securities were not advertised;

        (c)    no person has made to the Purchaser any written or oral
               representations:

               (i)    that any person will resell or repurchase the Securities;

               (ii)   that any person will refund the purchase price of the
                      Purchased Securities;

               (iii)  as to the future price or value of any of the Securities;
                      or

               (iv)   that the Securities will be listed and posted for trading
                      on a stock exchange or that application has been made to
                      list and post the Securities for trading on a stock
                      exchange, other than the TSE and AMEX;

        (d)    the Purchaser is not resident in British Columbia or Ontario;

        (e)    the Purchaser is not a person, company or combination of persons
               or companies that is a "control person" of the Issuer as defined
               in the Applicable Legislation, will not become a "control person"
               by virtue of this purchase of any of the Securities, and does not
               intend to act in concert with any other person to form a control
               group of the Issuer;

        (f)    the Purchaser acknowledges that:

               (i)    no securities commission or similar regulatory authority
                      has reviewed or passed on the merits of the Securities;

               (ii)   there is no government or other insurance covering the
                      Securities;

               (iii)  there are risks associated with the purchase of the
                      Securities;

<PAGE>

               (iv)   there are restrictions on the Purchaser's ability to
                      resell the Securities and it is the responsibility of the
                      Purchaser to find out what those restrictions are and to
                      comply with them before selling the Securities; and

               (v)    the Issuer has advised the Purchaser that the Issuer is
                      relying on an exemption from the requirements to provide
                      the Purchaser with a prospectus and to sell securities
                      through a person registered to sell securities under the
                      Applicable Legislation and, as a consequence of acquiring
                      securities pursuant to this exemption, certain
                      protections, rights and remedies provided by the
                      Applicable Legislation, including statutory rights of
                      rescission or damages, will not be available to the
                      Purchaser;

        (g)    this subscription has not been solicited in any other manner
               contrary to the Applicable Legislation;

        (h)    the Purchaser is at arm's length (as that term is customarily
               defined) with the Issuer;

        (i)    the Purchaser acknowledges that the Securities are subject to
               restrictions on trading in British Columbia and Ontario as
               described in the section headed "Legends" on page 3;

        (j)    the Purchaser acknowledges that the Securities have not been
               registered under the U.S. Securities Act and may not be offered
               or sold unless registered under the U.S. Securities Act and the
               securities laws of all applicable states of the United States or
               an exemption from such registration requirements is available;

        (k)    the Purchaser acknowledges that the Issuer will use its
               commercially reasonable efforts to obtain a final receipt for a
               Prospectus in British Columbia and Ontario and to procure the
               effectiveness of a Registration Statement in the U.S. within 90
               days of the Final Closing;

        (l)    the Purchaser (or others for whom it is contracting hereunder)
               has been advised to consult its own legal and tax advisors with
               respect to applicable resale restrictions and tax considerations,
               and it (or others for whom it is contracting hereunder) is solely
               responsible for compliance with applicable resale restrictions
               and applicable tax legislation;

        (m)    the Purchaser has no knowledge of a "material fact" or "material
               change" (as those terms are defined in the Applicable
               Legislation) in the affairs of the Issuer that has not been
               generally disclosed to the public, save knowledge of this
               particular transaction;

        (n)    the offer made by this subscription is irrevocable (subject to
               the Purchaser's right to withdraw the subscription and to
               terminate the obligations as set out in this Agreement) and
               requires acceptance by the Issuer and approval of the TSE;

        (o)    the Purchaser has the legal capacity and competence to enter into
               and execute this Agreement and to take all actions required
               pursuant to the Subscription Agreement and, if the Purchaser is a
               corporation it is duly incorporated and validly subsisting under
               the laws of its jurisdiction of incorporation and all necessary
               approvals by its directors, shareholders and others have been
               given to authorize execution of this Agreement on behalf of the
               Purchaser;

        (p)    the entering into of this Agreement and the transactions
               contemplated hereby will not result in the violation of any of
               the terms and provisions of any law applicable to, or the
               constating documents of, the Purchaser or of any agreement,
               written or oral, to which the Purchaser may be a party or by
               which the Purchaser is or may be bound;

        (q)    this Agreement has been duly executed and delivered by the
               Purchaser and constitutes a legal, valid and binding agreement of
               the Purchaser enforceable against the Purchaser;

        (r)    the Purchaser has been independently advised as to the applicable
               hold period imposed in respect of the Securities by securities
               legislation in the jurisdiction in which the Purchaser resides
               and confirms that no representation has been made respecting the
               applicable hold periods for the Securities and is

<PAGE>

               aware of the risks and other characteristics of the Securities
               and of the fact that the Purchaser may not be able to resell the
               Securities except in accordance with the applicable securities
               legislation and regulatory policies;

        (s)    the Purchaser, and any beneficial purchaser for whom the
               Purchaser is acting, is resident in the province or jurisdiction
               set out on the first (cover) page of this Agreement;

        (t)    the Purchaser is capable of assessing the proposed investment as
               a result of the Purchaser's financial experience or as a result
               of advice received from a registered person other than the Issuer
               or any affiliates of the Issuer;

