LOS ANGELES, CA--(Marketwired - Jun 29, 2017) - Endonovo Therapeutics, Inc. (
Dear Shareholders:
As the second quarter comes to a close, I would like to provide an update on the progress of our Pre-Clinical Study in Myocardial Infarction while providing clarity on some areas our shareholders have requested we address.
In March of 2017, Endonovo announced that we anticipated initial results from our ongoing pre-clinical study in the treatment and prevention of heart failure following myocardial infarction. The hardest part of being an early stage biotech company is predicting the timing of these trials and the evaluation of data. We are definitely pleased with the progress made moving this study forward and request our shareholders' patience, as the process has taken longer than initially anticipated. As you may know, we seek bringing to market a new class of medicines, which present many issues and challenges that must be addressed in order for us to eventually evaluate our technology in a clinical setting. One issue requiring addressing was the need to develop completely new medical devices with the capability to deliver our new signal, as the older NASA-based technology was simply too outdated. We have retained a team of highly distinguished scientists in the fields of electrical engineering, electromagnetics, and biophysics who have substantial experience in developing and evaluating electromagnetic therapeutics coupled with working in concert with regulatory bodies to bring them to market. As a result, several adjustments have been made to certain structural aspects of the study, the devices utilized to deliver the therapeutic electromagnetic field and we now remain in an ideal position to complete the study. Because our goal remains to evaluate our electroceuticals in a clinical setting intent on eventually bringing them to market, these adjustments were necessitated to ensure not only the most favorable data from our pre-clinical studies, but also enable us to move toward clinical trials in a faster, more efficient manner. We would like to remind shareholders while achieving results in the quickest period possible may be highly beneficial in the short term, high quality science with the capacity to be submitted for peer review takes time and we are building our company with a long-term vision in mind.
In addition to the Myocardial Infarction study we have further announced the commencement of additional pre-clinical studies on Critical Limb Ischemia, Non-Alcoholic Steatohepatitis and Kidney Disease. Having been once bitten, we are not projecting a completion date for any of our studies, but plan to announce results as they become available.
Now let me address some other questions I know our shareholders have made prevalent. In November 2016, we issued a press release indicating we received a term sheet from a single strategic investor for five million dollars ($5,000,000). The financing was subject to signing a definitive agreement whereby after carefully evaluating the structure of the transaction and corresponding valuation being proposed, we felt it wasn't in the best interest of the company or the shareholders to give away such a substantial percentage of the company during such an early stage of our pre-clinical development to a single investor. Currently, we continue to work with one group which is providing the necessary capital on a monthly basis to enable the Company to fund daily operations and the pre-clinical trials. Once we are able to show positive data, we anticipate significantly more favorable financing terms at a much higher valuation. Being a pre-revenue, pre-clinical, early stage biotech company on the OTCQB equates to limited funding opportunities compared to a NASDAQ listed company. Our goal remains simple - complete our pre-clinical trials, release positive data, and aggressively continue down the regulatory pathway.
In the same press release we indicated specific financing was also part of a go forward plan of up listing the company to a national stock exchange in the first half of 2017. While our goal to uplist has not waivered, the Company believes it remains in our best interest to pursue so after we receive positive results from our studies coupled with a binding funding commitment, minimizing dilution. Furthermore, as has been demonstrated over the last few months, early-stage biotech companies can be extremely volatile in terms of share price. Our long-term view requires us to look at uplisting the company when our valuation is high enough to be sustained to remain listed on a national stock exchange. We believe currently up listing our common stock would result in excess risk to our shareholders resulting in a possible delisting or necessitating repeated reverse stock splits to maintain minimum share price standards.
Furthermore, as many of our shareholders are acutely aware by the numerous Form 4 filings, our President Michael Mann has been buying shares on the open market. Mr. Mann has chosen to buy based on his own desire to own more stock at these levels. Mr. Mann buys at his own discretion while following all the required regulatory guidelines in doing so. There is no specific plan in place and his buying could cease at any time.
To close, we believe Endonovo is situated in the best position in Company history. We continue to improve and solidify our IP portfolio as evidenced by our press release on March 23 announcing a patent application on a method treating tissues and organs using our newly developed Non-Invasive Electroceutical Technology. As mentioned previously above, we are commencing three more pre-clinical trials in addition to our study being conducted on Myocardial Infarction. Additionally, we have ongoing funding that we believe should finance us through the remaining part of 2017 to advance our science and technology. We truly appreciate the patience of our shareholders and we will do our best to open the lines of communication as we continue down this path together.
Sincerely, Alan Collier Chairman and CEO Endonovo Therapeutics, Inc.
About Endonovo Therapeutics
Endonovo Therapeutics, Inc. is a leading developer of bioelectronic-applications in cell therapies and non-invasive electroceuticals. Endonovo's Immunotronics™ platform is dedicated to treating patients with life-threatening inflammatory conditions in vital organs using proprietary non-invasive electroceutical devices. The Company's non-invasive platform is based on magnetically-induced electrical field pathways that target the disruption of inflammation and cell death.
The Company's Cytotronics™ platform harnesses the bulk electrical properties of cells and tissues, namely magnetically-induced electrical field pathways to expand and enhance the therapeutic potential of cell therapies and produce next-generation biologics.
Safe Harbor Statement
This press release contains information that constitutes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements, trends, analysis, and other information contained in this press release including words such as "anticipate," "believe," "plan," "estimate," "expect," "intend," and other similar expressions of opinion, constitute forward-looking statements. Any such forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from any future results described within the forward-looking statements. Risk factors that could contribute to such differences include those matters more fully disclosed in the Company's reports filed with the Securities and Exchange Commission. The forward-looking information provided herein represents the Company's estimates as of the date of the press release, and subsequent events and developments may cause the Company's estimates to change. The Company specifically disclaims any obligation to update the forward-looking information in the future. Therefore, this forward-looking information should not be relied upon as representing the Company's estimates of its future financial performance as of any date subsequent to the date of this press release.
Investor Relations Contact: Endonovo Therapeutics, Inc. Mr. Steven Barnes Senior Vice President of Investor Relations (800) 701-1223, Ext. 108 Sbarnes@endonovo.com www.endonovo.com Source: Endonovo Therapeutics, Inc. Investors: Sign Up for Email Alerts on Endonovo
