Cytomatrix LLC, Select Therap deal

SLPU will not acquire Cytomatrix, as previously announced, due to tax and other considerations (see BioCentury, Sept. 5). Instead, Cytomatrix will become Cell Science Therapeutics, which will operate as a joint venture between SLPU and Cytomatrix. The venture will combine SLPU’s dendritic cell activation technology with Cytomatrix’s devices for producing and expanding stem cells and designing T cells. Cytomatrix will fold its $500,000 in cash, $2.5 million in approved grant funding and most of its management team into Cell Science, and SLPU will contribute about $3 million in cash. SLPU has an option to acquire the venture between February 2001 and July 2002 for 9.7 million SLPU shares, and Cytometrix has the right to request SLPU to acquire it between August 2002 and December 2002 for 8.7 million SLPU shares. ...