Rosetta Genomics Reaches Settlement Agreement with Sanra Laboratories in Connection with Previous Sale of Parkway Clinical Laboratories
PHILADELPHIA and REHOVOT, Israel, April 18, 2013 /PRNewswire/ -- Rosetta Genomics Ltd. (NASDAQ: ROSG), a leading developer and provider of microRNA-based molecular diagnostics, today announced that the Company has negotiated a settlement with Sanra Laboratories ("Sanra") in connection with the previous sale of Parkway Clinical Laboratories ("Parkway") by Rosetta Genomics to Sanra. Under the agreement, Sanra will undertake their best efforts to pay Rosetta Genomics $625,000, in addition to all sums previously paid by them, for total consideration of all their obligations according to the stock purchase agreement entered into in May 2009, of which amount Sanra has already paid $10,000 as an upfront payment.
On July 22, 2008, through Rosetta Genomics Inc., the Company purchased all of the shares of Parkway Clinical Laboratories, Inc., a privately held Pennsylvania corporation owning a CLIA-certified laboratory. With its CLIA certification, Parkway helped Rosetta Genomics to obtain CLIA certification for its laboratory in Philadelphia, Pennsylvania. Parkway remained an indirect, wholly-owned subsidiary until May 18, 2009, when the Company sold Parkway to Sanra for up to $2.5 million, to be paid as a fixed percentage from the revenues over six years.
About miRview® Testing Services
miRview® assays are a series of microRNA-based diagnostic testing services offered by Rosetta Genomics. miRview® mets² accurately identifies the primary tumor type in primary and metastatic cancer including cancer of unknown or uncertain primary (CUP). miRview® meso diagnoses mesothelioma, a cancer connected to asbestos exposure. miRview® lung accurately identifies the four main subtypes of lung cancer using small amounts of tumor cells. miRview® kidney accurately classifies the four most common kidney tumors: clear cell renal cell carcinoma (RCC), papillary RCC, chromophobe RCC and oncocytoma. miRview® assays are designed to provide objective diagnostic data; it is the treating physician's responsibility to diagnose and administer the appropriate treatment. In the U.S. alone, Rosetta Genomics estimates that 200,000 patients a year may benefit from the miRview® mets² assay, 60,000 from miRview® meso, 65,000 from miRview® kidney and 226,000 patients from miRview® lung. The Company's assays are offered directly by Rosetta Genomics in the U.S., and through distributors around the world. For more information, please visit www.mirviewdx.com. Parties interested in ordering the test can contact Rosetta Genomics at (215) 382-9000 ext. 309.
About Rosetta Genomics
Rosetta develops and commercializes a full range of microRNA-based molecular diagnostics. Founded in 2000, Rosetta's integrative research platform combining bioinformatics and state-of-the-art laboratory processes has led to the discovery of hundreds of biologically validated novel human microRNAs. Building on its strong patent position and proprietary platform technologies, Rosetta is working on the application of these technologies in the development and commercialization of a full range of microRNA-based diagnostic tools. Rosetta's miRview® testing services are commercially available through its Philadelphia-based CAP-accredited, CLIA-certified lab. Frost & Sullivan recognized Rosetta Genomics with the 2012 North American Next Generation Diagnostics Entrepreneurial Company of the Year Award.
Forward-Looking Statement Disclaimer
Various statements in this release concerning Rosetta's future expectations, plans and prospects, including without limitation, statements relating to Rosetta's receipt of funds from Sanra, Rosetta's development or commercialization of molecular diagnostics, the market acceptance of Rosetta's miRview® assays, particularly miRview® mets2, Rosetta's capitalization of its microRNA platform, Rosetta's patent position and Rosetta's development of personalized medicine products and services constitute forward-looking statements for the purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by these forward-looking statements as a result of various important factors, including those risks more fully discussed in the "Risk Factors" section of Rosetta's Annual Report on Form 20-F for the year ended December 31, 2012 as filed with the SEC. In addition, any forward-looking statements represent Rosetta's views only as of the date of this release and should not be relied upon as representing its views as of any subsequent date. Rosetta does not assume any obligation to update any forward-looking statements unless required by law.
Ken Berlin, President & CEO
(215) 382-9000, ext. 326
SOURCE Rosetta Genomics Ltd.