TAMPA, Fla., July 17, 2019 (GLOBE NEWSWIRE) -- H-CYTE, INC. (OTCQB:HCYT), wishes to make, at the request of the OTC Markets Group Inc., the following release regarding certain market activity surrounding the Company's common shares.
On July 15, 2019, the Company was notified by the OTC Markets about certain promotional activities in relation to the Common Shares, including certain promotional newsletter emails dated July 12, 2019 and July 15, 2019, distributed by Penny Stock Prophet, Secret Stock Promoter and OTC Tip Reporter. At no time has the Company entered into a contract, unwritten agreement or understanding with the aforementioned above entities. The Company confirms that, after due inquiry, none of its officers, directors, controlling shareholders (i.e., shareholders owning 10% or more of the Company's securities) have, directly or indirectly, authorized or been involved in any way with the creation or distribution of promotional materials relating to the Company. Further, the Company had no editorial control over the content of the promotional materials. Our independent consulting firm, LR Advisors, LLC takes full responsibility for the release. The Company has engaged LR Advisors, LLC to provide investor relations services in the last 12 months and over the prior four years.
The Company does not believe the statements referencing it in the promotional materials were false or misleading having appeared to have been taken directly from the Company’s public filings and website. Other commentary in the press release appears to express the author’s personal opinions.
The Company believes the promotional activity may have been a factor with respect to an increased price and trading volume of the Company’s common stock that occurred following the promotional activity. However, this period also corresponded with the recent announcement that FINRA has approved the effectiveness of a change in the Company’s name from “Medovex Corp.” to “H-CYTE, Inc.” as well as a change in the Company’s trading symbol from “MDVX” to the new trading symbol “HCYT” which took place at market open on July 15, 2019.
After inquiry of Company management, none of the Company’s officers, directors or controlling shareholders nor third party service providers, have sold or purchased Company securities in the past 90 days. The company has not at any point issued shares or convertible instruments allowing conversion to equity securities at prices constituting a discount to the current market rate at the time of the issuance.
H-CYTE is currently investigating the circumstances of the promotional activity in order to take appropriate corrective and preventative action.
For the past 12 months, the Company has also engaged with Edelman for public relations services for the parent and its subsidiaries unrelated to investor relation matters.
H-CYTE was formed to build and develop a diversified portfolio of innovative medical technology products and services to improve quality of life for patients. The DenerveX® System is H-CYTE’s first product and is intended to provide long-lasting relief from pain associated with facet joint syndrome. For biomedical services, H-CYTE manages Lung Health Institute. Lung Health Institute is a leader in regenerative medicine that specializes in cellular therapies to treat chronic obstructive pulmonary disease (COPD) and other chronic lung diseases. In late 2019, H-CYTE’s biologics division, LungCYTE, plans to submit an IND to the FDA to study novel and proprietary biologics for treatment of COPD. For more information about H-CYTE, please visit www.HCYTE.com.
Safe Harbor Statement
Certain statements in this press release constitute "forward-looking statements" within the meaning of the federal securities laws. Words such as "may," "might," "will," "should," "believe," "expect," "anticipate," "estimate," "continue," "predict," "forecast," "project," "plan," "intend," or similar expressions or statements regarding intent, belief, or current expectations, are forward-looking statements. While the Company believes these forward-looking statements are reasonable, undue reliance should not be placed on any such forward-looking statements, which are based on information available to us on the date of this release. These forward-looking statements are based upon current estimates and assumptions and are subject to various risks and uncertainties, including without limitation, those outlined in the Company's filings with the Securities and Exchange Commission (the "SEC"), not limited to Risk Factors relating to its business contained therein. Thus, actual results could be materially different. The Company expressly disclaims any obligation to update or alter statements whether as a result of new information, future events, or otherwise, except as required by law.