Cryomedical Sciences Receives $1.0 Million in New Equity Financing.Business Editors KENNESAW, Ga.--(BUSINESS WIRE)--Oct. 17, 2001 Cryomedical Sciences Inc. (OTCBB OTCBB See OTC Bulletin Board (OTCBB). : CRYM), a leader in low temperature medical technologies for cryoablation of cancerous tissue, and for the preservation of organs, tissues, and cells, today announced that it raised $1.0 million through a private placement consisting of 5,000 Units of its Series F 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 warrants to several existing shareholders. "Sophisticated investors have demonstrated their strong commitment to fund our marketing and product development initiatives," said Andrew Greuling, Cryomedical Sciences' President and 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. . "Although we expect to require additional funding in the first quarter of 2002, the proceeds from this financing will be employed to increase our presence in the expanding market for the cryoablation of cancer, for product development initiatives of our cryosurgical systems and preservation solutions, and to provide working capital." Each Unit, priced at $200 per Unit, consisted of two shares of Series F 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. , each convertible into 400 shares of common stock at $0.25 per share, and one warrant to purchase 400 shares of common stock at $0.375 per share on or before October 3, 2006. About Cryomedical Sciences The initial development of the AccuProbe in 1992 provided CMS (1) See content management system and color management system. (2) (Conversational Monitor System) Software that provides interactive communications for IBM's VM operating system. with market dominance Market dominance is a measure of the strength of a brand, product, service, or firm, relative to competitive offerings. There is often a geographic element to the competitive landscape. in the modern cryosurgical marketplace. The company's Accuprobe(R) System uses a patented design that maintains Super Cooled Liquid Nitrogen Noun 1. liquid nitrogen - nitrogen in a liquid state atomic number 7, N, nitrogen - a common nonmetallic element that is normally a colorless odorless tasteless inert diatomic gas; constitutes 78 percent of the atmosphere by volume; a constituent of all living in a liquid state, resulting in superior freezing characteristics when compared to other cryosurgical systems. The company is once again aggressively pursuing the market for cryoprostatectomy that has shown a dramatic increase with the recent positive changes in reimbursement. Through its wholly owned subsidiary Wholly Owned Subsidiary A subsidiary whose parent company owns 100% of its common stock. Notes: In other words, the parent company owns the company outright and there are no minority owners. , BioLife Solutions, Inc., the company is developing a range of proprietary, cell, tissue and organ specific preservation solutions, based on its patented Hypothermosol(TM) platform technology. Initial clinical results suggest that these derivatives of Hypothermosol could significantly prolong cell, tissue and organ viability. The company continues to develop a variety of relationships with biotech firms who can utilize the Hypothermosol preservation solutions. This news release contains forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. Such forward looking statements include, but are not limited to: the company's rebuilding efforts, anticipated revenue growth, the introduction of the Accuprobe System, and the initial clinical results of its Hyperthermosol derivatives. Cryomedical Science cautions that these statements are subject to substantial risks and uncertainties and are qualified by important factors known and unknown that could cause actual results to differ materially from those reflected by the forward-looking statements and should not be relied upon by investors when making an investment decision. These factors include, without limitation, market acceptance of Cryomedical Sciences' products, future economic, regulatory, competitive, and market conditions and future business decisions. Information on these and other factors is detailed in the company's Form 10-KSB for the year ending December 31, 2000 and other documents filed with the Securities and Exchange Commission. |
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