Biocyte Corp. has raised $2.1 million through the sale of seriesB convertible preferred stock, the company announced lastweek.
The round was led by Radnor Venture Partners L.P. andincluded New York investor David Blech. Also participatingwere the company's founding investors, Robert Johnston,George H. Strong and Rodman C. Rockefeller.
The three original investors have previously invested $1million since 1985, bringing to $3.1 million the total thatBiocyte has raised.
"We will use the capital raised by this financing to helpestablish within the next year the first human neonatal stemcell bank," said Kenneth Moch, president and chief executive.The bank will enable parents to store cord blood stem cells,obtained from the umbilical cords and placental blood ofnewborns, for potential use in bone marrow transplants for thetreatment of cancer and other diseases.
Cord blood stem cells have been used as an alternative to bonemarrow stem cells for use in transplantations intoimmunologically matched family members.
New York-based Biocyte estimates that the one-time storagefee will be about $1,000. The cells will be cryopreserved andcan be stored for decades. In April 1991, Biocyte received aU.S. patent on cryopreserved stem cells obtained from cordblood of newborns. -- Karen Bernstein
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