GenoMed Secures Critical 'Bridge' Funding
Wednesday, October 22, 2003 03:18 PM ET
ST. LOUIS, Oct. 22 /PRNewswire-FirstCall/ -- GenoMed Inc. ("the Company" or "GenoMed") (Pink Sheets: GMED) announced today that it has secured "bridge" funding that will allow it to continue collecting patient outcomes data on its treatments for a number of serious diseases.
Terms of the Agreement call for a capital investment into GenoMed of up to $41,667 per month through October, 2004, of which $10,000 per month is guaranteed.
Dr. David Moskowitz, GenoMed's CEO and Chief Medical Officer, said, "The period of financial hardship the Company has just endured has not been altogether bad. We have developed a practical revenue model based on the Company's clinical research data. We are slowly growing our paying patient base, and are marketing directly to unions and large self-insured employers. At $800 per patient per year, this should help the financial health of the company considerably."
Dr. Moskowitz continued, "We have also initiated more than 20 clinical trials, including trials for West Nile virus and SARS. We have found a way to do our clinical trials at minimal cost. Currently we have over 400 patients enrolled, with an almost unlimited capacity for more patients. Once our results are collected and published, these treatments will bring the Company additional patient revenues. To protect our intellectual property, we have continued to file provisional patent applications, bringing our total so far to 33, and to move the provisional applications along on time."
Dr. Moskowitz added, "GenoMed also continues to reply to all questions from the NASD in a timely manner in our quest to be listed on the OTC Bulletin Board, a process we began with the filing of our Form 10-SB with the SEC over a year ago."
Dr. Moskowitz ended by saying, "I feel that we have structured a transaction that is advantageous to the Company and to our shareholders. We did not tie the financing to today's market price; instead, it will be based strictly upon a formula taking into account the price of the Company's securities at the time of each monthly capital investment. We hope and expect that this will limit dilution to our shareholders as the Company moves forward."