Guildford, UK: 28 June 2006: ReNeuron Group plc (the “Company“) today announces that it has received commitments in respect of a placing of 5,500,000 new ordinary shares of 10p each credited as fully paid (“Ordinary Shares“) at a price of 13p per share (the “Placing“). Collins Stewart Limited acted as nominated adviser and broker to the Company in connection with the Placing.
In conjunction with the Placing the Company will issue 556,767 new Ordinary Shares to StemCells, Inc. fully paid up as to nominal value (the “SCI Issue“) pursuant to the term of the subscription and share exchange agreement between, inter alia, the Company and StemCells, Inc. dated 5 July 2005 (as amended) and as more fully described in the admission document published by the Company on 5 August 2005 in connection with the initial admission of the Ordinary Share capital of the Company to trading on the AIM market of the London Stock Exchange plc (“AIM“).
A total of 6,056,767 Ordinary Shares are expected to be issued pursuant to the Placing and the SCI Issue will be issued and admitted to trading on AIM on 29 June 2006. Such Ordinary Shares will rank in full for all dividends and otherwise pari passu with all existing Ordinary Shares.
Notes to editors
ReNeuron is a leading, UK-based adult stem cell therapy business. The Group is applying its novel stem cell platform technologies in the development of ground-breaking stem cell therapies to serve significant and unmet or poorly-met clinical needs.
ReNeuron has used its c-mycERTAM technology to generate genetically stable neural stem cell lines. This technology platform has multi-national patent protection and is fully regulated by means of a chemically-induced safety switch. Cell growth can therefore be completely arrested prior to in vivo implantation.
The Group’s lead stem cell therapy, ReN001 for chronic stroke disability, is in late pre-clinical development. Subject to successful completion of pre-clinical testing, the Company plans to file for approval to commence initial clinical trials in stroke by the end of 2006, with trials commencing as soon as possible thereafter.
The Group has also generated pre-clinical efficacy data with its ReN005 stem cell therapy for Huntington’s disease, a rare, genetic and fatal neurodegenerative disorder that affects around 1 in 10,000 people. This programme is in pre-clinical development.
In addition to its stroke and Huntington’s disease programmes, ReNeuron is developing stem cell therapies for Parkinson’s disease, Type 1 diabetes and diseases of the retina.
ReNeuron has also leveraged its stem cell technologies into non-therapeutic areas – its ReNcellTM range of cell lines for use in drug discovery applications in the pharmaceutical industry.
ReNeuron’s shares are traded on the London AIM market under the symbol RENE.L, and its warrants are traded under the symbol RENW.L.
Further information on ReNeuron and its products can be found at www.reneuron.com.
Further information
ReNeuron
Michael Hunt, Chief Executive Officer
Tel: 44 (0)1483 302 560
Financial Dynamics
David Yates
Sarah Macleod
Tel: 44 (0)20 7831 3113
Financial Dynamics – US
Jonathan Birt
John Capodanno
Tel: +1 (212) 850 5755