- Toray Industries, Inc. Subscribes for $5 Million of Offering -
TORONTO, April 2, 2013 /CNW/ - Spectral Diagnostics Inc. (TSX: SDI) (OTC QX: DIAGF) ("Spectral", or the "Company") and Toray Industries, Inc. ("Toray") today announced the completion of the previously announced $5.6
million private placement of the Company, comprised of a total of
18,666,667 common shares in the capital of the Company ("Common Shares"), at a price of $0.30 per Common Share (the "Private Placement").
Toray acquired 16,666,667 Common Shares in the Private Placement, at a
price of $0.30 per Common Share, for $5 million. Following completion
of the Private Placement, Toray's 16,666,667 Common Shares represent
approximately 12.6% of the issued and outstanding Common Shares,
calculated on a non-diluted basis
"We are very pleased to have Toray as a shareholder and we sincerely
appreciate the support of existing investors who participated in this
offering at a premium to market. This is indicative of the confidence
that they have in our clinical development program and prospects for
Toraymyxin in the U.S. market," said Anthony Businskas, Executive Vice
President and CFO of Spectral.
"This strategic investment not only provides additional funds for the
clinical trial, but also strengthens the existing collaborative
relationship we have with Spectral. Toray will work with Spectral to
complete the clinical study for U.S. FDA market approval of Toraymyxin
and together we hope to accelerate the launch of this product into the
U.S. market," said Kazuhiro Maruyama, Senior Vice President of Toray.
The net proceeds of the Private Placement will be used to continue to
support the Company's Phase III EUPHRATES clinical trial and for general corporate purposes.
The acquisition of the Common Shares by Toray was made for investment
purposes only, and not with the purpose of influencing control or
direction over Spectral. Toray may acquire further Common Shares, or
dispose of its holdings of Common Shares, as investment conditions
About Spectral Diagnostics
Spectral is a Phase III company seeking U.S. FDA approval for its lead
theranostics product (Toraymyxin) for the treatment of septic shock.
Toraymyxin is a therapeutic hemoperfusion device that removes
endotoxin, which can cause sepsis, from the bloodstream. Directed by
the Company's Endotoxin Activity Assay (EAA™), the only FDA-cleared
diagnostic for the risk of developing sepsis, Spectral's EUPHRATES
trial is the world's first theranostics trial in the area of sepsis.
Spectral is listed on the Toronto Stock Exchange under the symbol SDI,
and on the OTC QX under the symbol DIAGF. For more information please
About Toray Industries, Inc.
Toray Industries, Inc. is a Japanese-based manufacturer of fibers,
textiles, plastics, chemicals, IT related products, carbon fiber
composite materials, environmental and engineering equipment, and
pharmaceutical and medical products. In FY 2011, Toray was active in
23 countries and regions, and had net sales of ¥1.6 trillion
(approximately U.S.$19 billion). Toray manufactures the Toraymyxin
hemoperfusion device and has licensed to Spectral the exclusive
commercialisation rights to this product in the United States and
granted the Company exclusive distribution rights in Canada.
Note: U.S. dollar amounts have been converted from yen at the exchange
rate of ¥82.2 = U.S.$1, the approximate rate of exchange prevailing on
March 31, 2012.
Information in this news release that is not current or historical
factual information may constitute forward looking information within
the meaning of securities laws. Implicit in this information,
particularly in respect of the future outlook of Spectral and
anticipated events or results, are assumptions based on beliefs of
Spectral's senior management as well as information currently available
to it. While these assumptions were considered reasonable by Spectral
at the time of preparation, they may prove to be incorrect.
Readers are cautioned that actual results are subject to a number of
risks and uncertainties, including the availability of funds and
resources to pursue R&D projects, the successful and timely completion
of clinical studies, the ability of Spectral to take advantage of
business opportunities in the biomedical industry, the granting of
necessary approvals by regulatory authorities as well as general
economic, market and business conditions, and could differ materially
from what is currently expected.
The TSX has not reviewed and does not accept responsibility for the
adequacy or accuracy of this statement.
SOURCE: Spectral Diagnostics Inc.
For further information:
Spectral Diagnostics Inc.
Executive Vice President and CFO
416-626-3233 ext. 2200
416-815-0700 ext. 225