- 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
"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
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 warrant.
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 visit
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.
Spectral Diagnostics Inc.
Anthony Businskas Executive Vice President and CFO 416-626-3233 ext. 2200
Adam Peeler Investor Relations 416-815-0700 ext. 225 email@example.com
SOURCE: Spectral Diagnostics Inc.
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