– Alzheimer’s Disease Research Company Receives $2,000,000 financial commitment which will enable it to Rapidly Advance Corporate Development
Dallas, TX June 8, 2015 – Cerebain Biotech (OTCQB: CBBT) today announced that the company has executed an agreement with GMEA (Geronimo Middle East and Africa) to purchase up to One Million Six Hundred Thousand (1,600,000) shares of the company’s stock. These funds will be used to support financial and business development goals that will help the company accelerate its research and testing programs, currently focused on the development of a new treatment in the fight against Alzheimer’s Disease.
Under the terms of the agreement, GMEA (“the Purchaser”) has agreed to purchase up to One Million Six Hundred Thousand (1,600,000) shares of the Company’s common stock at a per-share price of One Dollar and Twenty Five Cents ($1.25) per share, for a total purchase price of up to Two Million Dollars ($2,000,000). To date, the Purchaser has acquired Two Hundred Forty Thousand (240,000) shares of the Company’s common stock providing Three Hundred Thousand Dollars ($300,000) to the Company, at a price of $1.25 per share, with the remainder to be acquired by June 30, 2015. In addition to the Shares, the Purchaser was issued a warrant to purchase shares of common stock of the Company at an exercise price of $2.50 per share. The number of shares underlying the Warrant will be equal to one share per $1.25 of the Purchase Price.
Charles Laba-Chedrawi, president and CEO of GMEA stated. “Our ability to formally engage with Cerebain Biotech couldn’t come at a better time. We are thrilled that we are able to commit to financially supporting the research and development of a novel method focused on evaluating an approach to Alzheimer’s Disease treatment that has been clinically recognized, but never before studied in a clinically significant way.”
“Cerebain Biotech is working to establish a research foothold in an entirely new approach to the treatment of Alzheimer’s Disease. Never before has the need for effective treatments been greater, as incidence of this deadly and indiscriminate killer is expected to rise significantly in the next twenty five years,” said Eric Clemons, president and CEO of Cerebain Biotech.
About Cerebain Biotech Corp.
Cerebain Biotech (CBBT) is a development-stage medical device company focused on the creation and clinical development of a minimally invasive implantable device. The device leverages the clinically observable, positive impact that omentum stimulation has on cognitive function as related to dementias, and in particular, Alzheimer’s disease. The corporate vision is based on these positive clinical observations. These impacts were so compelling they led to the use of a highly invasive surgical procedure that successfully improved brain function in virtually all of the observed patients. The risks associated with the procedure, however, rendered it all but obsolete. The Company’s approach will consider both a medical device solution as well as a synthetic drug solution.
This news release contains certain “forward-looking statements.” Forward-looking statements are based on current expectations and assumptions and are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, and many of which are beyond the Company’s control. The forward-looking statements are also identified through the use of words “believe,” enable,” “may,” “will,” “could,” “intends,” “estimate,” “anticipate,” “plan,” “predict,” “probable,” “potential,” “possible,” “should,” “continue,” and other words of similar meaning. Actual results could differ materially from these forward-looking statements as a result of a number of risk factors detailed in the Company’s reports filed with OTC Markets. Given these risks and uncertainties, investors are cautioned not to place undue reliance on such forward-looking statements and no assurances can be given that such statements will be achieved.