Living Cell Technologies Raises A$4.2m For Trials

Living Cell Technologies Limited                                               

COMPANY ANNOUNCEMENT:  

Living Cell Technologies Raises A$4.2m From A Placement Of Shares To Fund Clinical Trials Of DIABECELL® 

30 July 2009: Sydney, Australia, Auckland, New Zealand – Living Cell Technologies Limited (ASX: LCT; OTCQX: LVCLY) announced that it has closed a private placement of share capital raising A$4.2m. The placement provides for the issue of up to 25.5m ordinary shares at A$0.165 with a 2 for 5 option attached (10.2m options), exercisable at any time until 31 December 2010 at A$0.24 per share. The $0.165 issue price is a 14.37% discount for the 5 day volume weighted average price to 27 July 2009.

The above securities will be issued within the 15% limit provided in ASX Listing Rule 7.1 and as such do not require shareholder approval.

The funds will be used as working capital for the New Zealand clinical trial of DIABECELL® and to complete the dose finding trial in Russia and for operations supporting these trials.

CEO Dr Paul Tan said “It is pleasing to receive investor support for the company to fund the trial in New Zealand, following the promising results from the trial in Russia”.

DIABECELL® is LCT’s lead product designed to normalize blood glucose levels in type 1 diabetes sufferers.  DIABECELL® comprises encapsulated porcine insulin-producing cells which can be administered without the need to use immunosuppressive drugs.

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