Newark, CA (U.S.A.), Beijing (China) and Berlin (Germany), Germantown, MD (U.S.A) – BioChain, a leading clinical diagnostics company in cancer and genetic tests in China and the US, and Epigenomics AG (Frankfurt Prime Standard: ECX, OTC: EPGNY), the German-American cancer molecular diagnostics company, announced that the Epigenomic is raising USD 5.3 million (EUR 4.2 million) in a share capital increase. BioChain Institute, Inc. will subscribe a total of 1,351,089 Epigenomics shares which will be issued under exclusion of the statutory subscription right of the shareholders.
The Executive Board of Epigenomics AG, with approval of the Supervisory Board, today resolved on the increase of the Company’s share capital by the amount of EUR 1,351,089 by issuance of 1,351,089 new shares from the Authorized Capital 2014/I against contribution in cash. The issue price has been set at EUR 3.08 per share, based on the XETRA closing price of the day prior to the announcement, Wednesday, October 15, 2014. After registration of the capital increase on or around November 21, 2014, the subscribed capital of Epigenomics AG will increase from currently EUR 13,517,558 to EUR 14,868,647.
Grace Tian, CEO of BioChain, stated: “BioChain is proud to announce that we will acquire 1,351,089 shares of Epigenomics stock. Our decision on this stems from the tremendous progress we have seen in our clinical studies in China. The urgency of early cancer diagnosis is world-wide and we are committed to advance our research effort in diagnostics. The current investment with Epigenomics signifies the mutual support and successful collaboration between our two companies.”
“We are delighted with BioChain’s allegiance to Epi proColon®, our partnership and exciting plans for the future of colorectal cancer screening. The new investment reinforces and deepens our joint commitment to the successful launch of Epi proColon® throughout major markets and is clear evidence of the shared belief in our future success,” said Dr. Thomas Taapken, CEO of Epigenomics AG. “The secured funds are very important for Epigenomics to extend our cash reach for the execution of important final steps in the approval and commercialization for our lead product Epi proColon® in the United States and China.”
Epigenomics AG intends to use the net proceeds from the capital increase to finance its current operations and to strengthen the distribution capabilities for its lead product Epi proColon®, a convenient blood-based test for the early detection of colorectal cancer.