Brings Strong Industry and Executive Level Experience to Company
FT. MYERS, Fla., March 16 /PRNewswire-FirstCall/ -- NeoGenomics, Inc. (OTC Bulletin Board: NGNM), a leading provider of cancer genetics testing services, announced today that Douglas M. VanOort, 53 years old, has joined the Company's Board of Directors and been appointed Executive Chairman and Interim Chief Executive Officer. The Company also reported that Mr. VanOort has made a $500,000 investment into NeoGenomics by purchasing 625,000 shares of common stock at a purchase price of $0.80 per share.
Mr. VanOort has held executive leadership positions with several world-class Fortune 500 firms and rapidly-growing ventures during his 30-year career. He spent over 10 years in health-care services, first as Executive Vice President and Chief Financial Office of Corning Life Sciences, Inc. and then as Senior Vice President, Operations at Quest Diagnostics, Inc. At Corning Life Sciences, he helped build and engineer the spin off of two leading publically-traded NYSE life-science companies, Quest Diagnostics, Inc. and Covance, Inc, ultimately joining Quest at the time of the spin-off. During his tenure with Corning Life Sciences and then Quest, he was part of the team that successfully transformed the company into the largest independent clinical laboratory testing company in the United States, growing it from approximately $500 million in revenue in 1989 to approximately $1.5 billion in revenue in 1998. During the past 10 years, Mr. VanOort founded, invested in, and built businesses in a variety of industries. He currently serves as Operating Partner at Summer Street Capital Partners, Managing Director of Conundrum Capital Partners, and as a member of the Board of several private-equity held companies.
"It gives me great pleasure to welcome Doug VanOort to our team," said Dr. Michael Dent, founder of NeoGenomics. "His track record in our industry is outstanding, and it is a testament to NeoGenomics that a company of our size attracted an executive with his skills, talents, and experience. We believe Doug will be instrumental in helping us reach our goal of achieving $100 million in annual revenue over the next three years."
Mr. VanOort stated, "I am excited to have joined the NeoGenomics team. The company has been well managed and laser-focused on cancer genetic diagnostics. It has achieved tremendous success while maintaining a strong balance sheet. Cancer genetics technology is undergoing revolutionary change, and NeoGenomics is well positioned to capitalize on this rapidly-growing market. I am impressed with the company's mission, its people, innovative products, and prospects. Together with the Board and Management team, we plan to add to our capabilities, accelerate growth, and substantially broaden NeoGenomics' market leadership position."
As part of this move, NeoGenomics has modified its by-laws to increase the size of its Board of Directors to eight members. Dr. Dent will step down as Chairman of the Board, but remain a member of the Board of Directors. Robert Gasparini remains President and Chief Scientific Officer.
NeoGenomics has entered into a four-year contract with Mr. VanOort. As Executive Chairman, Mr. VanOort will spend approximately half of his working time and attention on the affairs of the company. In addition, Mr. VanOort will also serve as Interim CEO for the next several months, and expects to increase his working time commitment to approximately 70-75% during this period.
The full details of all the arrangements with Mr. VanOort will be filed with the SEC on Form 8-K shortly. In addition to a base salary, which will vary with the amount of time commitment to and duties with NeoGenomics, Mr. VanOort been awarded 1.0 million stock options, which will vest over a four-year period, 50% vesting over time and 50% vesting based on the attainment of certain performance milestones. As a component of his investment, Mr. VanOort was also awarded one warrant share for each share he purchased, or warrants to purchase an additional 625,000 shares in total. These warrants have a five-year term, an exercise price of $1.05 per share and 80% of such warrants will vest upon the attainment of exceptional share price performance at levels ranging from $3.00 to $6.00 per share. The remaining 20% of the warrants vested immediately upon the consummation of his investment.
About NeoGenomics, Inc.
NeoGenomics, Inc. is a high-complexity CLIA-certified clinical laboratory that specializes in cancer genetics diagnostic testing, the fastest growing segment of the laboratory industry. The company's testing services include cytogenetics, fluorescence in-situ hybridization (FISH), flow cytometry, morphology studies, anatomic pathology and molecular genetic testing. Headquartered in Fort Myers, FL, NeoGenomics has labs in Nashville, TN, Irvine, CA and Fort Myers and services the needs of pathologists, oncologists, urologists, and hospitals throughout the United States. For additional information about NeoGenomics, visit http://www.neogenomics.org.
For more news and information on NeoGenomics, please visit www.IRGnews.com/coi/NGNM where you can find a fact sheet on the company, investor presentations, and more. Interested parties can also access additional investor relations material from the American Microcap Institute at http://www.americanmicrocapinstitute.com/ngnm/ or from Hawk Associates at http://www.hawkassociates.com. An investment profile about NeoGenomics may be found at www.hawkassociates.com/profile/ngnm.cfm.
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Forward Looking Statements
Except for historical information, all of the statements, expectations and assumptions contained in the foregoing are forward-looking statements. These forward-looking statements involve a number of risks and uncertainties that could cause actual future results to differ materially from those anticipated in the forward-looking statements. Actual results could differ materially from such statements expressed or implied herein. Factors that might cause such a difference include, among others, the company's ability to continue gaining new customers, offer new types of tests, and otherwise implement its business plan. As a result, this press release should be read in conjunction with the company's periodic filings with the SEC.
|SOURCE NeoGenomics, Inc.|
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