Significant Commercial and Technical Milestones Achieved
CAMBRIDGE, Mass.--(Business Wire)--
Helicos BioSciences Corporation (NASDAQ: HLCS) announced today its operational,
technical and scientific highlights for the quarter ended September 30, 2009.
"In the third quarter of 2009, we continued to accelerate the deployment of our
Helicos Genetic Analysis System and to advance our technology. System orders
more than doubled during the third quarter of 2009 compared to the first half of
2009 which resulted in an increase in the number of System installations from
six to eleven during the quarter. We continue our drive to install our Systems
in some of the world`s most distinguished research sites. I am pleased to see
Helicos`s continued commercial momentum and growing number of examples of our
technology being used to produce scientific results that truly distinguishes
single molecule sequencing in the marketplace," said Ronald A. Lowy, Helicos
Chief Executive Officer.
Also during the third quarter of 2009, Helicos completed a private placement
through the sale of shares of its common stock and warrants to certain new and
existing investors. The offering raised approximately $9.4 million in net
proceeds, after deducting placement agent fees and offering expenses. Helicos is
using the proceeds to fund working capital requirements to support its sales and
for general corporate purposes.
Helicos expects approximately $5 million in cash receipts from previously
announced System orders and associated reagent purchases. Cash inflows from
these orders are expected to occur during the fourth quarter of 2009 and the
first quarter of 2010.
The Company plans to file its Quarterly Report on Form 10-Q for the quarter
ended September 30, 2009 on or before November 14, 2009.
Operational Highlights:
Commercial
* The RIKEN Yokohama Institute Omics Science Center (RIKEN OSC) agreed to
purchase four Systems and entered into a significant reagent supply contract.
This transaction represented Helicos`s first multisystem sale to a large genome
center. To date, three Systems have been installed at RIKEN OSC`s facility in
Japan and one System has been installed at Helicos` corporate headquarters in
support of the ongoing scientific collaboration with RIKEN OSC. All of the
Systems are undergoing final testing before being turned over to the customer
which is expected to be completed before the end of the fourth quarter of 2009.
* RIKEN OSC and Helicos entered the next phase of a scientific collaboration
that began in November 2008. The collaborative research plan is designed to
enable new insights into cell biology and to explore novel methods to ultimately
enable single cell transcriptome analyses.
* Correlagen, Inc., a Clinical Laboratory Improvement Amendments (CLIA)
certified laboratory, purchased a System for novel, high-content, genetic tests
based on resequencing broad panels of genes involved in disease areas such as
cardiology, endocrinology, neuropsychiatry, and immunology.
* Helicos`s placement installations at Dana-Farber Cancer Institute, Mass
General Hospital Cancer Center and Ontario Institute for Cancer Research
continue to produce meaningful scientific results. In an extensive interview
with Paul Morrison of Dana-Farber published in the October 13, 2009 on-line
edition of In Sequence, Morrison remarked about his experience with the Helicos
System that "the removal of the amplification during the sample prep is not just
for convenience`s sake during the sample prep, but it`s huge for removing all
the amplification bias that can occur when you create libraries on any of the
other platforms that require amplification." Helicos expects that the results of
the system evaluations at these reference sites will lead to additional
instrument sales. These Systems, as well as all other installed Systems,
continue to provide additional revenue from the sale of proprietary reagents.
* The current performance capability and applications of the Helicos Genetic
Analysis Platform have generated significant interest from potential customers
in the United States and elsewhere. Helicos`s commercial activity continues to
be enhanced by the new funding opportunities from the National Institutes of
Health and the National Science Foundation, released as part of the American
Recovery and Reinvestment Act (ARRA).
Technology and Science
* Helicos scientists have received a two year grant, totaling $2.9 million, as
part of the Sequencing Technology Development Program representing NHGRI`s
Signature Project for the American Recovery and Reinvestment Act. The grant will
fund research on the chemistry and molecular biology underlying the Helicos
System.
* Helicos customers continue to demonstrate the important value of single
molecule sequencing for chromatin immunoprecipitation studies, providing proof
of accurate quantitation of protein-DNA interactions in small numbers of cells,
with minimal sample preparation.
* Helicos scientists published the world`s first ever demonstration of direct
single molecule sequencing of RNA in the journal Nature attracting numerous
requests for information and collaboration. Links to Helicos publications can be
found on the Helicos Web site at
http://www.helicosbio.com/HeliSphereCenter/PublicationsLibrary/HelicosScientificPublications/tabid/169/Default.aspx.
