Full Press Release Details
OncoCyte Receives $5.74 Million in
Proceeds from Exercise of Warrants
Alameda, California - July
25, 2017 - OncoCyte Corporation (NYSE MKT: OCX), a developer of novel, non-invasive tests for the early detection of
cancer, today announced the receipt of $5.74 million through the cash exercise of 1,766,923 common stock purchase warrants. Each
warrant was exercised to purchase one share of common stock for $3.25 per share. The warrants were issued as part of a $10.5 million
financing completed in August 2016 and would have otherwise been exercisable until August 2021.
The exercise transactions were negotiated
with certain warrant holders as a means of raising additional near-term working capital. In consideration for the exercise of the
warrants, two warrant holders received new warrants to purchase the same number of shares purchased on exercise of the prior warrant,
with an exercise price of $5.50 per share; another warrant holder received a new warrant to purchase the 50% of the number of shares
purchased on exercise of the prior warrant, with an exercise price of $3.25 per share. The three warrants have a five-year term
from the date of issuance.
A fourth warrant holder received (i)
a new warrant to purchase 50% of the number of shares purchased on exercise of the prior warrant with an exercise price of $5.50
per share and (ii) a second new warrant to purchase 50% of the number of shares purchased on exercise of the prior warrant with
an exercise price of $3.25 per share. These two warrants each have a two-year term from the date of issuance.
Following the exercise of the warrants,
there were 31,313,200 shares of common stock outstanding and warrants to purchase an aggregate of 2,779,221 shares of common stock
outstanding, including the warrants issued during August 2016 and February 2017 and the new warrants, with exercise prices ranging
from $3.25 to $5.50. The proceeds from the warrant exercises strengthen OncoCyte's balance sheet and will be used for general
working capital purposes.
"The exercise of warrants by some
of our largest shareholders provides additional working capital to advance the development of our novel liquid biopsy diagnostics
for lung and breast cancer and prepare for the launch of our lung cancer diagnostic in the second half of 2017," stated William
Annett, President and CEO. "We appreciate the continued confidence in OncoCyte demonstrated by these warrant exercises and
look forward to the achievement of additional significant milestones in 2017."
About OncoCyte Corporation
OncoCyte is focused on the development
and commercialization of novel, non-invasive blood and urine ("liquid biopsy") diagnostic tests for the early detection
of cancer to improve health outcomes through earlier diagnoses, to reduce the cost of care through the avoidance of more costly
diagnostic procedures, including invasive biopsy and cystoscopic procedures, and to improve the quality of life for cancer patients.
While current biopsy tests use invasive surgical procedures to provide tissue samples in order to determine if a tumor is benign
or malignant, OncoCyte is developing a next generation of diagnostic tests that will be based on liquid biopsies using blood or
urine samples. OncoCyte's pipeline products are intended to be confirmatory diagnostics for detecting lung, breast and bladder
cancer. OncoCyte's diagnostic tests are being developed using proprietary sets of genetic and protein markers that differentially
express in specific types of cancer.
Forward Looking Statements
Any statements that are not historical
fact (including, but not limited to statements that contain words such as "will," "believes," "plans,"
"anticipates," "expects," "estimates" and similar expressions) are forward-looking statements.
These statements include those pertaining to the implementation and results of our future financial and/or operating results, future
growth in research, technology, clinical development, and potential opportunities for OncoCyte, along with other statements about
the future expectations, beliefs, goals, plans, or prospects expressed by management. Forward-looking statements involve risks
and uncertainties, including, without limitation, risks inherent in the development and/or commercialization of potential diagnostic
tests or products, uncertainty in the results of clinical trials or regulatory approvals, the need and ability to obtain future
capital, and maintenance of intellectual property rights, and the need to obtain third party reimbursement for patient's
use of any diagnostic tests we commercialize. Actual results may differ materially from the results anticipated in these forward-looking
statements and as such should be evaluated together with the many uncertainties that affect the business of OncoCyte, particularly
those mentioned in the "Risk Factors" and other cautionary statements found in OncoCyte's Securities and Exchange
Commission filings. OncoCyte disclaims any intent or obligation to update these forward-looking statements, except as required
Doug Sherk / Matt Haines
646-445-4800 / 917-733-9297
Financial Media Contact:
GIBSON Communications, LLC