BioTime and BioTime Acquisition Corporation Announce Combined $10 Million
Financing
ALAMEDA, Calif., Nov 15, 2012 (BUSINESS WIRE) -- BioTime, Inc. (nyse mkt:BTX) and
its recently formed subsidiary BioTime Acquisition Corporation (BAC) jointly
announced today that they have entered into a non-binding letter of intent for a
$10 million investment from a private investor to provide financing for the
recently announced proposed acquisition of Geron Corp.'s stem cell assets by BAC.
Under the terms outlined in the letter of intent, the investor will invest $5
million in BioTime by purchasing 1.35 million BioTime common shares at a purchase
price of approximately $3.70 per share, and warrants to purchase 650,000
additional BioTime common shares with an exercise price of $5 per share and a
three year term.
In addition, the investor will contribute $5 million in cash to BAC in exchange
for shares of BAC common stock that, upon issuance, will represent approximately
7% of the BAC common stock then issued and outstanding, plus warrants to purchase
approximately 350,000 additional shares of BAC common stock at an exercise price
of $5 per share, with a three year term.
"This investment will provide BAC with financing to restart development of new
products and technologies from the soon to be acquired stem cell assets," stated
Michael West, PhD, Chief Executive Officer of BioTime, Inc.
"We are very pleased to receive such financial support from an investor who
shares our vision of the emerging field of regenerative medicine," said Thomas
Okarma, PhD, MD, BAC's Chief Executive Officer. "We look forward to the
opportunity to restart research and development and to continue the effort to
bring cell replacement therapies to the many patients who need them."
The letter of intent is not a binding agreement to complete the transactions.
Consummation of the transactions is subject to the investor entering into
definitive stock purchase agreements with BioTime and BAC, which agreements will
contain additional terms and conditions.
About BioTime, Inc.
BioTime, headquartered in Alameda, California, is a biotechnology company focused
on regenerative medicine and blood plasma volume expanders. Its broad platform of
stem cell technologies is enhanced through subsidiaries focused on specific
fields of application. BioTime develops and markets research products in the
fields of stem cells and regenerative medicine, including a wide array of
proprietary ACTCellerate(TM) cell lines, HyStem(R) hydrogels, culture media, and
differentiation kits. BioTime is developing Renevia(TM) (formerly known as
HyStem(R)-Rx), a biocompatible, implantable hyaluronan and collagen-based matrix
for cell delivery in human clinical applications. BioTime's therapeutic product
development strategy is pursued through subsidiaries that focus on specific organ
systems and related diseases for which there is a high unmet medical need.
BioTime's majority owned subsidiary Cell Cure Neurosciences Ltd. is developing
therapeutic products derived from stem cells for the treatment of retinal and
neural degenerative diseases. BioTime's subsidiary OrthoCyte Corporation is
developing therapeutic applications of stem cells to treat orthopedic diseases
and injuries. Another subsidiary, OncoCyte Corporation, focuses on the diagnostic
and therapeutic applications of stem cell technology in cancer, including the
diagnostic product PanC-Dx(TM) currently being developed for the detection of
cancer in blood samples. ReCyte Therapeutics, Inc. is developing applications of
BioTime's proprietary induced pluripotent stem cell technology to reverse the
developmental aging of human cells to treat cardiovascular and blood cell
diseases. BioTime's subsidiary LifeMap Sciences, Inc. markets GeneCards(R), the
leading human gene database, and is developing an integrated database suite to
complement GeneCards(R) that will also include the LifeMap(TM) database of
embryonic development, stem cell research and regenerative medicine, and
MalaCards, the human disease database. LifeMap will also market BioTime research
products. BioTime's lead product, Hextend(R), is a blood plasma volume expander
manufactured and distributed in the U.S. by Hospira, Inc. and in South Korea by
CJ CheilJedang Corporation under exclusive licensing agreements. Additional
information about BioTime can be found on the web at biotimeinc.com.
About BioTime Acquisition Corporation
BioTime Acquisition Corporation is a newly formed wholly owned subsidiary of
BioTime, Inc., through which BioTime plans to pursue opportunities and acquire
assets and businesses in the fields of stem cells and regenerative medicine.
This communication is for informational purposes only and does not constitute an
offer to sell any shares of BAC common stock or warrants or any BioTime common
shares or warrants. The BAC common stock and warrants and the BioTime common
shares and warrants may not be offered or sold in the United States absent
registration under the Securities Act of 1933, as amended, and or an applicable
exemption from registration requirements.
BioTime Forward-Looking Statements
Statements pertaining to future financial and/or operating results, future growth
in research, technology, clinical development, and potential opportunities for
BioTime or BAC, along with other statements about the future expectations,
beliefs, goals, plans, or prospects expressed by management constitute
forward-looking statements. Any statements that are not historical fact
(including, but not limited to statements that contain words such as "will,"
"believes," "plans," "anticipates," "expects," "estimates") should also be
considered to be forward-looking statements. Forward-looking statements involve
risks and uncertainties, including, without limitation, risks inherent in the
development and/or commercialization of potential products, uncertainty in the
results of clinical trials or regulatory approvals, need and ability to obtain
future capital, and maintenance of intellectual property rights. Actual results
may differ materially from the results anticipated in these forward-looking
statements and as such should be evaluated together with the many uncertainties
that affect the business of BioTime or BAC, particularly those mentioned in
cautionary statements that are found in public filings with the Securities and
Exchange Commission, and other filings that BioTime or BAC may make with the
Securities and Exchange Commission. BioTime and BAC each disclaim any intent or
obligation to update these forward-looking statements.
To receive ongoing BioTime corporate communications, please click on the
following link to join our email alert list:
phx.corporate-ir.net.
SOURCE: BioTime, Inc.
BioTime, Inc.
Peter Garcia, 510-521-3390, ext. 367
Chief Financial Officer
pgarcia@biotimemail.com
or
Judith Segall, 510-521-3390, ext. 301
jsegall@biotimemail.com |
