Dynasil Forms Xcede Technologies Inc. Mayo Clinic Participation
WATERTOWN, Mass., Oct. 10, 2013 /PRNewswire/ -- Dynasil Corporation of America (NASDAQ: DYSL) today announced that Dynasil Biomedical Corp ("DBM") has established a new subsidiary, Xcede Technologies, Inc., and transferred patent pending biomaterials technology for use in tissue sealing and hemostasis. Xcede's technology is a ready-to-use high-strength, fast-acting, combination hemostat/ sealant. The Xcede Patch, the first embodiment of the technology that Xcede plans to commercialize, requires minimal preparation time (less than 1 minute), is not dependent on patient coagulation and is highly effective on aggressive bleeding. The technology was initially invented by Dr. Daniel Ericson and acquired by Dynasil in 2011. Since 2011 Dynasil has further developed and refined the technology within its subsidiary, DBM, before contributing it to Xcede.
Xcede Technologies, headquartered in Rochester, MN, has also signed a License Agreement with Mayo Clinic, whereby Mayo will provide support assistance with clinical trials and physician involvement with the design and development of delivery tools and testing of clinical indications. Additionally, Xcede Technologies has initiated a convertible note financing of up to $2 million to fund its first in human trials. Participants in the financing include DBM, Mayo Clinical Ventures, Southern Initiative Minnesota Foundation and individual angel investors. Rochester Area Economic Development Inc. has also committed to provide debt financing.
"Our new subsidiary will allow for a singular focus on development of the tissue sealant technology in order to bring the Xcede Patch to market. Xcede will be separately funded, relieving Dynasil of the need to fund development going forward. Xcede has tremendous upside potential and all of the ingredients needed to revolutionize the $4.5 billion global fibrin sealants and hemostasis markets," said Peter Sulick, Chairman and CEO of Dynasil. "This is the first spin out of technology developed internally at Dynasil. We are hopeful that we can employ this model in the future as other technology we are working on both within DBM and RMD, our large research organization, reach maturity."
Mayo Clinic has a financial interest in the technology mentioned in this news release. Revenue Mayo receives is used to support the clinic's not-for-profit mission in clinical practice, education and research.
Dynasil Corporation of America (NASDAQ: DYSL) develops and manufactures detection and analysis technology, precision instruments and optical components for the homeland security, medical and industrial markets including medical imaging and sensors for non-destructive testing. Dynasil has an impressive and growing portfolio of issued and pending U.S. patents. The Company is based in Watertown, Massachusetts, with additional operations in MA, MN, NY, NJ and the United Kingdom. More information about the Company is available at www.dynasil.com.
This news release may contain forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements regarding future events and our future results are based on current expectations, estimates, forecasts, and projections and the beliefs and assumptions of our management, including, without limitation, our expectations regarding results of operations, the commercialization of our technology, in particular the Xcede patch, the success of our the efforts to fund the Xcede subsidiary, positive outcomes of our human trials, regulatory approvals and the strength of our intellectual property portfolio. These forward-looking statements may be identified by the use of words such as "plans", "intends," "may," "could," "expect," "estimate," "anticipate," "continue" or similar terms, though not all forward-looking statements contain such words. The actual results of the future events described in such forward looking statements could differ materially from those stated in such forward looking statements due to a number of important factors. These factors that could cause actual results to differ from those anticipated or predicted include, without limitation, our ability to complete the convertible note financing, our ability to develop and commercialize the Xcede patch, including obtaining regulatory approvals, the size and growth of the potential markets for our products and our ability to serve those markets, the rate and degree of market acceptance of any of our products, our ability to address our material weaknesses in our internal controls, general economic conditions, costs and availability of raw materials and management information systems, our ability to obtain and maintain intellectual property protection for our products, competition, the loss of key management and technical personnel, our ability to obtain timely payment of our invoices to governmental customers, litigation, the effect of governmental regulatory developments, the availability of financing sources, our ability to identify and execute on acquisition opportunities and integrate such acquisitions into our business, and seasonality, as well as the uncertainties set forth in the Company's 2012 Annual Report on Form 10 K, as amended on February 14, 2013, including the risk factors contained in Item 1a, the Company's Quarterly Reports on Form 10-Q filed on February 13, 2013, May 15, 2013 and August 12, 2013 and from time to time in the Company's other filings with the Securities and Exchange Commission. The Company disclaims any intention or obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.
Dynasil Corporation of America
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