        (u)    if required by applicable securities legislation, policy or order
               or by any securities commission, stock exchange or other
               regulatory authority, the Purchaser will execute, deliver, file
               and otherwise assist the Issuer in filing, such reports,
               undertakings and other documents with respect to the issue of the
               Securities as may be required;

        (v)    the Purchaser acknowledges that the Agent will receive a
               commission, agent's warrants and a corporate finance fee from the
               Issuer in connection with this Private Placement;

        (w)    the Purchaser will not conduct hedging transactions involving the
               Shares unless in compliance with the Applicable Legislation;

        (x)    the Purchaser acknowledges that the Issuer will refuse, and has
               instructed its transfer agent to refuse, to register any
               transfers of the Purchased Securities or the underlying Shares,
               Warrants or Warrants Shares unless such transfer is made in
               accordance with regulations pursuant to, or registration under,
               the Applicable Legislation (including the U.S. Securities Act) or
               pursuant to an available exemption from such registration.

2.2            RELIANCE, INDEMNITY AND NOTIFICATION OF CHANGES

The representations and warranties in the Subscription Agreement (including the
first (cover) page, the Terms on pages 2 to 4, the General Provisions on pages 1
to 8 and the other schedules and appendixes incorporated by reference) are made
by the Purchaser with the intent that they be relied upon by the Issuer and the
Agent in determining its suitability as a purchaser of Purchased Securities, and
the Purchaser hereby agrees to indemnify the Issuer and the Agent against all
losses, claims, costs, expenses and damages or liabilities which any of them may
suffer or incur as a result of reliance thereon. The Purchaser undertakes to
notify the Issuer and the Agent immediately of any change in any representation,
warranty or other information relating to the Purchaser set forth in the
Subscription Agreement (including the first (cover) page, the Terms on pages 2
to 4, the General Provisions on pages 1 to 8 and the other schedules and
appendixes incorporated by reference) which takes place prior to the Closing.

2.3            SURVIVAL OF REPRESENTATIONS AND WARRANTIES

The representations and warranties contained in this Section will survive the
Closing.

<PAGE>

3.             REPRESENTATIONS AND WARRANTIES OF THE ISSUER

3.1            INCORPORATION BY REFERENCE FROM AGENCY AGREEMENT

The Issuer hereby makes in favour of the Purchaser the representations and
warranties of the Issuer contained in the Agency Agreement. The Issuer will
provide to the Purchaser, promptly on request and without charge, an extract
from the Agency Agreement certified by an officer of the Issuer as a true
extract of the representations and warranties contained in the Agency Agreement.

3.2            SURVIVAL OF REPRESENTATIONS AND WARRANTIES

The representations and warranties contained in this Section will survive the
Closing.

3.3            EXCLUSION OF LIABILITY OF AGENT

The Purchaser acknowledges that the Agent is acting as an agent in this
transaction and that all warranties, conditions, representations or
stipulations, other than those relating solely to the Agent, whether express or
implied and whether arising hereunder or under prior agreement or statement or
by statute or at common law are expressly those of the Issuer. The Purchaser
acknowledges that no information or representation concerning the Issuer has
been provided to the Purchaser by the Issuer or the Agent other than those
contained in the Subscription Agreement and the Agency Agreement and that the
Purchaser is relying entirely upon the Subscription Agreement and the Agency
Agreement. Any information given or statement made is given or made without
liability or responsibility howsoever arising on the part of the Agent. No
person in the employment of, or acting as agent of, the Agent has any authority
to make or give any representation or warranty whatsoever in relation to the
Issuer or the Securities. Any information given or statement made is given or
made without liability or responsibility howsoever arising on the part of the
Agent, and the Purchaser hereby releases the Agent from any claims that may
arise in respect of any such information given or statement made.

4.             WITHDRAWAL OF SUBSCRIPTION AND CONTRACTUAL RIGHTS

The Purchaser reserves the right to withdraw this subscription and to terminate
its obligations hereunder at any time before Closing if the Agent terminates its
obligations with respect to the Private Placement under the Agency Agreement and
hereby appoints the Agent as its agent for the purpose of notifying the Issuer
of the withdrawal or termination of this subscription.

If the Purchaser, who acquires Shares and Warrants on the deemed exercise of the
Purchased Securities purchased by it, is or becomes entitled under the
Applicable Legislation to the remedy of rescission by reason of the Prospectus
or any amendment thereto containing a misrepresentation, the Purchaser will be
entitled to rescission not only of the Purchaser's exercise of such Purchased
Securities, but also of its subscription hereunder, and will be entitled in
connection with such rescission to a full refund from the Issuer of all
consideration paid to the Issuer on acquisition of such Purchased Securities.
The foregoing is in addition to any other right or remedy available to the
Purchaser under the Applicable Legislation or otherwise at law.

5.             CLOSING

5.1            The Purchaser acknowledges that, although Purchased Securities
may be issued to other purchasers under the Private Placement concurrently with
the Closing, there may be other sales of Purchased Securities under the Private
Placement, some or all of which may close after the Closing. The Purchaser
further acknowledges that there is a risk that insufficient funds may be raised
on the Closing to fund the Issuer's business objectives and that further
closings may not take place after the Closing.

<PAGE>

5.2            On or before the end of the fifth business day before the Closing
Date, the Purchaser will deliver to the Issuer or the Agent the Subscription
Agreement and all applicable schedules and required forms, duly executed, and
payment in full for the total price of the Purchased Securities to be purchased
by the Purchaser.

