BSD Medical Announces Registered Direct Offering of Common Stock and Warrants in Aggregate Amount of $5 Million

  BSD Medical Announces Registered Direct Offering of Common Stock and
  Warrants in Aggregate Amount of $5 Million

Business Wire

SALT LAKE CITY -- April 9, 2013

BSD Medical Corporation (NASDAQ: BSDM) today announced that it entered into a
securities purchase agreement with two institutional investors for the sale of
4,065,042 shares of its common stock in a registered direct offering at $1.23
per share. In addition, warrants to purchase 3,048,782 shares of common stock
in the aggregate will be issued to the investors. The warrants are exercisable
beginning six months and one day after closing, expire 5 years after becoming
exercisable, and have an exercise price of $1.65 per share. Gross proceeds of
the offering, before deducting placement agent fees and other estimated
offering expenses payable by BSD Medical Corporation, are expected to be
approximately $5 million. These securities are being offered through a
prospectus supplement pursuant to the Company’s effective shelf registration
statement and base prospectus contained therein.

The net proceeds from this offering will be used for general working capital
purposes. In the securities purchase agreement we have entered into with the
purchasers in this offering, we have agreed not to use the proceeds of this
offering to satisfy any existing debt (other than ordinary course trade
payables), to redeem any of our outstanding securities (other than the
warrants issued pursuant to the securities purchase agreement), or to settle
any outstanding litigation.

The completion of the offering will occur on or before April 12, 2013. Roth
Capital Partners served as the placement agent for the offering.

Copies of the final prospectus supplement and accompanying base prospectus can
be obtained from Roth Capital Partners at 888 San Clemente Drive, Newport
Beach, CA 92660, attention: Equity Capital Markets or 800-678-9147 or
rothecm@roth.com.

A shelf registration statement relating to these securities has been filed
with and declared effective by the Securities and Exchange Commission. A
prospectus supplement related to the offering will be filed with the
Securities and Exchange Commission. This press release does not constitute an
offer to sell or the solicitation of an offer to buy, and these securities
cannot be sold in any state in which this offer, solicitation, or sale would
be unlawful prior to registration or qualification under the securities laws
of any such state. Any offer will be made only by means of a prospectus,
including a prospectus supplement, forming a part of the effective
registration statement.

About BSD Medical Corporation

BSD Medical Corporation develops, manufactures, markets and services systems
to treat cancer and benign diseases using heat therapy, which is delivered
using focused radiofrequency (RF) and microwave energy. BSD’s product lines
include both hyperthermia and ablation treatment systems. BSD’s hyperthermia
cancer treatment systems, which have been in use for several years in the
United States, Europe and Asia, are used to treat certain tumors with heat
(hyperthermia) while increasing the effectiveness of other therapies such as
radiation therapy. BSD’s microwave ablation system has been developed as a
stand-alone therapy to employ precision-guided microwave energy to ablate
(destroy) soft tissue. The Company has developed extensive intellectual
property, multiple products in the market and established distribution in the
United States, Europe and Asia. Certain of the Company’s products have
received regulatory approvals and clearances in the United States, Europe and
China. For further information visit BSD Medical's website at
www.BSDMedical.com.

Statements contained in this press release that are not historical facts are
forward-looking statements, as defined in the Private Securities Litigation
Reform Act of 1995. All forward-looking statements are subject to risks and
uncertainties detailed in the Company’s filings with the Securities and
Exchange Commission. These forward-looking statements speak only as of the
date on which such statements are made, and the Company undertakes no
obligation to update such statements to reflect events or circumstances
arising after such date.

Contact:

BSD Medical Corporation
William Barth, 801-972-5555
Facsimile: 801-972-5930
investor@bsdmc.com
 
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