LINCOLNSHIRE, ILLINOIS--(MARKET WIRE)--Oct 7, 2008 -- MonoGen, Inc. (Toronto:MOG.TO - News) has today announced both the cessation of active commercial operations and a corresponding reduction of approximately 75% of its workforce, effective immediately.
Ted S. Geiselman, MonoGen's President and CEO, commented, "It is with great disappointment that we find it necessary to take this strong action at this time. Despite our significant and thorough efforts seeking additional investment capital, adverse financial market conditions in conjunction with increased challenges on the commercial front have made raising additional capital unfeasible. As a result, we feel that in order to better serve MonoGen shareholders, creditors, employees and other stakeholders we must seek to identify additional alternatives for the support of our continued new product development efforts as well as the commercial activities associated with the MonoPrep System, perhaps through a sale of the company or its assets."
Mr. Geiselman continued, "To that end, we have engaged Piper Jaffray, a well known and respected investment bank serving the life sciences industry, to immediately help us begin the process of identifying our strategic and financial alternatives. Obviously our objective will be to obtain the greatest value possible from the significant technology MonoGen has developed. We feel our MonoPrep System and our MonoPrep imaging system, currently under development, represent important and compelling advancements in liquid-based cytology technology."
The company will provide additional information as it becomes available.
About MonoGen, Inc.
MonoGen, Inc., headquartered in the Chicago area, is a medical device and diagnostics company providing high-quality and cost-effective cytological screening and diagnostic products to healthcare providers in the anatomic pathology industry.
Statements contained in this press release relating to matters that are not historical facts are forward-looking statements. Statements preceded by the words believe, expect, anticipate, plan, intend, continue, estimate, may, will, and similar expressions are forward-looking statements. Forward-looking statements are based on our beliefs and assumptions based on information available at the time the assumptions were made. Forward-looking statements relate to, among other things, anticipated financial performance, business prospects, strategies, regulatory developments, new services, market forces, commitments and technological developments. By its nature, such forward-looking information is subject to various risks and uncertainties, which could cause our actual results to differ materially from the anticipated results or other expectations expressed. Those risks and uncertainties include, but are not limited to, our ability to raise additional capital, our ability to execute our business plan while maintaining at all times our various regulatory approvals, and the response from existing and potential competitors. Additional discussions of the various risks are contained in our Annual Information Form dated March 19, 2008, which is available on SEDAR (www.sedar.com). Readers are cautioned not to place undue reliance on this forward-looking information, which is given as of the date it is expressed in this document.
MonoGen investor relations
Gordon K. Johnson
Managing Director Piper Jaffray
Source: MonoGen, Inc.