* Numerous presentations were given by Helicos scientists at major scientific
conferences including "The Personal Genomes" conference held at Cold Spring
Harbor Laboratories, the MipTech conference held in Basel, Switzerland, the
annual American Society of Human Genetics meeting held in Honolulu, Hawaii, and
the Next-Generation Sequencing semiannual meeting held in Providence, RI.
* Optimization of Helicos`s unique library-free, paired-read technology
continued with the goal of making this product available to customers during the
fourth quarter of 2009.
* Helicos successfully completed collaborations to analyze ancient human DNA
samples including work with Leiden University Medical Center and the Armed
Forces DNA Identification Laboratory, which had been difficult or impossible to
analyze using other sequencing technologies.
* Helicos successfully demonstrated depletion of ribosomal RNA and successful
sequencing of RNA from formalin-fixed paraffin embedded (FFPE) tissue samples
unlocking the ability to work with stored clinical specimens.
Strategic Update:
As previously disclosed, the Company has engaged Thomas Weisel Partners (TWP), a
nationally recognized investment bank, to assist the Company with its evaluation
and execution of strategic alternatives. In connection with this activity, the
Company continues to be actively engaged in discussions with multiple strategic
parties.
About Helicos BioSciences:
Helicos BioSciences is a life science company focused on innovative genetic
analysis technologies for the research, drug discovery, and diagnostic markets.
Helicos` proprietary True Single Molecule Sequencing, tSMS, technology allows
direct measurement of billions of strands of DNA enabling scientists to perform
experiments and ask questions never before possible. Helicos is a recipient of
two $1,000 genome grants and committed to providing scientists the tools to
unlock the era of genomic medicine. The company`s corporate headquarters are
located at One Kendall Square, Building 700, Cambridge, MA 02139, and its
telephone number is (617) 264-1800. For more information, please visit
www.helicosbio.com.
Certain statements made in this press release that are not based on historical
information are forward-looking statements which are made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act of 1995. This
press release contains express or implied forward-looking statements relating
to, among other things, management's expectations of financial performance,
expectations regarding the prospective value of the commercial, system
performance and technical and scientific achievements and goals discussed in
this press release, estimates of expenses and future revenues and profitability,
product development and marketing plans, and management's plans, objectives and
strategies. These statements are neither promises nor guarantees, but are
subject to a variety of risks and uncertainties, many of which are beyond
Helicos' control, which could cause actual results to differ materially from
those contemplated in these forward-looking statements. In particular, the risks
and uncertainties include, among other things, our ability to sustain and scale
our manufacturing capabilities and the commercialization process for the
Helicos(TM) Genetic Analysis System; our history of operating losses and ability
to achieve profitability; the research and development spending levels of
academic, clinical and governmental research institutions and pharmaceutical,
biotechnology and agriculture companies who may purchase our Helicos(TM) Genetic
Analysis System; our reliance on third-party suppliers; competition; changing
technology and customer requirements; our ability to operate in an emerging
market; market acceptance of our technology; the length of our sales and
implementation cycles; our dependence on large contracts for the sale and
implementation of our Helicos(TM) Genetic Analysis System; failure of our
technology and products; our ability to maintain customer relationships and
contracts; ethical, legal and social concerns surrounding the use of genetic
information; our ability to retain our personnel and hire additional skilled
personnel; our ability to manage our growth while operating with limited
resources; our ability to control our operating expenses; general economic and
business conditions; the outcome of our discussions with St. Laurent Institute
regarding revised terms of their order; our expectations regarding the timing of
cash receipts from previous system orders; the outcome of the final testing of
the RIKEN (OSC)`s system installations and our collaboration activities with
RIKEN (OSC);the scientific and commercial outcome of our placement installations
at reference sites; our expectations regarding the timing and success of the
introduction of our paired-read technology to customers; the outcome of our
strategic partnering discussions and pursuit offinancing strategies and other
financing alternatives; our ability to obtain capital when desired on terms
deemed acceptable to us; and the volatility of the market price of our common
stock. The Company's failure to raise capital as and when needed would have a
material negative impact on its financial condition and would have a material
adverse impact on the viability of the Company as a going concern.Existing and
prospective investors are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date hereof. Helicos
undertakes no obligation to update or revise the information contained in this
press release, whether as a result of new information, future events or
circumstances or otherwise. For additional disclosure regarding these and other
risks faced by Helicos, see the disclosure contained in Helicos' public filings
with the Securities and Exchange Commission.
Investor Relations:
Helicos BioSciences Corporation
Susan Shepard, 617-264-1850
Copyright Business Wire 2009
