SALT LAKE CITY, Dec. 18, 2013 /PRNewswire/ -- Lineagen, Inc., an innovative molecular diagnostics company focused on complex, genetically linked disorders, announced today the Company has completed a $3.5 million series C round of financing, including $2.6 million in equity capital and $0.9 million in convertible senior subordinated notes. The financing was led by existing investors Signal Peak Ventures and Sanderling Ventures, with the participation of current investors PrairieGold Venture Partners and Mesa Verde Venture Partners and new investors Archipel Capital, University Venture Fund, Hatteras Funds, and KickStart Seed Fund. Lineagen also announced the Company has received multiple term sheets for multi-million dollar senior secured debt facilities, one of which the Company intends to close as part of this Series C financing. Additionally, Lineagen announced the conversion of $12.6 million in outstanding promissory notes into shares of Series B preferred stock.
Lineagen is a leader in providing physicians and patients with a fully integrated genetic testing, counseling, and developmental screening service to aid in the early diagnostic evaluation of individuals with ASD and other disorders of childhood development. Based on current reimbursement rates, sales, and favorable gross margins of Lineagen's customized proprietary commercial offering, FirstStepDx PLUS, and pursuant to the use of net proceeds of the Series C funding and anticipated loan facility, the Company expects it will accelerate the time to profitability to the first half of 2014.
Lineagen's Chief Executive Officer Michael S. Paul, Ph.D., said, "As a science-driven company, our paramount dedication is to the clinical community and to the families we serve. We now provide our FirstStepDx PLUS services to over 400 pediatricians across the country, and we have agreements w
|SOURCE Lineagen, Inc.|
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