A-Fem Medical Corp. Announces Recapitalization, Additional Investment.PORTLAND, Ore.--(BUSINESS WIRE)--Sept. 4, 1998--A-Fem Medical Corp. (OTC OTC See: Over-the-counter. OTC See over-the-counter market (OTC). BB:AFEM AFEM Armed Forces Expeditionary Medal AFEM Air Force Emergency Management (US Air Force) ) today announced that a current investor has invested an additional $1,248,000 in A-Fem in exchange for 650,000 shares of A-Fem's Series A Convertible Preferred Stock Convertible Preferred Stock Preferred stock that includes an option for the holder to convert the preferred shares into a fixed number of common shares, usually anytime after a predetermined date. Also known as "convertible preferred shares". and a warrant to purchase an additional 130,000 shares of Preferred Stock Stock shares that have preferential rights to dividends or to amounts distributable on liquidation, or to both, ahead of common shareholders. Preferred stock is given preference over common stock. Holders of preferred stock receive dividends at a fixed annual rate. at $1.92 per share. Each share of the Preferred Stock is convertible into one share of Common Stock, subject to certain adjustments. As part of the transaction, the investor also exchanged all its 4,316,405 shares of A-Fem's Common Stock and a warrant to purchase 50,000 shares of A-Fem's Common Stock for equal shares and warrants of Preferred Stock. "This investment demonstrates our investor's continued confidence in our products as well as our company," stated Steven Frankel, CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. . "As previously announced, expenses continue to exceed revenues and we continue to seek additional funding in order to maintain ongoing operations. However, we are encouraged by inSync's market performance and the early results of the PadKit feasibility study," added Frankel. A-Fem is a medical technology company with multiple platforms targeting unmet needs in women's health Women's Health Definition Women's health is the effect of gender on disease and health that encompasses a broad range of biological and psychosocial issues. . The company has developed three proprietary platforms: the Miniform, the PadKit(TM) and Rapid-Sense(TM). A-Fem currently markets the inSync(R) miniform, an alternative to tampons, pads and liners for light flow protection. The PadKit, currently in clinical trials, utilizes the miniform as an alternative collection method for Pap test Pap test, Pap smear, or Papanicolaou test (păp'ənē`kəlou), medical procedure used to detect cancer of the uterine cervix. sample collection. The company is also developing point-of-care diagnostics which provide a quantification of results based on its proprietary Rapid-Sense technology. For more information, visit A-Fem's website at www.afem.com. The discussion in this press release regarding A-Fem Medical Corp. ("company") contains forward looking statements (as defined in Section 27A of the Securities Act of 1933, as amended) that involve risks and uncertainties, including the risks that the inSync miniform launch may not be successful, that the company's development stage products may not be successfully developed or if developed may not be marketable and other risks detailed from time to time in the company's reports to the Securities and Exchange Commission, including the company report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for the year ended Dec. 1, 1997.
CONTACT: A-Fem Medical Corp.
Hilary Reinmuth, 503/968-8800 ext. 17
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