Sernova closes $2.1-million private placement

Mr. David Burke reports SERNOVA BIOTHERAPEUTICS ANNOUNCES CLOSE OF NON-BROKERED PRIVATE PLACEMENT FINANCING Sernova Biotherapeutics Inc. has closed its non-brokered private placement financing that has secured total gross proceeds of $2.1-million. The company issued 13,762,659 units in connection with the private placement at a price of 15 cents per unit. Each unit consists of one common share of the company and one common share purchase warrant exercisable at 25 cents per share for a period of 36 months, subject to acceleration provisions. The securities issued in connection with the private placement are subject to a four-month hold period under applicable securities laws in Canada. "This financing, combined with $5.5-million committed by one of our board members and the expected near-term retirement of approximately $17-million of debt, significantly strengthens our balance sheet and enables our plans to advance our cell pouch biohybrid organ clinical program with the mission to develop a functional cure for Type 1 diabetes," commented Sernova chief executive officer Jonathan Rigby. About Sernova Biotherapeutics Inc. Sernova Biotherapeutics is a clinical-stage company developing regenerative medicine therapeutics combining its cell pouch with human donor cells or stem-cell-derived islet-like clusters in collaboration with Evotec to create biohybrid organs to treat T1D. A biohybrid organ is composed of non-biomaterials, such as the cell pouch, integrated with living tissues to restore or enhance the function of a compromised organ. We seek Safe Harbor.