MIAMI--(BUSINESS WIRE)--SafeStitch Medical, Inc. (OTCBB:SFES) today announced that it has entered into two stock purchase agreements with private investors, pursuant to which SafeStitch may issue an aggregate of up to four million shares of the Company's newly-designated 10% Series A Cumulative Convertible Preferred Stock, par value $0.01, at a price of $1.00 per share. The Company closed on the sale of two million shares in a private transaction for aggregate proceeds of $2 million on July 22, 2009, and SafeStitch may elect, in its sole discretion, to issue an additional two million shares on or before June 30, 2010. Shares issued pursuant to the agreements, including the shares of the Company’s common stock into which the preferred shares may be converted, are restricted securities, and no registration rights have been granted.
