Thursday, February 2, 2012

Cytomedix (CMXI) to Receive Additional $2.5M Payment as Part of Official Option Extension

Cytomedix Inc., a leading developer of biologically active regenerative therapies for wound care, inflammation and angiogenesis, today announced that as part of the official extension of its license agreement with a top global pharmaceutical company, it will receive an additional $2.5 million non-refundable payment, which is expected to be received on or before February 15, 2012.

The option extension will now run through June 30, 2012, during which time the companies will establish a formal negotiation of an exclusive license and supply agreement for the distribution of the Cytomedix’ AutoloGel™ System.

“We are especially pleased to extend the option period as it signifies that diligence on the part of our potential partner is complete and that all necessary corporate approvals to proceed are in place. We believe the potential product synergies within this specific hospital-based and technically-oriented sales force can meaningfully accelerate adoption of the AutoloGel™ System,” Martin P. Rosendale, CEO of Cytomedix stated in the press release. “We have worked closely to jointly evaluate the significant market opportunity and look forward to the successful and timely conclusion of negotiations to a final agreement.”

Throughout these negotiations, Cytomedix will transfer clinical and marketing subject matter to the pharmaceutical company and continue to conduct product development of the next generation AutoloGel separation device. The company anticipates submitting this proprietary separation enhancement for 501(k) approval to the FDA in the second quarter of 2012.

Cytomedix said the pharmaceutical company (option holder) is maintaining its preference for anonymity until a definitive license and supply agreement is finalized and executed.

For more information visit www.cytomedix.com

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