International Stem Cell Corporation (OTCBB: ISCO) has entered into a
subscription agreement with an accredited investor to sell three million
dollars ($3,000,000) of Series C Preferred Stock at a price of $1.00 per
share. The funding is to occur in three tranches. The first, for
$700,000, closed August 20, 2008. The second closing for $1,300,000 is
scheduled for September 23, 2008 and the final closing of $1,000,000 is
scheduled for December 15, 2008, subject to determination by the
investor that no material adverse event has occurred. The investor will
be entitled to one of the Company's seven
board seats. Each $1.00 share of Series C Preferred will be convertible
into shares of common stock at $0.25 per share, subject to antidilution
provisions if the company subsequently issues shares at a lower price.
The Series C Preferred has priority over the Common Stock on any sale or
liquidation of the Company and a preference before any dividend can be
paid on Common Stock in any year. Each share of Series C Preferred has
the same voting rights as the number of shares of Common Stock into
which it is convertible.
The funds will support work towards pre-clinical trials using
parthenogenetic stem cells for retinal and liver disease and diabetes;
advance the construction of therapeutic cell manufacturing facilities
and support ongoing operations.
"These funds will go a long way toward
insuring that ISCO continues to move forward without interruption in its
quest to provide the cells needed to make regenerative medicine
therapies available to millions of people throughout the world,"
said ISCO's CEO, Kenneth Aldrich.
The securities were offered and sold to the investor in a private
placement transaction made in reliance upon exemptions from registration
pursuant to Section 4(2) under the Securities Act of 1933 and Rule 506
promulgated thereunder. The Investor is an accredited investor as
defined in Rule 501 of Regulation D promulgated under the Securities Act
of 1933.
About International Stem Cell Corporation (ISCO.OB):
International Stem Cell Corporation (ISCO) is a California biotechnology
company focused on developing therapeutic and research products. ISCO's
technology, Parthenogenesis, results in the creation of
pluripotent human stem cell lines from unfertilized human eggs. ISCO
scientists also have created the first Parthenogenetic homozygous
stem cell line (phSC-Hhom-4) that can be a source of therapeutic
cells that will not be immune rejected after transplantation into
millions of individuals of differing sexes, ages and racial groups.
These advancements offer the potential to create the first true "Stem
Cell Bank" and address ethical issues by
eliminating the need to use or destroy fertilized embryos. ISCO also
produces and markets specialized cells and growth media worldwide for
therapeutic research through its subsidiary Lifeline Cell Technology.
For more information, visit the ISCO website at: www.internationalstemcell.com.
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Forward-Looking Statements Statements pertaining to future financial and/or operating results,
future growth in research, technology, clinical development and
potential opportunities for the company and its subsidiary, 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 company's business, particularly
those mentioned in the cautionary statements found in the company's
Securities and Exchange Commission filings. The company disclaims any
intent or obligation to update these forward-looking statements. Key Words:Stem Cells, Biotechnology, Parthenogenesis, Liver
disease International Stem Cell Corporation Kenneth C. Aldrich, CEO,
760-940-6383 kaldrich@intlstemcell.com or Jeffrey
Janus, President, 760-940-6383 jjanus@intlstemcell.com or William
Adams, Chief Financial Officer, 760-940-6383 wadams@intlstemcell.com |