Cord Blood America signs Letter of Intent to process and store cord blood specimens for BioCells

Jan 4 2010

Cord Blood America, Inc. (OTC Bulletin Board: CBAI), the umbilical cord blood stem cell preservation company (http://www.cordblood-america.com) focused on bringing the life saving potential of stem cells, a biological insurance policy, to families nationwide and internationally, said today that it has signed a Letter of Intent to process and store cord blood specimens for BioCells, Inc., headquartered in Argentina, and its affiliates in Peru, Colombia, Bolivia, Panama and Puerto Rico.

"This is an excellent example of how our new laboratory and storage facility in Las Vegas allows us to significantly diversify our business model," said Matthew Schissler, co-founder and CEO. "BioCells is already the second largest stem cell storage company in Argentina with annual revenues of 1.5M (USD). The company has 12 locations throughout the country and has recently expanded internationally to both Uruguay and Paraguay. We are confident this will be an excellent working relationship, beneficial to both companies. We will be processing and storing for BioCells' affiliates in Peru, Colombia, Bolivia, Panama and Puerto Rico."

"It is a revenue generator we have not had in the past. Not only do we have our own organic sales engine, our new lab can now generate gross profit by processing and storage agreements with other successful stem cell companies," Mr. Schissler commented. "BioCells has proven to be a tremendous company and we are fortunate to have entered into this letter of intent."

Cord Blood America recently announced a grand opening of its 17,000 square foot stem cell laboratory and headquarters in Las Vegas, near the city's international airport, on January 22, 2010.

The deal between Cord Blood America and BioCells is pending due diligence, and if it is completed successfully, anticipates the contract closing in the first quarter of 2010.