5.3            At Closing, the Issuer will deliver to the Agent the certificates
representing the Purchased Securities purchased by the Purchaser registered in
the name of the Purchaser or its nominee.

6.             INDEMNITY IN CONNECTION WITH REGISTRATION STATEMENT

The Purchaser hereby indemnifies the Issuer, its affiliates, any person who
signed the Registration Statement, and their respective officers, directors and
control persons against all such losses, claims, damages, liabilities and
expenses (including but not limited to reasonable expenses incurred in
investigating, preparing and defending against any claim) insofar as they arise
out of or are based upon or are caused by any untrue statement or alleged untrue
statement or any omission or alleged omission based on written information
furnished to the Issuer by or on behalf of the Purchaser for the inclusion in
any Registration Statement or prospectus (and any amendments or supplements
thereto).

7.             MISCELLANEOUS

7.1            The Purchaser was introduced to the Issuer by the Agent under the
terms of the Agency Agreement.

7.2            The Purchaser agrees to sell, assign or transfer the Securities
only in accordance with the requirements of Applicable Legislation and any
legends placed on the Securities as contemplated by the Subscription Agreement.

7.3            The Purchaser hereby irrevocably authorizes the Agent, in its
sole discretion:

        (a)    to act as the Purchaser's representative at the Closing, to
               receive certificates for Purchased Securities subscribed for and
               to execute in its name and on its behalf all closing receipts and
               documents required; and

        (b)    to waive, in whole or in part, any representations, warranties,
               covenants or conditions for the benefit of the Purchaser
               contained in the Subscription Agreement or in any agreement or
               document ancillary or related to the Private Placement.

7.4            The Purchaser hereby authorizes the Issuer to correct any minor
errors in, or complete any minor information missing from any part of the
Subscription Agreement and any other schedules, forms, certificates or documents
executed by the Purchaser and delivered to the Issuer in connection with the
Private Placement.

7.5            The Issuer and the Agent will be entitled to rely on delivery by
fax machine of an executed copy of this subscription, and acceptance by the
Issuer of such faxed copy will be equally effective to create a valid and
binding agreement between the Purchaser and the Issuer in accordance with the
terms of the Subscription Agreement.

7.6            Without limitation, this subscription and the transactions
contemplated hereby are conditional upon and subject to the Issuer receiving the
approval of the TSE and the AMEX to this subscription and the transactions
contemplated hereby.

7.7            This agreement is not assignable or transferable by the parties
hereto without the express written consent of the other party to this Agreement.

7.8            Time is of the essence of this Agreement and will be calculated
in accordance with the provisions of the Interpretation Act (British Columbia).

7.9            Except as expressly provided in this Agreement and in the
agreements, instruments and other documents contemplated or provided for herein,
this Agreement contains the entire agreement between the parties with

<PAGE>

respect to the Securities and there are no other terms, conditions,
representations or warranties whether expressed, implied, oral or written, by
statute, by common law, by the Issuer, by the Agent, or by anyone else.

7.10           The parties to this Agreement may amend this Agreement only in
writing.

7.11           This Agreement enures to the benefit of and is binding upon the
parties to this Agreement and their successors and permitted assigns.

7.12           A party to this Agreement will give all notices to or other
written communications with the other party to this Agreement concerning this
Agreement by hand or by registered mail addressed to the address given above.

7.13           This Agreement is to be read with all changes in gender or number
as required by the context.

7.14           This Agreement will be governed by and construed in accordance
with the internal laws of British Columbia (without reference to its rules
governing the choice or conflict of laws), and the parties hereto irrevocably
attorn and submit to the exclusive jurisdiction of the courts of British
Columbia with respect to any dispute related to this Agreement.

                            END OF GENERAL PROVISIONS

                          END OF SUBSCRIPTION AGREEMENT

<PAGE>

                            INSTRUCTIONS TO PURCHASER

   1.   Complete all the information in the boxes on page 1 and sign where
        indicated with an "X".

   2.   Complete the certification that starts on page 5 and sign where
        indicated with an "X" on page 7.

   3.   Complete the Toronto Stock Exchange private placement questionnaire and
        undertaking that starts on page 10 and sign where indicated with an "X"
        on page 11.

<PAGE>

 THIS IS PAGE 1 OF 17 PAGES OF A SUBSCRIPTION AGREEMENT AND RELATED APPENDIXES,
          SCHEDULES AND FORMS. COLLECTIVELY, THESE PAGES TOGETHER ARE
                   REFERRED TO AS THE"SUBSCRIPTION AGREEMENT".

                    PRIVATE PLACEMENT SUBSCRIPTION AGREEMENT
                     (ONTARIO $150,000 MINIMUM SUBSCRIPTION)

TO:     GENETRONICS BIOMEDICAL CORPORATION (the "Issuer"),
        San Diego, California, U.S.A.

