EDAP TMS S.A. Announces $20 Million Placement to Fund US Clinic...( LYON France Oct. 30 /- EDAP TMS S...),Health

LYON, France, Oct. 30 /PRNewswire-FirstCall/ -- EDAP TMS S.A. (Nasdaq: EDAP) the global leader in High Intensity Focused Ultrasound treatment of prostate cancer announces that it has entered into a securities purchase agreement with selected United States based qualified institutional buyers ("Investors") pursuant to which the Investors will purchase US $20 million in Unsecured Convertible Debentures convertible into EDAP's ordinary shares which will be delivered in the form of American Depository Receipts ("ADR") at a conversion price of US $6.57.

Proceeds will be used to fund EDAP's already ongoing US Phase II/III clinical study of the Ablatherm-HIFU system in the treatment of localized prostate cancer. The study is treating patients at leading US clinical locations nationwide, with additional centers slated to join. HIFU has been approved for use in the European Union and has been used in over 13,000 cases at centers worldwide; current peer-reviewed clinical studies documenting efficacy and side effects using Ablatherm-HIFU over the past 10 years are available from the company or online at http://www.hifu-planet.com and http://www.edap-tms.com .

The debentures will mature five years from the date of closing bearing 9% interest. EDAP may, provided certain conditions are met, elect to pay all or a portion of interest on the debentures in the form of ADRs. The Investors will also receive warrants to purchase an additional 1,680,000 ADRs at an exercise price of US $6.87, which will expire six years from closing. As part of the transaction, the company has agreed to file a registration statement on Form F-3 with the Securities and Exchange Commission within 30 days following the closing for the purpose of registering for resale the American Depository Shares evidencing the ordinary shares deliverable upon conversion of the debentures, exercise
'/>"/>