WIXOM, Mich., Feb. 6 /PRNewswire-FirstCall/ -- Rockwell Medical Technologies, Inc. , a dialysis products manufacturer serving the healthcare industry, reported today that it has raised $9.25 million in gross proceeds from the exercise of warrants. Rockwell will have 11.3 million shares outstanding after the exercise of approximately 2.4 million warrants at $3.90 each.
Rockwell intends to utilize the majority of the proceeds to fund its efforts to obtain FDA approval for its proprietary iron-delivery product, Soluble Ferric Pyrophosphate (FePPi). Soluble FePPi is a physiological iron replacement therapy for end stage renal disease patients via dialysis. Rockwell’s Phase III Clinical Trial protocol has been finalized and is scheduled to be submitted to the FDA during the second quarter of 2006. Pending FDA approval of its development plan, the Company anticipates initiating the Phase III Clinical Trial in late 2006. Rockwell expects its proprietary iron-delivery product to aggressively compete in the $300,000,000 U.S. iron market and the overall $500,000,000-plus global iron market if Rockwell is successful in obtaining governmental and other regulatory approvals.
Thomas E. Klema, Vice President and Chief Financial Officer stated, “We are very pleased with successful completion of this offering. We accomplished our primary objective to raise funds needed for the testing of our drug product. This is a significant infusion of capital for us and permits us to aggressively execute our business development plans.”
Rockwell Medical Technologies, Inc. is an innovative leader in manufacturing, marketing and delivering high-quality dialysis solutions, powders and ancillary products that improve the quality of care for dialysis patients. Dialysis is a process that duplicates kidney function for those patients whose kidneys have failed to work properly and suffer from chronic kidney failure, a condition also known as end stage renal disease (ESRD). There are an estimated 350,000 dialysis patients in the United States and the incidence of ESRD has experienced an average annual increase of approximately 6% over the last decade. Rockwell’s products are used to cleanse the ESRD patient’s blood and replace nutrients in the bloodstream. Rockwell offers the proprietary Dri-Sate(R) Dry Acid Concentrate Mixing System, RenalPure(R) Liquid Acid Concentrate, SteriLyte(R) Liquid Bicarbonate Concentrate, RenalPure(R) Powder Bicarbonate Concentrate, Blood Tubing Sets, Fistula Needles and a wide range of ancillary dialysis items. Rockwell is currently in the process of developing and gaining FDA approval of a proprietary iron-delivery product which will be administered to dialysis patients via dialysate. Visit Rockwell’s website at http://www.rockwellmed.com for more information.
Certain statements in this press release with respect to Rockwell’s business and operations, including statements regarding FDA approval, the potential of Rockwell’s proprietary Soluble FePPi, adequacy of capital raised, etc. constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect management’s expectations and are based upon currently available information. Management of Rockwell believes the expectations reflected in the forward-looking statements made in this press release are based upon reasonable assumptions. However, certain factors could occur that might cause actual results to vary. These include, but are not limited to, delays or failure to obtain FDA approval of Soluble FePPi, failure to obtain medicare or private insurance reimbursement approval, general economic conditions, economic conditions in the hemodialysis industry, modified regulatory requirements, competitive factors, and other factors discussed in Rockwell’s reports filed with the Securities and Exchange Commission. The forward-looking statements should be considered in light of these risks and uncertainties.
Rockwell Medical Technologies, Inc.
CONTACT: Thomas Klema of Rockwell Medical Technologies, Inc.,+1-248-960-9009
Web site: http://www.rockwellmed.com/