Subject and pursuant to the terms set out in the Terms on pages 2 to 4, the
General Provisions on pages 1 to 8 and the other schedules and appendixes
incorporated by reference, the undersigned (the "Purchaser") hereby irrevocably
subscribes for, and on Closing will purchase from the Issuer, the following
securities at the following price:

================================================================================

  ___________________________________________________________ Special Warrants

  USD 0.50 per Special Warrant for a total purchase price of USD _____________

  The Purchaser holds the following securities of the Issuer:

  ____________________________________________________________________________

================================================================================

The Purchaser directs the Issuer to issue, register and deliver the certificates
representing the Purchased Securities as follows:

--------------------------------------------------------------------------------

<TABLE>
------------------------------------------------------------------------------------------
<S>                                               <C>
REGISTRATION INSTRUCTIONS:                        DELIVERY INSTRUCTIONS:

_________________________________________         _________________________________________
Name to appear on certificate                     Name and account reference, if applicable

_________________________________________         _________________________________________
Account reference, if applicable                  Contact name

_________________________________________         _________________________________________
Address                                           Address

_________________________________________         _________________________________________
                                                  Telephone number

------------------------------------------------------------------------------------------

  EXECUTED by the Purchaser this _______ day of _____________, 2001.

------------------------------------------------------------------------------------------

WITNESS:                                          EXECUTION BY PURCHASER:

_________________________________________         X __________________________________________
Signature of witness                              Signature of individual (if Purchaser IS an
                                                  individual)
_________________________________________         X __________________________________________
Name of witness                                   Authorized signatory (if Purchaser is NOT an
                                                  individual)

_________________________________________         ____________________________________________
Address of witness                                Name of Purchaser (PLEASE PRINT)

_________________________________________         ____________________________________________
                                                  Name of authorized signatory (PLEASE PRINT)

ACCEPTED this ___ day of _________, 2001.
                                                  ____________________________________________
GENETRONICS BIOMEDICAL CORPORATION                Address of Purchaser (residence if an
Per:                                              individual)

_________________________________________
Authorized signatory

------------------------------------------------------------------------------------------
</TABLE>

By signing this acceptance, the Issuer agrees to be bound by the Terms on pages
2 to 4, the General Provisions on pages 1 to 8 and the other schedules and
appendixes incorporated by reference.

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,              PAGE 2 OF 17 PAGES
SCHEDULES AND FORMS)

                                      TERMS

<TABLE>
<S>                                <C>
THE REFERENCE DATE OF THIS         October 1, 2001
AGREEMENT (THE "AGREEMENT DATE")

                                   THE OFFERING

THE ISSUER                         Genetronics Biomedical Corporation

THE AGENT                          The offering is made on a commercially
                                   reasonable efforts basis by Canaccord Capital
                                   (Europe) Limited (which, together with any
                                   sub-agents, is referred to as the "Agent")
                                   under an agency agreement dated for reference
                                   the Agreement Date (the "Agency Agreement").

THE "OFFERING"                     The offering consists of up to an aggregate
                                   of 4,389,468 non-transferable special
                                   warrants (the "Special Warrants") at USD 0.50
                                   per Special Warrant for proceeds of up to USD
                                   2,194,734. Each Special Warrant is
                                   exercisable without additional payment to
                                   acquire one common share (the "Shares") and
                                   one half share purchase warrant (the
                                   "Warrants"). Each whole Warrant may be
                                   exercised within 18 months from the date of
                                   issuance to the Purchaser to acquire one
                                   common share of the Issuer (the "Warrant
                                   Shares") at a price of USD 0.75 per share.

PROSPECTUS AND CONVERSION RATE     The Issuer will use its commercially
INCREASE                           reasonable efforts to ensure that the Special
                                   Warrants and the underlying Shares and
                                   Warrant Shares will be qualified by a
                                   prospectus in Canada (the "Prospectus") and
                                   the resale of the Shares and Warrant Shares
                                   by the initial purchasers of the Special
                                   Warrants will be the subject of a
                                   registration statement in the U.S. (the
                                   "Registration Statement") (the day on which
                                   final receipt for the Prospectus is received
                                   by the Issuer and on which the Registration
                                   Statement becomes effective or, if different,
                                   the later of such dates, being the
                                   "Qualification Date"). The Issuer will use
                                   its commercially reasonable efforts to have
                                   the Qualification Date occur within 90 days
                                   of the final closing (the "Final Closing") of
                                   this Offering. If the Qualification Date does
                                   not occur within 90 days of Final Closing and
                                   if the Purchaser has provided to the Issuer
                                   all of the information required of them by
                                   the Issuer to permit the Issuer to file the
                                   Registration Statement, the Purchaser will
                                   receive 1.2 Shares and 0.6 Warrants for each
                                   Special Warrant converted.

ADDITIONAL PROVISIONS IN RESPECT   Each Special Warrant may be exercised by the
OF THE SPECIAL WARRANTS            Purchasers in whole or in part at any time
                                   after each Closing. If, however, the Special
                                   Warrants are exercised prior to the day on
                                   which a final receipt for the Prospectus is
                                   received by the Issuer, the Shares and
                                   Warrant Shares underlying the Special
                                   Warrants and Warrants, respectively, may not
                                   be traded in British Columbia for a period of
                                   six months from Closing and may not be traded
                                   in Ontario for a period of one year from
                                   Closing. If the Special Warrants are
                                   exercised prior to the day on which the
                                   Registration Statement becomes effective, the
                                   Shares and Warrant Shares underlying the
                                   Special Warrants will be subject to
                                   restrictions on trading under the U.S.
                                   Securities Act until at least one year from
                                   Closing.

