NBS NeoStem, Inc. Announces the Redemption of the

New Post Public Reply Private Reply Replies (0) Message Board

Oct 17, 2012 at 9:44 AM

NBS >>> NeoStem, Inc. Announces the Redemption of the Outstanding 7% Series E Preferred Stock

2012-10-17 07:30 ET - News Release

NEW YORK, Oct. 17, 2012 (GLOBE NEWSWIRE) -- NeoStem, Inc. (NYSE MKT:NBS) ("NeoStem" or the "Company"), an emerging leader in the fast growing cell therapy market, today announced that it will redeem all outstanding shares of its Series E 7% Senior Convertible Preferred Stock ("Series E Preferred Stock").

On October 10, 2012, the Company gave notice to its Series E Preferred Stockholders that it is redeeming all of the outstanding shares of Series E Preferred Stock for an aggregate redemption price of $3.4 million, $2.5 million of which was funded by money placed into escrow when the Series E Preferred stock was issued in November 2010.

"We are pleased that we have been able to redeem this $10 million investment in full over a two year period. Equal to our focus on cell therapy product development and expanding our PCT contract development and manufacturing operations, we are committed to improving our balance sheet. Through the redemption of the Series E Preferred Stock, we will remove a significant overhang and simplify NeoStem's capital structure. The redemption of the Series E Preferred Stock is another example of a step taken by us to improve Common Stockholder value," said Dr. Robin Smith, Chairman and CEO of NeoStem. "We look forward to continued execution on our near term business strategy, including the forthcoming closing of the divestiture of our Erye China pharmaceutical subsidiary."

About NeoStem, Inc.

NeoStem, Inc. continues to develop and build on its core capabilities in cell therapy, capitalizing on the paradigm shift that we see occurring in medicine. In particular, we anticipate that cell therapy will have a significant role in the fight against chronic disease and in lessening the economic burden that these diseases pose to modern society. We are emerging as a technology and market leading company in this fast developing cell therapy market. Our multi-faceted business strategy combines a state-of-the-art contract development and manufacturing subsidiary, Progenitor Cell Therapy, LLC ("PCT"), with a medically important cell therapy product development program, enabling near and long-term revenue growth opportunities. We believe this expertise and existing research capabilities and collaborations will enable us to achieve our mission of becoming a premier cell therapy company.

Our contract development and manufacturing service business supports the development of proprietary cell therapy products. NeoStem's most clinically advanced therapeutic, AMR-001, is being developed at Amorcyte, LLC ("Amorcyte"), which we acquired in October 2011. Amorcyte is developing a cell therapy for the treatment of cardiovascular disease and is enrolling patients in a Phase 2 trial to investigate AMR-001's efficacy in preserving heart function after a heart attack. Athelos Corporation ("Athelos"), which is approximately 80%-owned by our subsidiary, PCT, is collaborating with Becton-Dickinson in the early clinical exploration of a T-cell therapy for autoimmune conditions. In addition, pre-clinical assets include our VSELTM Technology platform as well as our mesenchymal stem cell product candidate for regenerative medicine. Our service business and pipeline of proprietary cell therapy products work in concert, giving us a competitive advantage that we believe is unique to the biotechnology and pharmaceutical industries. Supported by an experienced scientific and business management team and a substantial intellectual property estate, we believe we are well positioned to succeed.

For more information on NeoStem, please visit www.neostem.com.

Forward-Looking Statements for NeoStem, Inc.

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect management's current expectations, as of the date of this press release, and involve certain risks and uncertainties. Forward-looking statements include statements herein with respect to the successful execution of the Company's business strategy, including with respect to the Company's or its partners' successful development of AMR-001 and other cell therapeutics, the size of the market for such products, its competitive position in such markets, the Company's ability to successfully penetrate such markets and the market for its contract development and manufacturing ("CDMO") business, and the efficacy of protection from its patent portfolio, as well as the future of the cell therapeutics industry in general, including the rate at which such industry may grow. Forward looking statements also include statements with respect to satisfying all conditions to closing the disposition of Erye, including receipt of all necessary regulatory approvals in the PRC. The Company's actual results could differ materially from those anticipated in these forward- looking statements as a result of various factors, including but not limited to matters described under the "Risk Factors" in the Company's Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 20, 2012 and in the Company's other periodic filings with the Securities and Exchange Commission, all of which are available on its website. The Company does not undertake to update its forward-looking statements. The Company's further development is highly dependent on future medical and research developments and market acceptance, which is outside its control.

