Attached files
| file | filename |
|---|---|
| 8-K - Cytosorbents Corp | v184119_8k.htm |
| EX-10.2 - Cytosorbents Corp | v184119_ex10-2.htm |
| EX-10.1 - Cytosorbents Corp | v184119_ex10-1.htm |
CYTOSORBENTS
CORPORATION ENTERS INTO
FUNDING
AGREEMENT
Monmouth
Junction, New Jersey, May 10, 2010 — CytoSorbents Corporation (OTCBB: CTSO),
formerly known as MedaSorb Technologies Corporation, a therapeutic device
company, engaged in research, development, manufacture, and commercialization of
blood purification technologies, announced today that on May 5, 2010, it signed
a $6 Million purchase agreement with Lincoln Park Capital Fund, LLC (“LPC”), a
Chicago-based institutional investor. At such time as the SEC has declared
effective a registration statement related to shares underlying the transaction,
the Company will have the right over a 25-month period to sell shares of its
common stock to LPC from time to time in amounts between $50,000 and $750,000,
depending on certain conditions, for up to $6 million in the aggregate. The
purchase price of the shares will be based on the prevailing market prices of
the Company’s shares at the time of sales without any fixed discount, and the
Company will control the timing and amount of any sales of shares to LPC. There
are no negative covenants, restrictions on future financings, penalties or
liquidated damages in the purchase agreement. The proceeds received by the
Company under the agreement will be used to complete the European Sepsis Trial,
pursue CE Mark approval and commercialization of CytoSorb™, expand its product
pipeline, and for general working capital purposes. A more detailed description
of the agreement is set forth in the Company’s Current Report on Form 8-K to be
filed with the SEC which the Company encourages investors to review
carefully.
“As we
continue to progress in our European Sepsis Trial, we believe that our agreement
with LPC will help us to opportunistically fund our business on favorable
terms,” said Dr. Phillip Chan, CEO and President of CytoSorbents
Corporation.
About
CytoSorbents and CytoSorb™
CytoSorbents
Corporation, and its operating subsidiary CytoSorbents, Inc., is a therapeutic
device company in clinical trials to treat severe sepsis, often called
“overwhelming infection”, with a novel blood purification device called
CytoSorb™. Severe sepsis afflicts more than 1 million people in the United
States and an estimated 18 million people worldwide each year, killing one in
every three patients despite the best treatment. In the United States, more die
from severe sepsis than from either heart attacks, strokes or any single form of
cancer. Severe sepsis is typically triggered by bacterial infections like
pneumonia, or viral infections like influenza. However, it is the body’s
abnormal immune response to the trigger that leads to the unregulated, massive
production of cytokines, often called “cytokine storm”, that then causes severe
inflammation, organ failure and often death. CytoSorb™ is a cartridge
containing highly porous polymer beads that are designed to filter cytokines and
treat potentially fatal cytokine storm. As blood is pumped through the
CytoSorb™ cartridge using standard dialysis equipment, the beads bind and remove
cytokines and other toxins from blood. The treated blood is then returned to
the patient. The Company is currently conducting its European Sepsis Trial – a
multi-center, randomized, controlled clinical trial using CytoSorb™ to treat up
to 100 patients with severe sepsis in the setting of respiratory failure.
Pending a successful trial, the Company will seek CE Mark approval and
commercialization of CytoSorb™ in the European Union. CytoSorb™ is one of a
number of different resins designed for various medical applications, including
improved dialysis, the potential treatment of inflammatory and autoimmune
disorders, treatment of rhabdomyolysis in trauma, removal of chemotherapy during
treatment of cancer with high dose regional chemotherapy, drug detoxification
and others. Additional information is available for download on the Company’s
website: www.cytosorbents.com
About Lincoln Park Capital
(LPC)
LPC is an
institutional investor headquartered in Chicago, Illinois. LPC’s experienced
professionals manage a portfolio of investments in public and private entities.
These investments are in a wide range of companies and industries emphasizing
life sciences, energy and technology. LPC’s investments range from multiyear
financial commitments to fund growth to special situation financings to
long-term strategic capital offering companies certainty, flexibility and
consistency.
Forward-Looking
Statements
This
press release includes forward-looking statements intended to qualify for the
safe harbor from liability established by the Private Securities Litigation
Reform Act of 1995. Forward-looking statements in this press release are not
promises or guarantees and are subject to risks and uncertainties that could
cause our actual results to differ materially from those anticipated. These
statements are based on management's current expectations and assumptions and
are naturally subject to uncertainty and changes in circumstances. We caution
you not to place undue reliance upon any such forward-looking statements. Actual
results may differ materially from those expressed or implied by the statements
herein. CytoSorbents Corporation and CytoSorbents, Inc believe that its primary
risk factors include, but are not limited to: obtaining government approvals
including required FDA and CE Mark approvals; ability to successfully develop
commercial operations; dependence on key personnel; acceptance of the Company's
medical devices in the marketplace; the outcome of pending and potential
litigation; compliance with governmental regulations; reliance on research and
testing facilities of various universities and institutions; the ability to
obtain adequate financing in the future when needed; product liability risks;
limited manufacturing experience; limited marketing, sales and distribution
experience; market acceptance of the Company's products; competition; unexpected
changes in technologies and technological advances; and other factors detailed
in the Company's Form 10-K filed with the SEC on April 9, 2010, which is
available at http://www.sec.gov.
SOURCE:
CytoSorbents Corporation (fka MedaSorb Technologies Corporation)
Contact:
CytoSorbents
Corporation
David
Lamadrid
(732)
329-8885 ext. 816
davidl@cytosorbents.com