BioTime, Inc. (NYSE Amex:BTIM) announced the completion of its warrant discount offer which closed at 5:00 p.m., New York time, on August 18, 2010. The deadline for submitting warrant certificates and exercise funds under notices for guaranteed delivery is August 23, 2010 at 5:00 p.m., New York time.
Based upon preliminary results, the warrant discount offer generated $9,195,422 of proceeds to BioTime from the exercise of warrants to purchase 5,057,988 BioTime common shares at the discounted price of $1.818 per share. As a result of the completion of the discount offer, BioTime will have approximately $25 million of cash and cash equivalents on hand, with essentially no debt other than regular trade payables.
Approximately 2.3 million of BioTime’s publicly traded warrants were not exercised in the discount offer and remain outstanding. Those warrants will continue to trade on NYSE Amex under the symbol BTIM.WS and may be exercised at the original exercise price of $2.00 per share until 5:00 p.m., New York time, on October 31, 2010, at which time the warrants will expire and will no longer be exercisable. If the remaining 2.3 million warrants are exercised in full, BioTime will realize additional proceeds of approximately $4.6 million.
BioTime intends to use the capital raised through the warrant exercises in the discount offer to strengthen its working capital reserves and for the expansion of its stem cell product development, including product development being undertaken at its subsidiaries Embryome Sciences, Inc., OncoCyte Corporation, OrthoCyte Corporation, BioTime Asia, Limited, and ES Cell International Pte Ltd, and at Cell Cure Neurosciences Ltd. BioTime may also use a portion of the proceeds to begin human clinical trials for new indications of its lead product Hextend
, including the treatment of severe childhood malaria by reducing the acidosis and hypovolemia that accompany this disease and often result in fatalities.
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 developed through subsidiaries focused on specific fields of applications. BioTime develops and markets research products in the field of stem cells and regenerative medicine through its wholly owned subsidiary Embryome Sciences, Inc. BioTime’s subsidiary OncoCyte Corporation focuses on the therapeutic applications of stem cell technology in cancer. Another subsidiary, OrthoCyte Corporation, is developing therapeutic applications of stem cells to treat orthopedic diseases and injuries. BioTime plans to develop therapeutic products in China for the treatment of ophthalmologic, skin, musculo-skeletal system, and hematologic diseases, including the targeting of genetically modified stem cells to tumors as a novel means of treating currently incurable forms of cancer, through its subsidiary BioTime Asia, Limited. BioTime’s Singapore subsidiary, ES Cell International Pte Ltd, has been at the forefront of advances in human embryonic stem (“hES”) cell technology, being one of the earliest distributors of hES cell lines to the research community. ESI has produced clinical-grade human embryonic stem cell lines that were derived following principles of good manufacturing practice and currently offers them for potential use in therapeutic product development. In addition to its stem cell products, BioTime develops blood plasma volume expanders, blood replacement solutions for hypothermic (low temperature) surgery, and technology for use in surgery, emergency trauma treatment and other applications. BioTime’s lead product, Hextend
, is a blood plasma volume expander manufactured and distributed in the U.S. by Hospira, Inc. and in South Korea by CJ CheilJedang Corp. under exclusive licensing agreements. Additional information about BioTime, Embryome Sciences, OncoCyte, OrthoCyte, BioTime Asia, and ESI can be found on the web at
Statements pertaining to future financial and/or operating results, future growth in research, technology, clinical development, and potential 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, 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.