CONTACT: Trout Group
Gitanjali Jain Ogawa, Vice President
Phone: +1-646-378-2949
Email: gogawa@troutgroup.com

Newer

Older

Scroll down for more posts ▼

Top 10 Most Recent News Articles

Nuix Leverages AI for Transformative Legal Review

Nuix Unveils AI Innovations in Legal Review Diving headfirst into the evolving world of legal technology, Nuix has just rolled out some serious upgrades to its eDiscovery toolkit. By plucking AI right out of the data science ethers, they're not just dabbling in futuristic tech—they're planting generative AI at the heart of legal review on their SaaS platform, Nuix...

Hims & Hers Faces Class Action: Investors Beware

Allegations and Legal Pressure There's trouble brewing in the land of health and wellness apps, with Hims & Hers Health, Inc. (NYSE:HIMS) taking center stage. Slap on your glasses, folks, because this one's a doozy. A class-action lawsuit has exploded against the company and some of its officers—allegations flying as they focus on serious accusations of misleading...

Softcare Facilitates Standards Delegation Visit to Senegal

Ever seen a whole nation's hygiene industry getting a deep dive from not just one, but three major standards bodies? That's what just went down in Senegal. Softcare opened its doors wide to folks from the Senegalese Association for Standardization (ASN), the International Organization for Standardization (ISO), and the Swedish Institute for Standards (SIS). This was no...

Midea's VitaBreeze: Revolutionizing Personalized Climate

A Fresh Breeze in Climate Control Here's something that'll shake up your household. Midea just announced their latest gizmo, called VitaBreeze, and they’re not messing around. They introduced it at IFA 2026, promising it's not just for cooling off in the summer or heating in the winter. Oh no, my friends, they've packed this unit with enough cutting-edge tech that...

Asia-Pacific Media Forum Eyes Future Growth Strategies

Media Heavyweights Converge in Shenzhen Picture this: Over 400 media moguls from the Asia-Pacific region, huddled together in Shenzhen under that blazing September sun. What for? They're on a mission, inspecting China's shifting landscape, hunting down fresh growth avenues in the Guangdong-Hong Kong-Macao Greater Bay Area. It kicks off within the walls of the Asia-Pacific...

TCL’s AI Vision: Immersive Living at IFA 2026

AI and Displays: A Match Made in Tech Heaven Every so often, a company stands up at a tech fair and gives a glimpse into the next chapter of living, as TCL did at IFA 2026. This time, they're not just talking about screens; they're weaving them into the fabric of everyday life alongside AI capabilities. From sporting arenas to your living room, it's a vision of what could...

China's Manufacturing: Squeeze or Opportunity?

Analyzing China's Impact on Global Markets Think of China's manufacturing clout and you're likely to picture booming factories, relentless steel, and smoke-churning industries reshaping the global chessboard. But here's the kicker: are they swallowing up room for others, or paving the way for their growth? It’s this debate that took the spotlight at the Asia-Pacific...

Ice-Rock Avalanches: Future Risks and Urgent Lessons

Mounting Threats in Mountain Chains That nightmare on August 26 at Mount Langtang Lirung in Nepal—where an ice-rock avalanche triggered a catastrophic mudslide—brought a harsh reminder that these mountains are cracking wide open. With 31 dead and over 500 souls still unaccounted for, it's a chilling warning about how vulnerable high-altitude regions have become. A...

Mermaid Folklore Meets Revolution in New Short Film

A Sea Haunting Like No Other Ever feel like history's forgotten tales deserve a fresh spin? Well, this one's shaking it up! Hoyt Dwyer, an Atlanta filmmaker, flips the script on a lesser-known bit from the American Revolution. Yeah, we're talking about Hessian soldiers and sirens here. Just hang on to your hats because this ain't your typical historical retelling. A...

Changhong's IFA 2026 Showcase: AI, Culture & Localization

Changhong's Game Plan: From Global Reach to Local Touch Well, Changhong's not sitting back at IFA 2026, let me tell you that. This isn't your run-of-the-mill showcase; it's a full-on reveal of what happens when a company takes AI tech and tunes it to the heartbeat of daily life. TVs, fridges, air conditioners—you name it, they've got an AI twist on it. But is this just...