CYTOMEDIX COMPLETES $1.5 MILLION CAPITAL RAISE
Rockville, MD, Sept. 8, 2008 – Cytomedix, Inc. (AMEX: GTF), today announced that it has successfully completed a $1.5 million capital raise through the issuance of two million shares at a purchase price of $0.75 per share and associated one million four-year warrants exercisable at $1.00. The funds were raised in a registered direct offering under the Company’s existing shelf registration. Cytomedix management and members of the Board of Directors participated in the raise on terms and conditions identical to those offered to other investors, investing an aggregate $100,000. The offering closed on September 5, 2008. The Company plans to use the proceeds for general working capital purposes.
“This financing will boost our working capital and will help, among other things, expand sales, marketing, and product development for our proprietary AutolGelTM System, and it will help facilitate clinical outcome data collection to better position AutoloGelTM for reimbursement,” said Martin Rosendale, Chief Executive Officer of Cytomedix, Inc. “This infusion of capital will also help the company achieve important short term milestones, including the IND submission and Phase I study for the anti-inflammatory peptide CT- 112, a 510(K) submission for enhancements to the AutoloGelTM System, and the initiation of key strategic collaborations,” he added.
“We are extremely pleased to announce the success of this capital raise,” said Andrew Maslan, Chief Financial Officer of Cytomedix, Inc. “We greatly appreciate the support from both new and existing investors that participated in this financing, and their confidence in the Company,” Mr. Maslan added.
Cytomedix is a biotechnology company that develops, sells, and licenses regenerative biological therapies, including the AutoloGelTM System, a device for the production of platelet rich plasma (“PRP”) gel derived from the patient’s own blood. The AutoloGelTM System is cleared by the Food and Drug Administration (“FDA”) for use on a variety of exuding wounds. The Company is currently pursuing a multi-faceted strategy to penetrate the chronic wound market with its AutoloGelTM System. The Company is also moving forward with the development of other product candidates in its pipeline.
Most notably is its CT-112 product, an anti-inflammatory peptide that has shown promise in pre-clinical testing, and for which the Company is currently preparing an Investigational New Drug (IND) application for the FDA. Additional information regarding Cytomedix is available at: http://www.cytomedix.com.
SAFE HARBOR STATEMENT
Statements contained in this press release not relating to historical facts are forward-looking statements that are intended to fall within the safe harbor rule for such statements under the Private Securities Litigation Reform Act of 1995. The information contained in the forward-looking statements is inherently uncertain, and Cytomedix's actual results may differ materially due to a number of factors, many of which are beyond Cytomedix's ability to predict or control, including among others, the ability of the Company’s management to achieve its strategic goals, the success of new sales initiatives, studies, or trials, obtainment of broad reimbursement, and development of technologies under the Company’s patents or products in its pipeline.
These forward-looking statements are subject to known and unknown risks and uncertainties that could cause actual events to differ from the forward-looking statements. More information about some of these risks and uncertainties may be found in the reports filed with the Securities and Exchange Commission by Cytomedix, Inc. Except as is expressly required by the federal securities laws, Cytomedix undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, changed circumstances or future events or for any other reason.