ThermoGenesis Announces Strategic Reorganization Initiative
Company to Focus on Expanding Its AXP AutoXpress Platform Functionality for
Cord Blood and Cell Therapy Applications
RANCHO CORDOVA, Calif., Oct. 30, 2013 (GLOBE NEWSWIRE) -- ThermoGenesis Corp.
(Nasdaq:KOOL) today announced a strategic reorganization initiative designed
to better align resources with its expected cord blood revenue streams,
increase its internal clinical resource capabilities and provide greater focus
on new application development to improve the Company's market competitiveness
and to speed AXP^® AutoXpress^® Platform (AXP) adoption in developed and
emerging markets. The Company expects these changes will enable it to generate
cash from its cord blood business in the coming two to three quarters in
addition to realigning its professional resources to support its rapid
expansion into the regenerative medicine space."One of our primary objectives
is to continue to invest in our AXP Platform and clinical resources needed to
further expand the system's clinical intelligence and technological
functionality.In this way, we can better meet the evolving cell processing
needs of our cord blood customers and expand its use into our vascular and
orthopedic cell therapy initiatives," said Matthew Plavan, Chief Executive
Officer of ThermoGenesis.
As a result of eliminating a total of eleven positions in connection with the
reorganization, coupled with other targeted savings in operating costs, the
Company expects to realize approximately $1.5 million in annual expense
savings.One-time severance costs of approximately $210,000 are expected over
the next two quarters.
About ThermoGenesis Corp.
ThermoGenesis Corp. (www.thermogenesis.com) is a leader in developing and
manufacturing automated blood and bone marrow processing systems and companion
disposable products that enable the separation, processing and preservation of
cell and tissue therapy products. These include:
*AXP^® AutoXpress^® Platform (AXP), a proprietary family of automated
devices that includes the AXP and the MXP^® MarrowXpress^® and companion
sterile blood processing disposables for harvesting stem cells in closed
systems. The AXP device is used for the processing of cord blood. The MXP
is used for the preparation of cell concentrates, including stem cells
from bone marrow aspirates in the laboratory setting.
*The BioArchive^® System, an automated cryogenic device, used by cord blood
stem cell banks in more than 30 countries for cryopreserving and archiving
cord blood stem cell units for transplant.
*The Res-Q^TM 60 (Res-Q), a point-of-care system designed for the
preparation of cell concentrates, including stem cells, from bone marrow
aspirates and whole blood for platelet rich plasma (PRP).
In July 2013, TotipotentRX and ThermoGenesis Corp. announced their entry into
a merger agreement which will operate under the name Cesca Therapeutics. The
merger is subject to TotipotentRX and ThermoGenesis stockholder approval,
among other conditions.
Forward Looking Statement
This press release contains forward-looking statements. Such forward-looking
statements include but are not limited to thatTotipotentRX and ThermoGenesis
will provide unmatched world-class capability and service to their clients and
that the proposed merger will be completed. These statements involve risks and
uncertainties that could cause actual outcomes to differ materially from those
contemplated by the forward-looking statements.A more complete description of
risks that could cause actual events to differ from the outcomes predicted by
ThermoGenesis forward-looking statements is set forth under the caption "Risk
Factors" in its annual report on Form 10-K and other reports we file with the
Securities and Exchange Commission from time to time, and you should consider
each of those factors when evaluating the forward-looking statements.
This press release and the information contained herein shall not constitute
an offer to sell, buy or exchange or the solicitation of an offer to sell, buy
or exchange any securities, nor shall there be any sale, purchase or exchange
of securities in any jurisdiction in which such offer, solicitation, sale,
purchase or exchange would be unlawful prior to registration or qualification
under the securities laws of any such jurisdiction.No offer of securities
shall be made except by means of a prospectus meeting the requirements of
Section 10 of the Securities Act of 1933, as amended.
In connection with the merger, ThermoGenesis intends to file a registration
statement (including a prospectus) on Form S-4 with the Securities and
Exchange Commission.Holders of ThermoGenesis common stock and TotipotentRX
Corporation common stock are urged to read the proxy
statement/prospectus/consent solicitation and any other relevant documents
when filed because they contain important information about ThermoGenesis,
TotipotentRX and the merger.A proxy statement will be sent to holders of
ThermoGenesis common stock and a prospectus/consent solicitation will be sent
to holders of TotipotentRX Corporation common stock.When filed, the proxy
statement/prospectus/consent solicitation and other documents relating to the
proposed merger can be obtained free of charge from the SEC's website at
www.sec.gov. These documents can also be obtained free of charge from
ThermoGenesis upon written request to ThermoGenesis, Investor Relations, 2711
Citrus Road Rancho Cordova, CA 95742.ThermoGenesis and its directors and
executive officers may be deemed to be participants in ThermoGenesis'
solicitation of proxies from its shareholders in connection with the proposed
merger. Information regarding the participants and their security holdings can
be found in ThermoGenesis' most recent proxy statement filed with the SEC,
which are available from the SEC, and the proxy statement/prospectus/consent
solicitation when it is filed with the SEC.
CONTACT: ThermoGenesis Corp. Investor Relations
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