Medgenics closes public offering of 5,600,000 shares of common stock and warrants

Medgenics, Inc. (NYSE MKT: MDGN and AIM: MEDU, MEDG) (the "Company" or "Medgenics"), the developer of a novel platform technology for the sustained production and delivery of therapeutic proteins in patients using their own tissue, announces yesterday's closing of an underwritten public offering of 5,600,000 shares of common stock and Series 2013-A warrants to purchase up to an aggregate of 2,800,000 shares of common stock. The shares and the warrants were sold together as a fixed combination, each consisting of one share of common stock and a warrant to purchase one-half of a share of common stock, at a price to the public of $5.25 per fixed combination. The shares of common stock and warrants were issued separately. The warrants have an initial exercise price of $6.78, are currently exercisable and will expire on February 13, 2018.

Gross proceeds to Medgenics were $29,400,000, before deducting underwriting discounts and commissions and other offering expenses payable by Medgenics. In addition, Medgenics granted the underwriters a 45-day option to purchase up to an aggregate of 840,000 additional shares of common stock and/or additional warrants to purchase up to an aggregate of 420,000 shares of common stock.