Guildford, UK, 28 January 2011: ReNeuron Group plc (LSE: RENE.L) today announces that it has reached a settlement with Neuralstem, Inc. (NYSE Amex: CUR) regarding the existing litigation in the US between the parties.
Under the terms of the settlement, ReNeuron makes no admission of liability and the lawsuit will be dismissed. ReNeuron will make payments to Neuralstem tied to the successful development of stem cell products using certain of ReNeuron’s cell lines relevant to the case. The detailed financial terms are undisclosed.
Michael Hunt, Chief Executive Officer of ReNeuron, said:
“We are pleased to have settled this dispute. The relatively short schedule to trial for this particular case would have entailed a costly and time-consuming process for the Company from this point. The settlement terms fall within our existing financial forecasts, leaving our current two year cash runway unaffected.”
Michael Hunt, Chief Executive Officer – ReNeuron +44 (0) 1483 302560
Mark Court, Isabel Podda
Buchanan Communications +44 (0) 20 7466 5000
Emma Earl, Oliver Rigby
Daniel Stewart & Company plc +44 (0) 20 7776 6550
James Gallagher, Tim Graham
Matrix Corporate Capital LLP +44 (0) 20 3206 7000
ReNeuron is a leading, clinical-stage stem cell business. Its primary objective is the development of novel stem cell therapies targeting areas of significant unmet or poorly met medical need.
ReNeuron has used its unique stem cell technologies to develop cell-based therapies for significant disease conditions where the cells can be readily administered “off-the-shelf” to any eligible patient without the need for additional immunosuppressive drug treatments. ReNeuron’s lead candidate is its ReN001 stem cell therapy for the treatment of patients left disabled by the effects of a stroke. This therapy is currently in early clinical development. ReNeuron’s ReN009 stem cell therapy is being developed as a treatment for peripheral arterial disease, a serious and common side-effect of diabetes. The Company is also developing stem cell therapies for other conditions such as blindness-causing diseases of the retina.
ReNeuron has also developed a range of stem cell lines for non-therapeutic applications – its ReNcell® products for use in academic and commercial research. The Company’s ReNcell®CX and ReNcell®VM neural cell lines are marketed worldwide under license by USA-based Millipore Corporation.
ReNeuron’s shares are traded on the London AIM market under the symbol RENE.L. Further information on ReNeuron and its products can be found at www.reneuron.com.
This announcement contains forward-looking statements with respect to the financial condition, results of operations and business achievements/performance of ReNeuron and certain of the plans and objectives of management of ReNeuron with respect thereto. These statements may generally, but not always, be identified by the use of words such as “should”, “expects”, “estimates”, “believes” or similar expressions. This announcement also contains forward-looking statements attributed to certain third parties relating to their estimates regarding the growth of markets and demand for products. By their nature, forward-looking statements involve risk and uncertainty because they reflect ReNeuron’s current expectations and assumptions as to future events and circumstances that may not prove accurate. A number of f actors could cause ReNeuron’s actual financial condition, results of operations and business achievements/performance to differ materially from the estimates made or implied in such forward-looking statements and, accordingly, reliance should not be placed on such statements.