Up to $2M Unsecured, Non-Convertible Bridge Debt With No Required Amortization Payments
Financing Supports Execution of the 2023 Plan and the Achievement of Critical Milestones in Support of Definitive Growth Capital
BROOMFIELD, CO, May 19, 2023 (GLOBE NEWSWIRE) -- via NewMediaWire – Aclarion, Inc., (“Aclarion” or the “Company”) (Nasdaq: ACON, ACONW), a healthcare technology company that is leveraging biomarkers and proprietary augmented intelligence algorithms to help physicians identify the location of chronic low back pain, announced today the closing of up to a $2M unsecured, non-convertible debt financing that allows the Company to continue executing on its 2023 plan while providing the runway to achieve three critical milestones ahead of securing definitive growth capital.
Brent Ness, CEO of Aclarion, said, “We have been executing really well on multiple fronts. We have had great success building a strong KOL team, publishing critical 2-year follow on data highlighting the value of our technology in supporting better surgical outcomes for back pain, and in quantifying the significant economic savings associated with the better surgical outcomes we help drive. It is an exciting time for the company as we are on the cusp of completing three critical milestones that are key catalysts for growth. First, we are completing full enrollment of our initial KOL panel consisting of 10 leading spine surgeons this quarter. Second, the first MRI center associated with our KOLs is coming online in Q3, with the remaining MRI activations targeted to be completed in the first half of 2024. Third, we expect to be sending our first Category III CPT codes to commercial payers, also in Q3. This is a huge step forward as it marks the beginning of our commercialization playbook aimed at establishing Nociscan as a Standard of Care clinical support tool in the diagnosis and treatment of chronic discogenic low back pain. The announced financing gives us the runway we need to drive these key catalysts and better position us for definitive growth capital.”
Globally, 266 million people suffer from degenerative spine disease and low back pain. Aclarion’s Nociscan solution is the first evidence-supported SaaS platform to noninvasively help physicians distinguish between painful and nonpainful discs in the lumbar spine. Nociscan objectively quantifies chemical biomarkers demonstrated to be associated with disc pain. Biomarker data is entered into proprietary algorithms to highlight if a disc may be a source of pain. When used with other diagnostic tools, Nociscan provides critical insights into the location of a patient’s low back pain, giving physicians clarity to optimize treatment strategies.
John Lorbiecki, CFO of Aclarion, said, “We are pleased to announce this unsecured debt financing from a sophisticated institutional investor which provides additional runway to execute on our 2023 growth plan. Given the nature of the current microcap environment, this bridge financing serves as a more shareholder friendly alternative to an S-1 registered secondary public offering. Additionally, the significant market interest in healthcare technology companies leveraging augmented and artificial intelligence technologies to better diagnose disease and personalize treatments, along with our continued progress on driving to Standard of Care, is a strong indication of our future growth potential as we explore additional financing options.”
The Company recently announced publication of two year follow up data on its foundational clinical trial demonstrating improved surgical results for patients undergoing surgery at the discs Nociscan identified as pain generators. For more on Nociscan 2YR Clinical Outcomes: https://aclarion.com/aclarion-announces-publication-of-2yr-outcomes-in-groundbreaking-clinical-trial/
About Aclarion, Inc.
Aclarion is a healthcare technology company that leverages Magnetic Resonance Spectroscopy (“MRS”), proprietary signal processing techniques, biomarkers, and augmented intelligence algorithms to optimize clinical treatments. The Company is first addressing the chronic low back pain market with Nociscan, the first, evidence-supported, SaaS platform to noninvasively help physicians distinguish between painful and nonpainful discs in the lumbar spine. Through a cloud connection, Nociscan receives magnetic resonance spectroscopy (MRS) data from an MRI machine for each lumbar disc being evaluated. In the cloud, proprietary signal processing techniques extract and quantify chemical biomarkers demonstrated to be associated with disc pain. Biomarker data is entered into proprietary algorithms to indicate if a disc may be a source of pain. When used with other diagnostic tools, Nociscan provides critical insights into the location of a patient’s low back pain, giving physicians clarity to optimize treatment strategies. For more information, please visit www.aclarion.com.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 about the Company's current expectations about future results, performance, prospects and opportunities. Statements that are not historical facts, such as "anticipates," "believes" and "expects" or similar expressions, are forward-looking statements. These forward-looking statements are based on the current plans and expectations of management and are subject to a number of uncertainties and risks that could significantly affect the Company's current plans and expectations, as well as future results of operations and financial condition. These and other risks and uncertainties are discussed more fully in our filings with the Securities and Exchange Commission. Readers are encouraged to review the section titled "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2022, as well as other disclosures contained in the Prospectus and subsequent filings made with the Securities and Exchange
Commission. Forward-looking statements contained in this announcement are made as of this date and the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Investor Contacts:
Kirin M. Smith
PCG Advisory, Inc.
646.823.8656
ksmith@pcgadvisory.com
