CLEARWATER, FL--(Marketwire - May 24, 2012) - Biostem U.S., Corporation, (OTCQB: HAIR) (PINKSHEETS: HAIR) (Biostem, the Company), a fully reporting public company in the stem cell regenerative medicine sciences sector, announces a $5,000,000 financing agreement through private placement of stock.
CEO, Dwight Brunoehler, announced today that the company has signed an agreement with a funder to issue 20,000,000 shares of the company's common stock in exchange for $5,000,000 in cash or 25 cents ($.25) per share. No other considerations will be granted to the funder in exchange for the cash payment.
In announcing the funding agreement, Mr. Brunoehler commented, "We consider the eagerness of the funder to acquire Biostem shares at a price above the current market to be a tribute to our proven proprietary technology to enhance hair re-growth using human stem cells. Although we anticipated funding the company through the sale of a convertible debenture, the funder insisted on being able to acquire stock at a set price now, rather than risk having to convert at higher prices later. Although Rule 144 sale restrictions usually cause private placements of stock to be executed at a discount to the market, Biostem feels that its current share price is not truly reflective of the value of its proprietary technology; as well as the fact that the technology is already being employed, and the overall size of the hair replacement marketplace. It was for this reason that the company and the funder were able to come to an agreement to price the private placement above the current share price."
About Biostem U.S., Corporation
Biostem U.S., Corporation is a fully reporting Nevada corporation with offices in Clearwater, Florida. Biostem is a technology licensing company with proprietary technology centered on providing hair re-growth using human stem cells. The company also intends to train and license selected physicians to provide Regenerative Cellular Therapy treatments to assist the body's natural approach to healing tendons, ligaments, joints and muscle injuries by using the patient's own stem cells. Biostem U.S. is seeking to expand its operations worldwide through licensing of its proprietary technology and acquisition of existing stem cell related facilities. The company's goal is to operate in the international biotech market, focusing on the rapidly growing regenerative medicine field, using ethically sourced adult stem cells to improve the quality and longevity of life for all mankind.
More information on Biostem U.S., Corporation can be obtained through www.biostemus.com, or by calling Fox Communications Group 310-974-6821.