                                   All unexercised Special Warrants will be
                                   deemed to be exercised on that day which is
                                   the fifth business day after the day on which
                                   final receipt for the Prospectus is received
                                   by the Issuer.

PURCHASED SECURITIES               The "Purchased Securities" are Special
                                   Warrants convertible into one common share
                                   and one-half share purchase warrant.
</TABLE>
<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,              PAGE 3 OF 17 PAGES
SCHEDULES AND FORMS)

<TABLE>
<S>                                <C>
TOTAL AMOUNT                       A maximum of 4,389,468 Special Warrants.

PRICE                              USD 0.50 for maximum total proceeds of USD
                                   2,194,734.

WARRANTS                           Subject to the Applicable Legislation and the
                                   rules and policies of the Toronto Stock
                                   Exchange and the American Stock Exchange, the
                                   Warrants will be non-transferable.

                                   The certificates representing the Warrants
                                   will contain, among other things, the
                                   complete provisions concerning the exercise
                                   of the Warrants and provisions for the
                                   appropriate adjustment in the class and
                                   number of the Warrant Shares issued upon
                                   conversion of the Warrants upon the
                                   occurrence of certain events, including any
                                   subdivision, consolidation or
                                   reclassification of the common shares of the
                                   Issuer, the payment of stock dividends and
                                   the merger of the Issuer.

                                   The Warrants will not restrict or prevent the
                                   Issuer from obtaining any other financing, or
                                   from issuing additional securities or rights.

SELLING JURISDICTIONS              The United States, British Columbia, Ontario
                                   and certain offshore jurisdictions outside of
                                   Canada and the United States.

"CLOSING DATE"                     October 17, 2001, or at such other date as
                                   agreed by the Issuer and the Agent.

LEGENDS                            The certificates representing the Securities
                                   will be endorsed with only the following
                                   legends:

                                   THE SECURITIES REPRESENTED BY THIS
                                   CERTIFICATE ARE SUBJECT TO A HOLD PERIOD AND
                                   MAY NOT BE TRADED IN BRITISH COLUMBIA UNTIL
                                   12:01 A.M. ON [DATE SIX MONTHS AND ONE DAY
                                   FROM CLOSING] OR IN ONTARIO UNTIL 12:01 A.M.
                                   ON [IN THE CASE OF THE SPECIAL WARRANTS AND
                                   WARRANTS, DATE 18 MONTHS AND ONE DAY FROM
                                   CLOSING AND, IN THE CASE OF THE UNDERLYING
                                   SHARES, DATE ONE YEAR AND ONE DAY FROM
                                   CLOSING] EXCEPT AS PERMITTED BY THE TORONTO
                                   STOCK EXCHANGE AND THE APPLICABLE SECURITIES
                                   LEGISLATION IN THOSE JURISDICTIONS.

                                   THE SECURITIES REPRESENTED HEREBY HAVE NOT
                                   BEEN REGISTERED UNDER THE U.S. SECURITIES ACT
                                   OF 1933, AS AMENDED (THE "U.S. SECURITIES
                                   ACT") OR UNDER ANY STATE SECURITIES LAWS. THE
                                   HOLDER HEREOF, BY PURCHASING SUCH SECURITIES,
                                   AGREES FOR THE BENEFIT OF THE CORPORATION
                                   THAT SUCH SECURITIES MAY BE OFFERED, SOLD OR
                                   OTHERWISE TRANSFERRED ONLY (A) TO THE
                                   CORPORATION, (B) PURSUANT TO AN EXEMPTION
                                   FROM REGISTRATION UNDER THE U.S. SECURITIES
                                   ACT PROVIDED BY RULE 144 THEREUNDER OR
                                   ANOTHER APPLICABLE EXEMPTION, OR (C) PURSUANT
                                   TO AN EFFECTIVE REGISTRATION STATEMENT.
                                   DELIVERY OF THIS CERTIFICATE MAY NOT
                                   CONSTITUTE "GOOD DELIVERY" IN SETTLEMENT OF
                                   TRANSACTIONS ON STOCK EXCHANGES IN CANADA.

                                   THE ISSUER

JURISDICTION OF ORGANIZATION       The Issuer is incorporated under the laws of
                                   Delaware.

AUTHORIZED AND OUTSTANDING         The authorized capital of the Issuer is
CAPITAL                            100,000,000 shares of common stock with a par
                                   value of $0.001 per share and 10,000,000
                                   shares of preferred stock
</TABLE>

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,              PAGE 4 OF 17 PAGES
SCHEDULES AND FORMS)

<TABLE>
<S>                                <C>
                                   with a par value of $0.01 per share. As of
                                   October 1, 2001, the issued capital of the
                                   Issuer is 33,759,968 shares of common stock.

