SOURCE: Genetic Technologies
MELBOURNE, AUSTRALIA--(Marketwired - Dec 23, 2013) - Genetic Technologies Limited (ASX: GTG) (NASDAQ: GENE) today announced that the Redeemable Convertible Note (the "Note") described in the Company's ASX announcement dated September 10, 2013, which was subsequently approved by the Company's shareholders at an Extraordinary General Meeting on November 29, 2013, has now been issued.
The Note, which has a face value of USD 5 million, was issued to Ironridge BioPharma Co., a division of institutional investor, Ironridge Global IV, Ltd. ("Ironridge"). Cleared funds amounting to AUD 5,627,462, before the payment of associated costs, have now been received from Ironridge in respect of the Note. A Registration Statement on Form F-3 in respect of the securities covered by the Note has now been filed in the US and an ASX Appendix 3B in respect of the ordinary shares covered by the Note is attached.
"Genetic Technologies is pleased to have finalized this transaction with Ironridge," said Genetic Technologies Chairman Dr. Mal Brandon. "The funds raised from the Note, together with the net proceeds from the recently completed private placement and share purchase plan, adequately position the Company with resources necessary to expand its U.S. operations and continue the growth of its flagship test BREVAGen™. In addition, the funds will be used to complete studies that will add new ethnicities to increase the size of the available market and improve reimbursement performance."
"According to Booz Allen's latest Market Trends in Genetic Services report, the genetic testing market is growing rapidly," said Mr. John Kirkland, Managing Director of Ironridge Global Partners. "Clinical applications remain somewhat limited, while demand from physicians and patients is increasing. We have been following Genetic Technologies for several years and are impressed with the substantial progress they have made in this emerging industry. We are pleased to be able to fund further growth and development."
About Genetic Technologies Limited
Genetic Technologies is an established diagnostics company with more than 20 years of experience in commercializing genetic testing, non-coding DNA and product patenting. The Company has operations in Australia and the U.S. and is dual-listed on the ASX (Code: GTG) and NASDAQ (Ticker: GENE). Genetic Technologies is focused on the commercialization of its patent portfolio through an active out-licensing program and the global expansion of its oncology and cancer management diagnostics assets. Its U.S. subsidiary, Phenogen Sciences Inc., offers novel predictive testing and assessment tools to help physicians proactively manage women's health. Phenogen's lead product, BREVAGen™, is a first in class, clinically validated risk assessment test for non-familial breast cancer.
For more information, please visit http://www.gtglabs.com and http://www.phenogensciences.com
Safe Harbor Statement
Any statements in this press release that relate to the Company's expectations are forward-looking statements, within the meaning of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees. Since this information may involve risks and uncertainties and are subject to change at any time, the Company's actual results may differ materially from expected results. Additional risks associated with Genetic Technologies' business can be found in its periodic filings with the SEC.