International Stem Cell Corporation (OTCBB:ISCO),
www.intlstemcell.com,
announced today that it had entered into a Memorandum of Understanding
with ARG Vermogensverwaltung AG ('ARG'), a German Investment Fund, to
create a new European subsidiary ('ISCO Europe') to be funded with up to
$10 million of capital derived from ARG and other independent sources in
Europe. Shares of ISCO Europe are expected to trade on the Deutsche
Bourse independently of the company's shares in the US. ISCO Europe's
shares will not be convertible into ISCO shares on any US exchange.
ISCO Europe will be licensed by ISCO to develop and market therapeutic
products derived from ISCO's technology throughout the Euro Currency
Countries and Switzerland. New technologies developed by either ISCO or
ISCO Europe will be made mutually available, thus expanding the total
funding available to ISCO worldwide without issuing new ISCO shares and
enhancing the potential market and scientific development capacity of
both companies.
It is expected that the new subsidiary will be funded initially by a
private equity investment by ARG and that ARG will then assist in
forming an investment group to invest up to $10 million concurrently
with the listing of ISCO Europe on the Deutsche Bourse, the largest
Securities Exchange in Europe. Following the financing of ISCO Europe,
ISCO is expected to retain ownership of 80% or more of this new
subsidiary.
'Although negotiations are still at the non-binding memorandum of
understanding stage, this transaction, when completed, will expand
ISCO's access to capital for worldwide expansion and ISCO's access to
new scientific development without requiring equity dilution of ISCO's
current shareholders. We are creating an investment, research and
development, marketing and distribution entity by adding capital and
human resources from Europe to help fulfill ISCO's goal of supplying its
proprietary cells and cell therapies to the world,' said Kenneth
Aldrich, Chairman and co-founder of ISCO.
ABOUT INTERNATIONAL STEM CELL CORPORATION (ISCO.OB)
International Stem Cell Corporation is a California-based biotechnology
company focused on therapeutic and research products. ISCO's core
technology, parthenogenesis, results in creation of pluripotent human
stem cells from unfertilized oocytes (eggs). These proprietary cells
avoid ethical issues associated with use or destruction of viable human
embryos and, unlike most other major stem cell types, can be immune
matched and be a source of therapeutic cells with minimal rejection
after transplantation into hundreds of millions of individuals of
differing racial groups. ISCO also produces and markets specialized
cells and growth media for therapeutic research worldwide through its
subsidiary, Lifeline Cell Technology, and is developing a line of
cosmeceutical products via its subsidiary, Lifeline Skin Care. ISCO is
advancing novel human stem cell-based therapies where cells have been
proven to be efficacious but traditional small molecule and protein
therapeutics have not. More information is available on ISCO's website.
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FORWARD-LOOKING STATEMENTS
Statements pertaining to anticipated developments and therapeutic
applications, the potential benefits of collaborations, affiliations,
and other opportunities for the company and its subsidiaries, 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 and the management of collaborations, uncertainty in the
results of clinical trials or regulatory approvals, need and ability to
obtain future capital, application of capital resources among competing
uses, 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 forward-looking statements.
Key Words: Stem Cells, Biotechnology, Parthenogenesis
International Stem Cell Corporation Kenneth C. Aldrich, Chairman 760-940-6383 kaldrich@intlstemcell.com Or Andrey
Semechkin, Ph.D., CEO aes@intlstemcell.com |