IRVINE, Calif., March 31, 2011 /PRNewswire/ — Patient Safety
Technologies, Inc. (the “Company”) (OTC Bulletin Board:
PSTX) today announced the closing of a $7.1 million common
stock financing. The investors, led by a new institutional
investor, together with several existing shareholders and certain
members of senior management, purchased 9.48 million shares of
common stock at a price of $0.75 per share. Proceeds from the
offering will be used for general corporate purposes including
investing in the continued market penetration of the Company’s core
offering, the SurgiCount Safety-Sponge® System, a solution
proven to improve patient outcomes and reduce healthcare costs by
preventing one of the most common errors in surgery, retained
surgical sponges.
“After successfully implementing an aggressive cost reduction
and restructuring initiative last year, the subsequent goal of this
new management team was to properly capitalize the company to help
us achieve our growth objectives. This offering will help us
continue to execute our growth plans and positions us well to
accelerate our market expansion and new product development,” said
Brian E. Stewart, President and Chief Executive Officer of Patient
Safety Technologies.
Given the substantial improvement to the Company’s liquidity
from this offering and the proximity of the offering to the normal
due date of Company’s annual report on Form 10K for the fiscal year
ended December 31, 2010, the Company also announced today that it
intends to file a Form 12B-25 to allow the Company additional time
to evaluate the impact of the offering on its financial position.
The Company expects that it will comply with SEC’s Rule
12B-25 and accordingly that it will be deemed timely in the filing
of its Form 10K.
About Patient Safety Technologies, Inc. and SurgiCount
Medical
Patient Safety
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