Stem Cell Therapeutics Corp.
TSX VENTURE : SSS

Stem Cell Therapeutics Corp.

May 27, 2009 08:30 ET

Stem Cell Therapeutics Corp. Announces First Quarter 2009 Financial Results

CALGARY, ALBERTA--(Marketwire - May 27, 2009) - Stem Cell Therapeutics Corp. ("SCT") (TSX VENTURE:SSS) today announced its financial results for the period ended March 31, 2009.

Highlights from the first quarter of 2009 and up to May 27, 2009

- Detailed and cooperative work with the FDA resulted in the lift of the clinical hold on the Phase IIb clinical stroke trial, as announced on May 14, 2009

- Completion of an animal study that indicated a positive result for using an extended human Chorionic Gonadotropin ("hCG") treatment for stroke

- Released encouraging data from 7 patients enrolled in the original REGENESIS stroke trial prior to the clinical hold, as announced May 21, 2009

Financial Review

The Company's loss for the three month period ended March 31, 2009 decreased by $469,427 to $884,759 ($0.01 per common share) from the loss of $1,354,186 ($0.01 per common share) reported for the three month period ended March 31, 2008. The primary reason for the decrease in loss was decreases in general and administration expenses, research and development costs and management and consulting fees offset by a decrease in interest income earned during the period.

Capital Position

As of March 31, 2009 the working capital (current assets minus current liabilities) of the Company was $5,072,798 ($5,803,377 as of December 31, 2008). Outstanding securities as of March 31, 2009 totaled 132,802,497 common shares 18,975,000 share purchase warrants and 12,121,103 common share options.

Dr. Alan Moore, President and CEO of SCT commented as follows:

"Throughout the first quarter of 2009 we continued to work with the FDA and our efforts were recognized on May 14, 2009 when the clinical hold on our NTx®-265 Phase IIb clinical stroke trial was lifted. We were also encouraged by an animal study indicating extended hCG treatments have activity in a key animal model for stroke. This is an important addition to our intellectual property inventory. And, the results from the seven patients enrolled in the REGENESIS study prior to the clinical hold provide further encouragement for the efficacy of our product. Finally, we were successful with our cost-cutting initiative as we have been able to preserve enough capital to take us through the completion of the modified Phase IIb stroke trial."

About Stem Cell Therapeutics Corp.: Stem Cell Therapeutics Corp. is a Canadian public biotechnology company (TSX VENTURE:SSS) focused on the development and commercialization of drug-based therapies to treat central nervous system diseases. SCT is a leader in the development of therapies that utilize drugs to stimulate a patient's own resident stem cells. The Company's programs aim to repair brain and nerve function lost due to disease or injury. The Company's extensive patent portfolio of owned and licensed intellectual property supports the potential expansion into future clinical programs in numerous neurological diseases such as traumatic brain injury, multiple sclerosis, Huntington's disease, Alzheimer's disease, and ALS.

These securities have not been registered under the United States Securities Act of 1933, as amended, or the securities laws of any state, and may not be offered or sold within the United States or to, or for the account or benefit of U.S. persons unless an applicable exemption from U.S. registration requirements is available.

Except for historical information, this press release may contain forward-looking statements, which reflect the Company's current expectation regarding future events. These forward-looking statements involve risk and uncertainties, which may cause but are not limited to, changing market conditions, the successful and timely completion of clinical studies, the establishment of corporate alliances, the impact of competitive products and pricing, new product development, uncertainties related to the regulatory approval process and other risks detailed from time to time in the Company's ongoing quarterly and annual reporting.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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