SOURCE: Living Cell Technologies

July 18, 2007 08:30 ET

LCT Launches ADR Program

MELBOURNE, AUSTRALIA--(Marketwire - July 18, 2007) - Living Cell Technologies Limited (ASX: LCT), a leading developer of live cell therapy products to treat life threatening human diseases, announced today it is capitalizing on growing US investor interest in the Company through the establishment of a Level 1 American Depositary Receipt Program (ADR) sponsored by the Bank of New York.

The Company's ADRs will trade under the ticker symbol 'LVCLY' effective July 17, 2007, and each ADR will represent 10 ordinary LCT shares. The Company's CUSIP number is 53838R107. The ADR program facilitates the purchase of LCT stock in the over-the counter (OTC) pink sheet market by US investors. LCT already has more than 10% of its shares held by US investors.

"We see this as an important step in LCT's long-term strategy of expanding the Company's presence in the US as our products progress toward commercialization," said LCT Chief Executive Officer, Dr Paul Tan.

"The program will assist us to strategically position the Company with potential US investors, partners and customers, while increasing visibility in the US market," he continued.

An ADR Program enables companies based outside of the US to participate in the US OTC market. It enables private investors and institutions to purchase LCT shares, including investors only permitted to buy US-based securities.

"LCT has a long-term commitment to expanding its presence in the US and increasing international liquidity in its shares. The ADR program will help achieve these goals by enhancing visibility in the US pharmaceutical and life sciences markets and expanding trading options for existing and potential new investors," said Richard Justice, Chief Financial Officer.

The Bank of New York, which has significant experience in bringing quality Australian and other issuers to the US market and promoting ADRs as an effective capital markets tool, has been appointed as the Company's depositary bank.

An ADR is created when a broker purchases LCT shares on the ASX on behalf of a client and delivers those shares to the Bank of New York's local custodian bank, which then instructs the depositary bank to issue Depositary Receipts. The Depositary Receipts may trade freely, like any other security, in the OTC market. The establishment of LCT's sponsored Level 1 ADR program does not involve an offering or issue of new shares.

To obtain information on how to trade ADRs, please visit the website at

About the ADR Program:

American Depositary Receipts (ADRs) are a negotiable instrument issued by a US depositary bank evidencing ownership interests in shares in a non-US company. Each ADR evidences American Depositary Shares (ADSs), representing a specific number of underlying shares on deposit with a custodian in the issuer's home market. ADRs are quoted and traded in US dollars in the US securities market, and the associated dividends are paid to investors in US dollars. ADRs facilitate the purchase, holding and sale of non-US securities by US investors and provide a corporate finance vehicle for non-US issuers. These securities are often known as simply DRs.

About Living Cell Technologies:

Living Cell is developing live cell therapy products to treat life threatening human diseases. The company owns a biocertified pig herd that it uses as a source of cells for treating diabetes and neurological disorders. For patients with Type 1 diabetes, the company transplants microencapsulated islet cells so that near-normal blood glucose levels may be achieved without the need for administration of insulin or at significantly reduced levels. The company entered clinical trials for its diabetes product in 2007. For the treatment of Huntington's disease and other neurological disorders, the company transplants microencapsulated choroid plexus cells that deliver beneficial proteins and neurotrophic factors to the brain. Living Cell's technology enables healthy living cells to be injected into patients to replace or repair damaged tissue without requiring the use of immunosuppressive drugs to prevent rejection. Living Cell also offers medical-grade porcine-derived products for the repair and replacement of damaged tissues, as well as for research and other purposes.

LCT disclaimer

This document contains certain forward-looking statements, relating to LCT's business, which can be identified by the use of forward-looking terminology, or by express or implied discussions regarding potential filings or marketing approvals, or potential future sales of product candidates. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any future results, performance or achievements expressed or implied by such statements. In particular, management's expectations regarding the approval and commercialization of product candidates could be affected by, among other things, unexpected clinical trial results; unexpected regulatory actions or delays, or government regulation generally; our ability to obtain or maintain patent or other proprietary intellectual property protection; competition in general; government, industry, and general public pricing pressures; and additional factors that involve significant risks and uncertainties about our products, product candidates, financial results and business prospects.

Contact Information

  • Contact information:

    In New Zealand:
    Dr. Paul Tan
    Mobile: + 64 21 608 784

    In the US:
    Mark Jones
    Global Consulting Group
    Tel: + 1 646 284 9414