WESTMINSTER, Calif., Oct. 02, 2018 (GLOBE NEWSWIRE) -- BioLargo, Inc. (OTCQB:BLGO), developer of sustainable science and
technologies and a full-service environmental engineering company, announced today that it had entered into definitive agreements
to acquire a breakthrough stem cell therapy technology called “SkinDisc.” Developed by Scion Solutions, LLC, SkinDisc uses a patient’s own bone marrow and plasma to generate a
cell-rich biogel which heals chronic wounds. The product has been tested in over 250 patient cases with no adverse side effects,
and successfully aided in the salvage of limbs that otherwise would have been amputated.
The SkinDisc product will be sold through BioLargo subsidiary Clyra Medical Technologies, Inc. In addition to the SkinDisc
product, Scion’s key team members will join Clyra to support Clyra’s commercial strategy, including Dr. Brock Liden, a renowned
medical podiatrist and expert in wound care and diabetic limb salvage, and Spencer Brown, a medical device industry veteran with
more than 35 years of experience working in medical sales, account management, and distribution in the medical device industry.
The acquisition is contingent upon Clyra raising initial minimum capital of $1 million. If Clyra is unable to raise the funds in
120 days, either party may unwind the transaction.
As consideration for the SkinDisc product and other intellectual property, Scion will receive approximately 20% of Clyra’s
common stock (half of which would be released upon raising the $1 million initial minimum capital, and the second half released
subject to performance metrics), 7,142,858 shares of BioLargo common stock (subject to the same escrow and earn out provisions),
and a promissory note in the principal amount of $1,250,000 which would be paid through the capital raise conducted by Clyra.
Dennis P. Calvert, CEO of BioLargo commented, “Company management believes this transaction carries significant value for both
BioLargo and Clyra for several reasons. First, our antimicrobial products and the SkinDisc are highly complementary as they will
both serve the same advanced wound care market and can often be used together. Second, a fairness opinion report written by an
independent evaluator suggested that there is good evidence, based on comparable company analysis, that the combined value of Clyra
and Scion would be approximately $33 million following this transaction. Third, the two technical platforms - our
antimicrobial products and the SkinDisc - present a long list of product design opportunities establishing a foundation upon which
to build an internationally competitive wound care company. Finally, we are particularly excited to be working with the Scion team
members that have successfully launched a number of products into the medical industry and believe they bring crucial expertise
regarding how to position these products and support the selling process. We remind our shareholders that we cannot predict the
timing of the approval of our current application before the FDA, but that we are highly encouraged with the interaction with the
FDA staff and believe we are on the right track to be successful.”
Clyra Medical Technologies develops products for wound management that feature broad-spectrum antimicrobial efficacy with no
known acquired resistance, sustained release, biofilm efficacy, and being gentle on skin and tissue. Its first product called the
Clyra Wound Wash is currently in review by the FDA under a 510 (k) application. The company believes its first target commercial
markets will be in the areas of general wound therapy, infection control for the orthopedic surgery market, and a dental rinse. The
Clyra technology presents the potential for multiple additional product designs.
About BioLargo, Inc.
BioLargo, Inc. is an innovative technology developer and environmental engineering company driven by a mission to "make
life better" by delivering robust, sustainable solutions for a broad range of industries and applications, with a focus on
clean water, clean air, and advanced wound care. We develop and commercialize disruptive technologies by providing the capital,
support, and expertise to expedite them from "cradle" to "maturity" (www.biolargo.com). Our engineering division features experienced professional engineers dedicated
to integrity, reliability, and environmental stewardship (www.biolargoengineering.com). Our industrial odor control division, Odor-No-More (www.odornomore.com) features CupriDyne Clean Industrial Odor Eliminator (www.cupridyne.com), which eliminates the odor-causing compounds and VOCs rather than masking them,
and is now winning over leading companies in the solid waste handling and wastewater industries and other industries that contend
with malodors and VOCs. Our subsidiary BioLargo Water (www.biolargowater.ca) develops the Advanced Oxidation System "AOS," a disruptive industrial water
treatment technology designed to eliminate waterborne pathogens and recalcitrant contaminants with better energy-efficiency and
lower operational costs than incumbent technologies. Our subsidiary Clyra Medical (www.clyramedical.com) features effective and gentle solutions for chronic infected wounds to
promote infection control and regenerative tissue therapy.
Contact Information Dennis Calvert President and CEO BioLargo, Inc. 949-643-9540 x2
