Generex Comments on Results of Stockholders` Meeting
WORCESTER, Mass. and TORONTO, April 3, 2013 /PRNewswire/ -- Generex Biotechnology Corporation (www.generex.com) (OTCBB: GNBT) today commented on the results of the meeting of the Company`s stockholders held on March 28, 2013. On April 1, 2013, the Company filed a Form 8-K Current Report with the United States Securities and Exchange Commission detailing the voting results in respect of each of the proposals put forward at the meeting. That report is publicly available in the online EDGAR database at www.sec.gov.
The slate of directors put forward in the Company`s proxy statement in respect of the meeting was elected: John P. Barratt (Chairman of the Board); Brian T. McGee (Chairman of the Audit Committee of the Board of Directors); Dr. James H. Anderson, MD (Chief Scientific Advisor); Dr. Eric von Hofe, PhD (President of Antigen Express, Inc.); and, Mark A. Fletcher (President & Chief Executive Officer).
The proposals to (a) amend the Company`s Restated Certificate of Incorporation to increase the number of shares of common stock authorized thereunder, and (b) authorize the Board to effect a reverse stock split of the Company`s common stock (up until September 27, 2014), were approved by holders of a majority of the Company`s outstanding stock. The proposal to amend the Company`s stock plan by increasing the number of shares of common stock available thereunder was also approved by the Company`s stockholders.
"We very much appreciate the support and confidence of our stockholders," Mr. Fletcher commented. "These adjustments to the Generex capital structure will set the stage for the next phase in the life of Generex. The approval of an increase in authorized capital permits Generex to continue to access the capital markets for the funding necessary to carry on our work. The approval of a reverse stock split affords the Board flexibility in managing the Company`s capital structure for the benefit of their fellow stockholders. The amendment of the stock plan will facilitate the retention and engagement of employees and consultants who will play a vital role in the future successes of Generex and Antigen Express. These initiatives, as a package, will provide a solid foundation upon which our future successes can be securely built."
In addition to being poised to move forward with its clinical and regulatory programs and corporate plans, the Company is actively courting prospective partners for the Phase III trial of the Antigen Express AE37 breast cancer vaccine. Antigen Express is preparing to seek a Special Protocol Assessment (SPA) for the trial, which is a declaration from the Food and Drug Administration (FDA) that the trial`s design, clinical endpoints, and statistical analyses are acceptable for FDA approval.
For more than a year-and-a-half now, in an effort to augment the Company`s cash flow, the independent members of the Company`s Board of Directors (Messrs. Barratt and McGee, and Dr. Anderson) have served on the Board and its committees without payment of fees, and the members of the Company`s executive management (Messrs. Fletcher and Fellows (Chief Financial Officer) and Drs. Brusegard (Chief Operating Officer) and von Hofe) have worked at substantially reduced salaries. The full amount of these deferred fees and salaries as at March 31, 2013 has been replaced with stock options. As Mr. Fletcher noted at the meeting: "The willingness of our independent Board members and executive management to accept reduced income and take shares in the Company in lieu thereof is a very tangible indication of the team`s belief in, and commitment to, the Company and its future."
About Generex Biotechnology Corporation
Generex is engaged in the research, development, and commercialization of drug delivery systems and technologies. Generex has developed a proprietary platform technology for the delivery of drugs into the human body through the oral cavity (with no deposit in the lungs). The Company's proprietary liquid formulations allow drugs typically administered by injection to be absorbed into the body by the lining of the inner mouth using the Company's proprietary RapidMist™ device. Antigen Express, Inc. is a wholly owned subsidiary of Generex. The core platform technologies of Antigen Express comprise immunotherapeutic vaccines for the treatment of malignant, infectious, allergic, and autoimmune diseases. Antigen Express has pioneered the use of specific CD4+ T-helper stimulation technologies in immunotherapy. One focuses on modification of peptides with Ii-Key to increase potency, while a second relies on inhibition of expression of the Ii protein. Antigen Express scientists, and others, have shown clearly that suppression of expression of the Ii protein in cancer cells allows for potent stimulation of T-helper cells and prevents the further growth of cancer cells. For more information, visit the Generex website at www.generex.com or the Antigen Express website at www.antigenexpress.com.
Cautionary Note Regarding Forward-Looking Statements
This release and oral statements made from time to time by Generex representatives in respect of the same subject matter may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by introductory words such as "expects," "plan," "believes," "will," "achieve," "anticipate," "would," "should," "subject to" or words of similar meaning, and by the fact that they do not relate strictly to historical or current facts. Forward-looking statements frequently are used in discussing potential product applications, potential collaborations, product development activities, clinical studies, regulatory submissions and approvals, and similar operating matters. Many factors may cause actual results to differ from forward-looking statements, including inaccurate assumptions and a broad variety of risks and uncertainties, some of which are known and others of which are not. Known risks and uncertainties include those identified from time to time in the reports filed by Generex with the Securities and Exchange Commission, which should be considered together with any forward-looking statement. No forward-looking statement is a guarantee of future results or events, and one should avoid placing undue reliance on such statements. Generex undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise. Generex cannot be sure when or if it will be permitted by regulatory agencies to undertake additional clinical trials or to commence any particular phase of clinical trials. Because of this, statements regarding the expected timing of clinical trials or ultimate regulatory approval cannot be regarded as actual predictions of when Generex will obtain regulatory approval for any "phase" of clinical trials or when it will obtain ultimate regulatory approval by a particular regulatory agency. Generex claims the protection of the safe harbor for forward-looking statements that is contained in the Private Securities Litigation Reform Act.
SOURCE Generex Biotechnology Corporation