KENNESAW, Ga., Dec. 28, 2011 /PRNewswire/ -- MiMedx Group, Inc. (OTCBB: MDXG), an integrated developer, manufacturer and marketer of patent protected regenerative biomaterials and bioimplants processed from human amniotic membrane, announced today that the Company's $5,000,000 private placement offering to sell convertible notes and warrants has been fully subscribed.
Through the offering, which commenced on October 15, 2011, the Company received $5,000,000 in proceeds and issued 5% Convertible Senior Secured Promissory Notes that are convertible into approximately 5,000,000 shares of common stock at a price of $1.00 per share. Participating investors also received contingent warrants to purchase the Company's common stock. More details regarding the private placement, including the terms of the warrants, are disclosed in the Company's SEC filings.
Parker H. "Pete" Petit, Chairman and CEO, said, "We are pleased with the receptivity to this offering and especially gratified by the speed at which investors acted upon this opportunity. We are excited that they share the same level of enthusiasm regarding the market potential of our products and tissues. We appreciate the confidence of the new investors that participated in this private placement. As with our previous private placements, I again personally participated in this offering. This capital should provide the Company with sufficient cash to transition beyond EBITDA breakeven and profitability and afford MiMedx with funds to accelerate our revenue growth."
About the CompanyMiMedx® is an integrated developer, manufacturer and marketer of patent protected regenerative biomaterial products and bioimplants processed from human amniotic membrane. " Innovations in Regenerative Biomaterials" is the framework behind our mission to give physicians products and tissues to help the body heal itself. Our biomaterial platform technologies include the device technologies HydroFix® and CollaFix®, and our tissue technologies, AmnioFix® and EpiFix®. Our tissue technologies, processed from the human amniotic membrane, utilize our proprietary Purion® process that was developed by our wholly-owned subsidiary, Surgical Biologics, to produce a safe, effective and minimally manipulated implant. Surgical Biologics is the leading supplier of amniotic tissue, having supplied over 60,000 implants to date to distributors and OEMs for application in the Ophthalmic, Orthopedics, Spine, Wound Care and Dental sectors of healthcare. Safe Harbor Statement This press release includes statements that look forward in time or that express management's beliefs, expectations or hopes. Such statements are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, the Company's ability to achieve EBITDA break even and profitability, the adequacy of the funds received to transition the Company beyond EBITDA break even and profitability, and the anticipated use of the funds from the private placement to accelerate the Company's revenue growth. These statements are based on current information and belief, and are not guarantees of future performance. Among the risks and uncertainties that could cause actual results to differ materially from those indicated by such forward-looking statements include that unanticipated events may prevent the Company from using the proceeds of the private placement for the intended purpose, that the Company may require additional capital beyond the proceeds of the offering referenced in this release to achieve its goals, that the Company many not be able to achieve or sustain EBITDA breakeven or profitability, and the risk factors detailed from time to time in the Company's periodic Securities and Exchange Commission filings, including, without limitation, its 10-K filing for the fiscal year ended December 31, 2010 and its most recent Form 10-Q. By making these forward-looking statements, the Company does not undertake to update them in any manner except as may be required by the Company's disclosure obligations in filings it makes with the Securities and Exchange Commission under the federal securities laws. SOURCE MiMedx Group, Inc.