STOCK EXCHANGE LISTINGS            Shares of the Issuer are listed on the
                                   Toronto Stock Exchange (the "TSE") and the
                                   American Stock Exchange ("AMEX")

"SECURITIES LEGISLATION            The Securities Act (Ontario), R.S.O. 1990, c.
APPLICABLE TO THE ISSUER" OR       S.5, as amended (the "Ontario Act") (pursuant
"APPLICABLE LEGISLATION"           to which the Issuer is a "reporting issuer"),
                                   the Securities Act, R.S.B.C. 1996, c. 418, as
                                   amended (the "B.C. Act") (pursuant to which
                                   the Issuer is a "reporting issuer"), and the
                                   U.S. Securities Act of 1933, as amended (the
                                   "U.S. Securities Act") (to the extent that
                                   the U.S. Securities Act is applicable on the
                                   issuance of securities to U.S. Persons or to
                                   non-U.S. Persons under Regulation D, all of
                                   which terms are terms are defined below),
                                   together with the regulations and rules made
                                   and promulgated thereunder and all
                                   administrative policy statements, blanket
                                   orders and rulings, notices, and other
                                   administrative directions issued by the
                                   Commissions (as defined below), along with
                                   the rules and policies of the TSE (the "TSE
                                   Policies") and the rules and policies of the
                                   AMEX (the "AMEX Policies").

"APPLICABLE EXEMPTIONS"            The Offering is being made in accordance with
                                   the exemptions from, or the non-applicability
                                   of, the registration and prospectus
                                   requirements (the "Applicable Exemptions") of
                                   the Applicable Legislation as provided in an
                                   Interpretation Note regarding "offshore"
                                   distributions published by the Ontario
                                   Securities Commission, BCI 72-503 of the B.C.
                                   Securities Commission, sections 35(1)(5) and
                                   72(1)(d) of the Ontario Act, sections
                                   45(1)(5) and 74(2)(4) of the B.C. Act and
                                   Regulation D of the U.S. Securities Act.

                                  END OF TERMS
</TABLE>

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,              PAGE 5 OF 17 PAGES
SCHEDULES AND FORMS)

                CERTIFICATION FOR U.S. SECURITIES LAW COMPLIANCE

(Capitalized terms not specifically defined in this Certification have the
meaning ascribed to them in the Subscription Agreement to which this Schedule is
attached.)

In connection with the execution of the Subscription Agreement to which this
Schedule is attached, the Purchaser represents and warrants to the Issuer that:

  (a)   It has such knowledge and experience in financial and business matters
        as to be capable of evaluating the merits and risks of an investment in
        the Purchased Securities and it is able to bear the economic risk of
        loss of its entire investment.

  (b)   The Issuer has provided to it the opportunity to ask questions and
        receive answers concerning the terms and conditions of the Offering and
        it has had access to such information concerning the Issuer as it has
        considered necessary or appropriate in connection with its investment
        decision to acquire the Purchased Securities.

  (c)   It is acquiring the Purchased Securities for its own account, for
        investment purposes only and not with a view to any resale, distribution
        or other disposition of the Purchased Securities in violation of the
        United States securities laws.

  (d)   It understands the Purchased Securities have not been and will not be
        registered under the U.S. Securities Act of 1933, as amended (the "1933
        Act") or the securities laws of any state of the United States and that
        the sale contemplated hereby is being made in reliance on an exemption
        from such registration requirements. It further understands that, while
        the Issuer has agreed to use its best efforts to file a registration
        statement in respect of the Purchaser's resale of the Shares and the
        Warrant Shares (the "Registration Statement"), in compliance with the
        U.S. Securities Act with the United States Securities and Exchange
        Commission, and to have the Registration Statement declared effective,
        there can be no assurance the Issuer will be able to do so. It also
        understands that it will be required to furnish certain information
        about it and its holdings of the Issuer's shares as part of the
        information that will be included in the Registration Statement.

  (e)   It satisfies one or more of the categories indicated below (please
        initial the appropriate lines):

        ____ Category 1.     An organization described in Section 501(c)(3) of
                             the United States Internal Revenue Code, a
                             corporation, a Massachusetts or similar business
                             trust or partnership, not formed for the specific
                             purpose of acquiring the Purchased Securities, with
                             total assets in excess of USD 5,000,000;

        ____ Category 2.     A natural person whose individual net worth, or
                             joint net worth with that person's spouse, at the
                             date of this Certification exceeds USD 1,000,000;

        ____ Category 3.     A natural person who had an individual income in
                             excess of USD 200,000 in each of the two most
                             recent years or joint income with that person's
                             spouse in excess of USD 300,000 in each of those
                             years and has a reasonable expectation of reaching
                             the same income level in the current year;

        ____ Category 4.     A trust that (a) has total assets in excess of USD
                             5,000,000, (b) was not formed for the specific
                             purpose of acquiring the Purchased Securities and
                             (c) is directed in its purchases of securities by a
                             person who has such knowledge and experience in
                             financial and business matters that he/she is
                             capable of evaluating the merits and risks of an
                             investment in the Purchased Securities;

        ____ Category 5.     An investment company registered under the
                             Investment Company Act of 1940 or a business
                             development company as defined in Section 2(a)(48)
                             of that Act;

        ____ Category 6.     A Small Business Investment Company licensed by the
                             U.S. Small Business Administration under Section
                             301(c) or (d) of the Small Business Investment Act
                             of 1958;

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,              PAGE 7 OF 17 PAGES
SCHEDULES AND FORMS)

        ____ Category 7.     A private business development company as defined
                             in Section 202(a)(22) of the Investment Advisors
                             Act of 1940; or

        ____ Category 8.     An entity in which all of the equity owners satisfy
                             the requirements of one or more of the foregoing
                             categories.

