Orgenesis Receives $1.5 Million Term Loan to Help Fund Breakthrough Innovation in Diabetes Research
WHITE PLAINS, NY -- (Marketwired) -- 06/25/14 -- Orgenesis Inc. (OTCQB: ORGS), a leader in the emerging fields of cellular therapy and re-generative medicine, announced today that it raised $1.5 million via a senior secured term loan facility.
"This infusion of funding allows us to aggressively move forward with the development of new medical technologies and cell therapies for the treatment of diabetes," said Vered Caplan, chairperson and CEO of Orgenesis. "The focus will immediately be on our Belgium subsidiary, Orgenesis SPRL where all the funds will be used to advance our research on cellular trans-differentiation as a potential curative treatment for serious diseases such as type 1 diabetes and quicken our pace toward human trials."
This financing also opens the door for future funding and grants by making Orgenesis eligible to tap into additional government financing and grant opportunities in Europe.
Cellular trans-differentiation is a breakthrough innovation Orgenesis has developed to restore natural insulin production and blood sugar regulation by converting autologous cells from a patient's liver into cells that create insulin.
This novel approach has the potential to release patients from constant monitoring and insulin-dependence while eliminating the need for immunosuppressive or immunomodulatory therapy, effectively putting an end to diabetes as it is known today.
About Orgenesis SPRL
Orgenesis SPRL was established and registered in 2013 as a subsidiary in Belgium to complete process development and enable product manufacturing of cells to be used for clinical trials in Europe. The incorporation of Orgenesis SPRL follows a partnership established in May 2013 with ATMI, Inc, which was acquired by Pall Technologies, to leverage the highly innovative Integrity® Xpansion™ disposable bioreactors, which will become a major component in Orgenesis' cell culture product manufacturing. Prior to establishing Orgenesis SPRL, Orgenesis began working with key CMOs (contract manufacturing organizations) in Belgium's Walloon region in order to develop a commercially-scalable manufacturing process. The Walloon region has become a central hub to innovative companies developing new technologies for cell therapy.
About Orgenesis, Inc.
Orgenesis is a development stage company that is committed to curing Type 1 Diabetes. In pursuit of this goal, the company is developing a novel technology that combines cellular therapy and regenerative medicine. Through a process called 'trans-differentiation,' the company has pioneered an approach that turns an insulin-dependent patient's own liver cells into functional insulin producing cells. Orgenesis believes that converting the diabetic patient's own tissue into insulin-producing cells has the potential to overcome the significant issues of donor shortage, cost and exposure to chronic immunosuppressive therapy associated with islet cell transplantation. For more information visit: www.orgenesis.com.
Notice Regarding Forward-Looking Statements
This news release contains "forward-looking statements" which are not purely historical. Such forward-looking statements include, among other things, the expectations of management that our regeneration technology can be developed as therapeutic treatment for diabetes which could, if successful, mean the end of diabetes as we know it and the anticipated benefits of the financing. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits Orgenesis will obtain from them. Actual results could differ from those projected in any forward-looking statements due to numerous factors, including, among others, that we may not be successful in obtaining any European grant funds, the potential failure of development candidates to advance through preclinical studies or demonstrate safety and efficacy in clinical testing; the ability to pass clinical trials so as to move on to the next phase; our ability to retain key employees; our ability to finance development and operations; our ability to satisfy the rigorous regulatory requirements for new medical procedures; and competitors may develop better or cheaper alternatives to our products. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Investors should refer to the risk factors disclosure outlined in our periodic reports filed from time-to-time with the Securities and Exchange Commission.
Company Vered Caplan Chairperson & CEO + 972-54 4301 034 Vered.C@orgenesis.com Investor Relations: Chris Tyson Liolios Group, Inc. Tel (949) 574-3860 ORGS@liolios.com Media Contact Tim Rush or Leslie Proctor Springboard5 (801) 208-1100 email@example.com firstname.lastname@example.org
Source: Orgenesis Inc.
Released June 25, 2014