Cord Blood America announces acquisition of Cryo-Cell Mexico to gain profit

Dec 16 2010

Cord Blood America, Inc., the umbilical cord blood stem cell preservation company focused on bringing the life saving potential of stem cells to families nationwide and internationally, today announced in a comprehensive interview with analyst Francis Gaskins that the acquisition of Cyro-Cell Mexico would give CBAI a "clear path to profitability."

Matthew Schissler, CEO, President and co-founder, said Cryo-Cell Mexico has more than 70,000 customers, operates in 32 states in Mexico with 13 affiliates, and has "an impressive, outstanding business model in partnering with hospitals."  They are the dominant stem cell storage company in Mexico, and are owned and operated separately from the company with a similar name in the U.S.  Cord Blood America on December 8, 2010 announced it has signed a letter of intent to purchase Cryo-Cell Mexico.

"The sales model utilized in Mexico is so good that we would like to utilize it throughout the world," Mr. Schissler said.  He said adding this large number of assets should increase the valuation, and market cap, of Cord Blood America.  "This acquisition is a game changer for our investors.  The large gross profit influx should allow CBAI to operate off its own cash flow after one time acquisition and transitional costs have been normalized."

Cord Blood America's CEO also stressed its three goals for 2011 in the interview.  He emphasized capturing more market share and growing organically in the U.S., and in Germany, South America and China, where CBAI has partnerships or owns operating entities; continuing to develop new revenue streams; and operating on its own cash flow.

"These are challenging goals but we have a strong track record of meeting the goals we set for Cord Blood America," Mr. Schissler concluded.

SOURCE Cord Blood America, Inc.