New Brunswick, New Jersey
October 17, 2007
Senesco Technologies, Inc. ("Senesco" or the "Company")
(AMEX:SNT) today announced that on October 16, 2007, it has
closed on an additional $1.5 million of its previously announced
private placement with YA Global Investments, LP ("YA Global").
The Company has now closed on an aggregate of $3 million of the
$5 million private placement of secured convertible debentures
and warrants. On October 12, 2007, the Company filed a
registration statement on Form S-3 to register 3,333,333 shares
of the Company's common stock underlying such issued debentures.
The next $2.0 million traunche will occur upon the later of
stockholder approval or the effectiveness of the registration
statement, and the Company's fulfillment of other covenants and
milestones.
The Company plans on using the proceeds to advance a certain
cancer target with the goal of initiating a Phase I clinical
trial, as well as other human health and agricultural research
and general corporate purposes. The Company estimates that it
will take approximately two years to complete the steps
necessary to initiate a Phase I clinical trial. The Company
believes that the proceeds from the $5 million YA Global private
placement along with the $5 million gross proceeds from the
private placement with Stanford Venture Capital Holdings, Inc.,
announced on September 4, 2007, will be sufficient to allow it
to complete the steps necessary to initiate a Phase I clinical
trial as well as fund other research projects and general and
administrative expenses for approximately two years.
Joel Brooks, Chief Financial Officer and Treasurer of Senesco,
commented, "The total proceeds of $3 million that we have now
received provide us with the financial resources to effectively
begin to implement our research plan. We look forward to
receiving shareholder approval for the $2 million balance of the
YA Global private placement and for the $5 million Stanford
private placement, which will provide us with the necessary
funding to carry out our research plan for approximately two
years."
H.C. Wainwright acted as the placement agent for this private
placement.
The terms of the debentures and warrants were previously
disclosed on a Form 8-K, dated August 1, 2007, and in the
Company's annual report on Form 10-K.
The Company cannot assure you that the Company's stockholders
will approve the remaining traunches of this financing, or that
the Company will meet the agreed upon milestones or covenants
contained therein in order for it to receive the additional
funding.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of
these securities in any state in which such offer, solicitation
or sale would be unlawful prior to registration or qualification
under the securities laws of any such state. The shares of
common stock have been sold pursuant to an exemption from state
and federal securities laws.
Senesco Technologies, Inc. is a U.S. biotechnology company,
headquartered in New Brunswick, NJ. Senesco has initiated
preclinical research to trigger or delay cell death in mammals
(apoptosis) to determine if the technology is applicable in
human medicine.
Accelerating apoptosis may have applications to development of
cancer treatments. Delaying apoptosis may have applications to
certain inflammatory and ischemic diseases. Senesco takes its
name from the scientific term for the aging of plant cells:
senescence. Delaying cell breakdown in plants extends freshness
after harvesting, while increasing crop yields, plant size and
resistance to environmental stress. The Company believes that
its technology can be used to develop superior strains of crops
without any modification other than delaying natural plant
senescence. Senesco has partnered with leading-edge companies
engaged in agricultural biotechnology and earns research and
development fees for applying its gene-regulating platform
technology to enhance its partners' products. |
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