  (f)   It has not purchased the Purchased Securities as a result of any form of
        general solicitation or general advertising, including advertisements,
        articles, notices or other communications published in any newspaper,
        magazine or similar media or broadcast over radio, or television, or
        other form of telecommunications, including electronic display, or any
        seminar or meeting whose attendees have been invited by general
        solicitation or general advertising.

  (g)   If it decides to offer, sell or otherwise transfer any of the Purchased
        Securities or the underlying Shares, Warrants or Warrant Shares, it will
        not offer, sell or otherwise transfer any of such securities directly or
        indirectly, unless:

        (i)    the sale is to the Issuer;

        (ii)   the sale is made outside the United States in a transaction
               meeting the requirements of Rule 904 of Regulation S under the
               U.S. Securities Act and in compliance with applicable local laws
               and regulations;

        (iii)  the sale is made pursuant to the exemption from the registration
               requirements under the U.S. Securities Act provided by Rule 144
               thereunder and in accordance with any applicable state securities
               or "blue sky" laws;

        (iv)   the Purchased Securities are sold in a transaction that does not
               require registration under the U.S. Securities Act or any
               applicable state laws and regulations governing the offer and
               sale of securities, and it has prior to such sale furnished to
               the Issuer an opinion of counsel reasonably satisfactory to the
               Issuer to the effect that such transaction does not require
               registration; or

        (v)    the sale is made pursuant to an effective registration statement
               filed under the U.S. Securities Act.

  (h)   The Purchased Securities and the underlying Shares, Warrants and Warrant
        Shares are "restricted securities" as that term is defined in the U.S.
        Securities Act, and the certificates representing the Purchased
        Securities and the Shares, Warrants and Warrant Shares issued upon
        conversion of the Purchased Securities, as well as all certificates
        issued in exchange for or in substitution of the foregoing, until such
        time as is no longer required under the applicable requirements of the
        U.S. Securities Act or applicable state securities laws, will bear, on
        the face of such certificate, a legend in substantially the following
        form:

               THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER
               THE U.S. SECURITIES ACT OF 1933, AS AMENDED (THE "U.S. SECURITIES
               ACT") OR UNDER ANY STATE SECURITIES LAWS. THE HOLDER HEREOF, BY
               PURCHASING SUCH SECURITIES, AGREES FOR THE BENEFIT OF THE
               CORPORATION THAT SUCH SECURITIES MAY BE OFFERED, SOLD OR
               OTHERWISE TRANSFERRED ONLY (A) TO THE CORPORATION, (B) PURSUANT
               TO AN EXEMPTION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT
               PROVIDED BY RULE 144 THEREUNDER OR ANOTHER APPLICABLE EXEMPTION,
               OR (C) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT. DELIVERY
               OF THIS CERTIFICATE MAY NOT CONSTITUTE "GOOD DELIVERY" IN
               SETTLEMENT OF TRANSACTIONS ON STOCK EXCHANGES IN CANADA.

  (i)   It understands and agrees that there may be material tax consequences to
        the Purchaser of an acquisition or disposition of the Securities. The
        Issuer gives no opinion and makes no representation with respect to the
        tax consequences to the Purchaser under United States, state, local or
        foreign tax law of the undersigned's acquisition or disposition of such
        Securities.

<PAGE>

SUBSCRIPTION AGREEMENT (WITH RELATED APPENDIXES,              PAGE 7 OF 17 PAGES
SCHEDULES AND FORMS)

  (j)   It understands and agrees that the financial statements of the Issuer
        have been prepared in accordance with Canadian generally accepted
        accounting principles with a reconciliation to United States generally
        accepted accounting principles.

  (k)   It consents to the Issuer making a notation on its records or giving
        instructions to any transfer agent of the Issuer in order to implement
        the restrictions on transfer set forth and described in this
        Certification and the Subscription Agreement.

Dated _______________ 2001.

                                    X _________________________________________
                                    Signature of individual (if Purchaser IS an
                                    individual)

                                    X _________________________________________
                                    Authorized signatory (if Purchaser is NOT an
                                    individual)

                                    ___________________________________________
                                    Name of Purchaser (PLEASE PRINT)

                                    ___________________________________________
                                    Name of authorized signatory (PLEASE PRINT)

                                    ___________________________________________
                                    Official capacity of authorized signatory
                                    (PLEASE PRINT)

<PAGE>

                           THE TORONTO STOCK EXCHANGE

                 PRIVATE PLACEMENT QUESTIONNAIRE AND UNDERTAKING

To be completed by each proposed private placement purchaser of listed
securities or securities which are convertible into listed securities.

                                  QUESTIONNAIRE

1.             DESCRIPTION OF TRANSACTION

        (a)    Name of issuer of the securities (the "Issuer")

               Genetronics Biomedical Corporation

        (b)    Number and class of securities to be purchased

    ____________________ Special Warrants; each Special Warrant is exercisable
    without additional payment to acquire one common share (the "Shares") and
    one half share purchase warrant (the "Warrants"); each whole Warrant may be
    exercised within 18 months from the date of issuance to the Purchaser to
    acquire one common share of the Issuer (the "Warrant Shares") at a price of
    USD 0.75 per share.

