KENNEWICK, Wash.--(BUSINESS WIRE)--Advanced Medical Isotope Corporation ("AMIC") (OTC Pink:ADMD), a late stage development company engaged in the development of brachytherapy devices for therapeutic applications, today provided the following financial and regulatory update.
In the 3rd quarter, AMIC completed a variety of important initiatives that significantly reduced AMIC’s debt. Dr. Carlton Cadwell and his related entities exchanged an aggregate of $5,338,940 of debt into 305,929 shares of Series A Convertible Preferred. The 305,929 shares of Series A Convertible Preferred converts into 305,929,000 Common shares, at an effective conversion price of $0.015 per share.
Commenting on the debt conversion Dr. Cadwell stated, “I am confident that AMIC is on the right track towards normalizing the balance sheet and is progressing towards FDA approval of the Y-90 RadioGel(TM) device. My decision to convert most of my debt into equity at a significant premium to the market price demonstrates my confidence in AMIC’s technology as well as their regulatory and commercialization strategy.”
In addition to the debt conversion, Dr. Cadwell exchanged $1,055,532 of short term debt for a new long term 8% non-convertible note payable upon demand on March 31, 2017. Substantially all of the holders of the short term bridge loans have converted their debt into Series A preferred shares. Separately, effective as of the end of the 3rd quarter, substantially all of the toxic debt has either been satisfied and removed from the company’s balance sheet or is in the process of finalizing settlement documentation.
Accounting for the recent transactions discussed above, AMIC has a total of approximately 950,000 Series A Convertible Preferred shares outstanding and has eliminated approximately $6 million of short term debt.
AMIC has commenced studies with IsoTherapeutics Group pursuant to the FDA request for further studies and specific manufacturing plans for the Y-90 RadioGel(TM) device. AMIC’s primary focus continues to be obtaining FDA clearance for the Y-90 RadioGel(TM) device.
About Advanced Medical Isotope Corporation
Advanced Medical Isotope Corporation (ADMD) is a late stage development company engaged in the development of brachytherapy devices for therapeutic applications. AMIC's focus is on transitioning to full operations upon receipt of FDA clearance for its patented brachytherapy cancer products. Brachytherapy uses radiation to destroy cancerous tumors by placing a radioactive isotope inside or next to the treatment area. The Company intends to outsource material aspects of manufacturing, distribution, sales and marketing for its products in the United States and to enter into licensing arrangements outside of the United States, though the Company will evaluate its alternatives before finalizing its plans. For more information, please visit our website, www.isotopeworld.com.
Safe Harbor Statement
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify these statements by the use of the words "may," "will," "should," "plans," "expects," "anticipates," "continue," "estimates," "projects," "intends," and similar expressions. Forward-looking statements involve risks and uncertainties that could cause results to differ materially from those projected or anticipated. These risks and uncertainties include, but are not limited to, AMIC's ability to successfully execute its expanded business strategy, including by entering into definitive agreements with suppliers, commercial partners and customers; general economic and business conditions, effects of continued geopolitical unrest and regional conflicts, competition, changes in technology and methods of marketing, delays in completing various engineering and manufacturing programs, changes in customer order patterns, changes in product mix, continued success in technical advances and delivering technological innovations, shortages in components, production delays due to performance quality issues with outsourced components, regulatory requirements and the ability to meet them, government agency rules and changes, and various other factors beyond the Company's control.