LOS ANGELES and PHILADELPHIA, Oct. 17 /PRNewswire-FirstCall/ -- Cord Blood America, Inc. , the umbilical cord blood stem cell preservation company (http://www.cordblood-america.com ) focused on bringing the life saving potential of stem cells to families nationwide, announced today the asset purchase of CorCell Inc., Philadelphia, Pa., the fourth largest private umbilical cord blood bank in America.
Cord Blood America purchased the operating entity and assets of CorCell on October 13, 2006. In addition, this agreement gives Cord Blood America exclusive rights to make an additional purchase of the current approximately 12,000 customers of CorCell by March 31, 2007. Terms of the acquisition were not disclosed.
CorCell, established in 1995, collects umbilical cord blood stem cells from hospitals in all 50 states and internationally. The company has grown its primary business through strategic partnerships with health insurers throughout the United States. CorCell will retain its operating name in the acquisition.
“We have consistently said that accretive acquisitions are the most sensible way to grow in this soon-to-be $1 billion market,” said Matthew Schissler, CEO, Cord Blood America. “Cord Blood America is very pleased for its shareholders to have acquired this strong, successful private company. This acquisition is very important for our future.”
“I am very pleased and excited about this business transaction. The retention of CorCell’s key management strengthens Cord Blood America’s business development expertise and broadens the Company’s strategic business focus to include national health insurance partners,” said Marcia Laleman, CorCell’s President.
The acquisition is believed to make Cord Blood America the fourth largest out of 26 family cord blood stem cell banks in the U.S. “Cord Blood America is pleased to have acquired the assets of such a tremendous company. This provides the depth and power we need to grow into a dominant force in the stem cell sector,” Mr. Schissler said.
About Cord Blood America
Cord Blood America is the parent company of CorCell, which facilitates umbilical cord blood stem cell preservation for expectant parents and their children. Its mission is to be the most respected stem cell preservation company in the industry. Collected through a safe and non-invasive process, cord blood stem cells offer a powerful and potentially life-saving resource for treating a growing number of ailments, including cancer, leukemia, blood, and immune disorders. To find out more about Cord Blood America, Inc. , visit our website at www.cordpartners.com. For investor information, visit www.cordblood-america.com.
Forward-Looking Statements
Some statements made in this press release are forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. We use words such as “anticipate,” “believe,” “expect,” “future,” “intend,” “plan,” and similar expressions to identify forward-looking statements. These statements including those related to the growth of the industry, new stem cell treatments, and the Company’s performance, are only predictions and are subject to certain risks, uncertainties and assumptions. Additional risks are identified and described in the Company’s public filings with the Securities and Exchange Commission. Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. The Company’s past performance is not necessarily indicative of its future performance. The Company does not undertake, and the Company specifically disclaims any obligation to update any forward-looking statements to reflect occurrences, developments, events, or circumstances after the date of such statement.
CONTACT: Paul Knopick E & E Communications 949/707-5365 pknopick@eandecommunications.com
Cord Blood America, Inc.
CONTACT: Paul Knopick of E & E Communications, +1-949-707-5365,pknopick@eandecommunications.com, for Cord Blood America, Inc.
