ROCHESTER, Minn., Nov. 18, 2016 /PRNewswire/ -- Dynasil
Corporation of America (NASDAQ: DYSL) today announced that it has
made a commitment for a further $1.2
million investment in subsidiary Xcede Technologies, Inc.
This investment comes alongside a commitment from Cook Biotech Inc.
(CBI) of West Lafayette, Ind., to
manage the Xcede Patch first-in-human clinical study on behalf of
Xcede in exchange for secured loan considerations of up to
$1.5 million. In addition,
Peter Sulick, Dynasil Chairman and
CEO, and members of his family made an additional investment of
$450,000. It is anticipated
this $3.15 million funding will be
sufficient for Xcede to complete first-in-human clinical trials and
related preclinical tests. The preclinical studies are anticipated
to begin in 2016 and the trial in 2017.
The Xcede Patch is intended to be used during surgical
procedures to stop bleeding (hemostasis). Preclinical testing
to date indicates this product promotes hemostasis within 60
seconds, a time that is faster than currently approved hemostatic
patches, which take approximately three minutes to stop bleeding.
Worldwide, the topical hemostatic market is estimated to be in
excess of $1 billion in revenue. In
addition, Xcede believes that the ease of use and potential price
point for this product will be compelling reasons for practitioners
to adopt the patch once it is approved for use as part of their
regular surgical practices. Because the patch promotes hemostasis
quickly, it is also under development for severe, traumatic
bleeding as a follow-on indication for use.
Xcede Technologies, a subsidiary of Dynasil Corporation of
America ("DCA"), is based in Rochester,
MN and Seattle, WA and
began operations in October 2013
following a technology transfer from Dynasil Biomedical, a
subsidiary of DCA. Xcede is committed to the development and
manufacture of innovative hemostatic and sealant products to
control bleeding in surgical applications based on its innovative
adhesive technology. The Xcede Patch is expected to be the first of
these ground breaking products. Following this latest round of
financing, Dynasil will own approximately 54% of Xcede.
"We are excited to announce this investment in Xcede, which
underpins our continued commitment to this technology," said
Peter Sulick, CEO of DYSL. "Those of
you following the company closely know that this has been a lengthy
and complicated process. We are very thankful for the ongoing
support of our development partner, Cook Biotech Inc. CBI has
agreed to provide yet another level of support for this
extraordinary product, one component of which is CBI's core
technology. Once in commercial production, we believe the product
will greatly improve operation room efficiencies and patient
outcomes." Linda Zuckerman, PhD,
Xcede president and CEO concurs. "Dynasil's investment combined
with Cook's extensive experience in medical device development and
clinical trial execution will continue to move the Xcede Patch
forward towards licensure. We are on a timeline to get the product
in the marketplace within the next several years."
Umesh Patel, PhD, Vice President
& General Manager of CBI, states, "Cook's extracellular matrix
technology combined with Xcede's adhesive technology provides an
excellent foundation for Xcede's first product. We look
forward to helping move this technology into the clinical phase of
development."
Conference Call Information
Dynasil will host a conference call for investors and analysts at
2:00 p.m. on Monday, November 21, 2016. The call will be
hosted by Peter Sulick, Dynasil's
Chairman, CEO and President and Linda
Zuckerman, PhD, Xcede's CEO and President. Those who
wish to listen to the conference call can go to the event page at
or visit the Investor Information section of the Company's website
at www.dynasil.com. The call also may be accessed by dialing (888)
346-2613 or (412) 902-4252. For interested individuals unable
to join the live conference call, a webcast replay will be
available on the Company's website for one year.
About Dynasil
Dynasil Corporation of America (NASDAQ: DYSL) develops and
manufactures detection and analysis technology, precision
instruments and optical components for the homeland security,
medical and industrial markets. Combining world-class technology
with expertise in research and materials science, Dynasil is
commercializing products including dual-mode radiation detection
solutions for Homeland Security and commercial applications, probes
for medical imaging and sensors for non-destructive testing.
Dynasil has an impressive and growing portfolio of issued and
pending U.S. patents. The Company is based in Watertown, Massachusetts, with additional
operations in Mass., Minn., NY, NJ and the United Kingdom. More information about the
Company is available at www.dynasil.com.
Forward Looking Statements
This news release may contain forward looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. These forward-looking statements regarding future
events and our future results are based on current expectations,
estimates, forecasts, and projections and the beliefs and
assumptions of our management, including, without limitation, our
expectations regarding results of operations, the commercialization
of our technology, in particular the Xcede patch, the success of
efforts to fund Xcede, positive outcomes of our pre-clinical and
planned clinical trials, regulatory approvals and the strength of
our intellectual property portfolio. These forward-looking
statements may be identified by the use of words such as "plans",
"intends," "may," "could," "expect," "estimate," "anticipate,"
"continue" or similar terms, though not all forward-looking
statements contain such words. The actual results of the
future events described in such forward looking statements could
differ materially from those stated in such forward looking
statements due to a number of important factors. These factors that
could cause actual results to differ from those anticipated or
predicted include, without limitation, our ability to develop and
commercialize the Xcede patch, including obtaining regulatory
approvals, the size and growth of the potential markets for our
products and our ability to serve those markets, the rate and
degree of market acceptance of any of our products, general
economic conditions, costs and availability of raw materials and
management information systems, our ability to obtain and maintain
intellectual property protection for our products, competition, the
loss of key management and technical personnel, our ability to
obtain timely payment of our invoices to governmental customers,
litigation, the effect of governmental regulatory developments, the
availability of financing sources, our ability to identify and
execute on acquisition opportunities and integrate such
acquisitions into our business, and seasonality, as well as
the uncertainties set forth in Dynasil Corporation of America's
Annual Report on Form 10 K, as filed on December 17, 2015 and from time to time in the
Company's other filings with the Securities and Exchange
Commission. Dynasil Corporation of America disclaims any intention
or obligation to update any forward-looking statements, whether as
a result of new information, future events or otherwise.
Dynasil Corporation of America disclaims any intention or
obligation to update any forward-looking statements, whether as a
result of new information, future events or otherwise.
Contacts:
Patty Kehe
Dynasil Corp of America
Phone: 617.668.6855
pkehe@dynasil.com
Dennis Abbott
Director, Global Business Development
Cook Biotech Inc.
1425 Innovation Place
West Lafayette, IN
47906
Phone: 765.807.1925
abbott@CookBiotech.com
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SOURCE Dynasil Corporation of America