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The Company reported the appointment of Deloitte & Touche LLP as theCompany's independent registered public accounting firm for fiscal year 2010,as ratified by its shareholders.
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"The appointment of Deloitte & Touche LLP is just one of a number of stepsthe Company has taken since our acquisition of a controlling interest inSuzhou Erye Pharmaceutical Company Ltd. ("Erye") in October 2009 thatdemonstrates our commitment to embracing the highest financial reportingstandards," said Robin Smith, M.D., NeoStem's Chief Executive Officer andChairman of the Board. "Our US GAAP qualified accounting and financialpersonnel have been working closely with Erye to assist their personnel withstrengthening their internal controls and we are pleased to report stridesbeing made in this effort."
NeoStem recently raised approximately $2.5 million from a combination ofoption and warrant exercises and the drawdown of its equity financing facility,further strengthening the Company's financial position. The new fundingincluded $700,000 gross proceeds from the exercise of a warrant by a greaterthan 5% shareholder that is affiliated with Erye management, FullbrightFinance Limited, to purchase the Company's common stock (these shares arerestricted for sale under a lock up agreement executed in February) and grossproceeds of $1,800,000 from the issuance of common stock at $2.63 per shareunder an equity financing facility from Commerce Court Small Cap Value Fund,Ltd.
"We are committed to providing shareholder transparency by offering timelyupdates of the Company's operations," added Dr. Smith. "We look forward toworking with our new auditor Deloitte & Touche LLP as we continue to strive toachieve the highest financial reporting standards. Furthermore, the newfunding provides additional financial flexibility to execute our growthstrategy. We will provide the investment community with updates in the futureon key events, including the progress of the transfer of production line tothe new Erye facility and developments in our recently announced collaborationwith the Pontifical Council for Culture."
About NeoStem, Inc.
NeoStem, Inc. is engaged in the development of stem cell-based therapies,pursuit of anti-aging initiatives and building of a network of adult stem cellcollection centers in the U.S. and China that are focused on enabling peopleto donate and store their own (autologous) stem cells for their personal usein times of future medical need. The Company also has licensed various stemcell technologies, including a worldwide exclusive license to VSEL(TM)technology which uses very small embryonic-like stem cells, shown to haveseveral physical characteristics that are generally found in embryonic stemcells, and is pursuing the licensing of other technologies for therapeutic use.NeoStem's majority-controlled Chinese pharmaceutical operation, Suzhou Erye,manufactures and distributes generic antibiotics in China. For moreinformation, please visit: http://www.neostem.com .
Forward-Looking Statements
This press release contains forward-looking statements within the meaningof the Private Securities Litigation Reform Act of 1995. Forward-lookingstatements reflect management's current expectations, as of the date of thispress release, and involve certain risks and uncertainties. Forward lookingstatements include statements herein with respect to the ability to advancedevelopment of the Company's adult stem cell therapy, ability to achieve thehighest financial reporting standards, the progress of production linetransfer at Erye and the impact of the collaboration with the PontificalCouncil for Culture, about which no assurances can be given. The Company'sactual results could differ materially from those anticipated in theseforward- looking statements as a result of various factors. Factors that couldcause future results to materially differ from the recent results or thoseprojected in forward-looking statements include the "Risk Factors" describedin the Company's Annual Report on Form 10-K filed with the Securities andExchange Commission on March 31, 2010 and the Company's Quarterly Report onForm 10-Q filed with the Securities and Exchange Commission on May 17, 2010,as well as other periodic filings made with the Securities and ExchangeCommission. The Company's further development is highly dependent on futuremedical and research developments and market acceptance, which is outside itscontrol.For more information, please contact: NeoStem, Inc. Robin Smith, CEO Phone: +1-212-584-4174 Email: [email protected] Web: http://www.neostem.com CCG Investor Relations, Inc. Lei Huang, Account Manager Phone: +1-646-833-3417 Email: [email protected] Web: http://www.ccgirasia.com Crocker Coulson, President Phone: +1-646-213-1915 Email: [email protected]
SOURCE NeoStem, Inc.