        (c)    Purchase price

               USD 0.50 per Special Warrant

2.             DETAILS OF PURCHASER

        (a)    Name of purchaser

               _________________________________________________________________

        (b)    Address

               _________________________________________________________________

               _________________________________________________________________

        (c)    Names and addresses of persons having a greater than 10%
               beneficial interest in the purchaser

               _________________________________________________________________

               _________________________________________________________________

3.             RELATIONSHIP TO ISSUER

        (a)    Is the purchaser (or any person named in response to 2(c) above)
               an insider of the Issuer for the purposes of the Ontario
               Securities Act (before giving effect to this private placement)?
               If so, state the capacity in which the purchaser (or person named
               in response to 2(c)) qualifies as an insider

               _________________________________________________________________

<PAGE>

        (b)    If the answer to (a) is "no", are the purchaser and the Issuer
               controlled by the same person or company? If so, give details

               _________________________________________________________________

4.             DEALINGS OF PURCHASER IN SECURITIES OF THE ISSUER

        Give details of all trading by the purchaser, as principal, in the
        securities of the Issuer (other than debt securities which are not
        convertible into equity securities), directly or indirectly, within the
        60 days preceding the date hereof

        ________________________________________________________________________

        ________________________________________________________________________

                                   UNDERTAKING

TO:            The Toronto Stock Exchange

The undersigned has subscribed for and agreed to purchase, as principal, the
securities described in Item 1 of this Private Placement Questionnaire and
Undertaking.

The undersigned undertakes not to sell or otherwise dispose of any of the said
securities so purchased or any securities derived therefrom for a period that
expires on the earlier of six months from the date of the closing of the
transaction herein and the issuance of a receipt by the Ontario Securities
Commission for a final prospectus qualifying the distribution of the Shares and
the Warrants, without the prior consent of The Toronto Stock Exchange and any
other regulatory body having jurisdiction.

Dated _______________ 2001.

                                    X _________________________________________
                                    Signature of individual (if Purchaser IS an
                                    individual)

                                    X _________________________________________
                                    Authorized signatory (if Purchaser is NOT an
                                    individual)

                                    ___________________________________________
                                    Name of Purchaser (PLEASE PRINT)

                                    ___________________________________________
                                    Name of authorized signatory (PLEASE PRINT)

                                    ___________________________________________
                                    Official capacity of authorized signatory
                                    (PLEASE PRINT)

<PAGE>

       AMENDING AGREEMENT TO THE PRIVATE PLACEMENT SUBSCRIPTION AGREEMENT

TO:    GENETRONICS BIOMEDICAL CORPORATION (the "Issuer"),
       San Diego, California, U.S.A.

================================================================================

  ___________________________________________________________ Special Warrants

  USD 0.45 per Special Warrant for a total purchase price of USD _____________

  The Purchaser holds the following securities of the Issuer:

  ____________________________________________________________________________

================================================================================

The Purchaser hereby acknowledges that certain terms of the Private Placement
Subscription Agreement (the "Subscription Agreement") entered into between the
Purchaser and the Issuer are amended as follows:

(a)            the reference date of the Subscription Agreement is November 1,
               2001;

(b)            the total number of Special Warrants offered under the Private
               Placement is 5,212,494;

(c)            the Special Warrants are offered at a price of USD 0.45 per
               Special Warrant;

(d)            the proceeds of the Offering are USD 2,345,622.30;

(e)            the Closing Date is November 23, 2001, or such other date as
               agreed between the Issuer and the Agent;

(f)            there will be only one Closing and no further sales of Purchased
               Securities will occur after the Closing;

(g)            the penalty provision outlined in the Terms under "Prospectus and
               conversion rate increase" which sets out that in the event that
               the Shares and Warrant Shares are not qualified for resale within
               90 days of the Closing, the Purchasers will receive 1.2 Shares
               and 0.6 Warrants for each Special Warrant converted, will be
               deleted. Instead, purchasers of Special Warrants will receive a
               refund of 20% of their total purchase price if the Qualification
               Date does not occur within 90 days of the Closing; and

(h)            the Agency Agreement between the Issuer and Canaccord Capital
               (Europe) Limited is now an Agency Agreement between the Issuer
               and Canaccord Capital Corporation, dated effective November 1,
               2001, pursuant to which the Agent has agreed to purchase any
               Special Warrants that are not sold to purchasers.

Subject to the amendments outlined above, the terms and provisions of the
Subscription Agreement remain in full force and effect.

The capitalized terms used herein are those defined in the Private Placement
Subscription Agreement.

<TABLE>
<S>                                                                     <C>
EXECUTED BY THE PURCHASER THIS _______ DAY OF _____________, 2001.

                                                                        EXECUTION BY PURCHASER:

__________________________________________________________________      X __________
Address of Purchaser (residence if an individual)                       ________________  Signature of individual
                                                                       (if Purchaser IS an individual) X_________
                                                                        Authorized signatory (if Purchaser is NOT an
__________________________________________________________________      individual)

                                                                        ____________________________________________
                                                                        Name of Purchaser (PLEASE PRINT)
                                                                        ____________________________________________

                                                                        Name of authorized signatory (PLEASE PRINT)
</TABLE>

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