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Flexible Medical Systems Raises $1.2M Seed Investment for Initial Human Trials
Date:9/21/2007

ROCKVILLE, Md., Sept. 21 /PRNewswire/ -- Flexible Medical Systems (FMS) announced today that it has completed the private placement of $1.2 million of common equity to a group of accredited investors. The company will use the proceeds from the private placement to conduct human proof-of-concept trials, to pursue additional intellectual property filings and for general working capital.

"The proceeds from this investment will provide us with funding to pursue our business plan. We intend to demonstrate our proven animal study results in humans which will allow us to go to the next level," said Richard H. Smith, President. The company will occupy labs on Crabbs Branch Way in Rockville, MD.

FMS also announced that Paul A. Brown, M.D. has been elected to the company's board of directors. Dr. Brown, who holds an A.B. from Harvard College and an M.D. from Tufts University School of Medicine, is the founder and Chairman of HearUSA, Inc., a leading hearing care provider with more than 170 hearing care centers.

Before founding HearUSA in 1967, Dr. Brown was Chairman and CEO of MetPath, Inc., which offered a full range of clinical laboratory services to physicians and hospitals. Dr. Brown transformed MetPath into the largest clinical laboratory in the world with over 3,000 employees and secured its position on the American Stock Exchange. MetPath was sold to Corning in 1982 for $140 million. MetPath became Quest Diagnostics and today is the nation's leading provider of diagnostic testing, information and services with over $5 billion in annual revenues.

"Paul's extensive experience as a doctor, entrepreneur, and business leader within the challenging life science service business makes him an ideal member of FMS's board," said Founder and Chief Science Officer John F. Currie, Ph.D. "His integrity, strong leadership skills, and ability and willingness to confront and resolve tough issues will be extremely valuable to FMS as we continue to grow and
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