HOUSTON, July 9 -- Positron Corp., a manufacturer of positron emission tomography (PET) scanners, announced that it has entered into an agreement with General Electric Co. (GE), acting through its GE Medical Systems Division, in which GE will cancel Positron's $2,000,000 note and accrued interest, 9,000,000 shares of Positron's common stock and a warrant exercisable for 6,000,000 shares of the Positron's common stock in exchange for the purchase of Positron's cardiac PET software. GE granted Positron a worldwide, perpetual, nonexclusive, royalty-free license to use the transferred cardiac PET software, and GE and Positron have a service agreement under which GE will pay Positron to provide support in transferring the software to GE.
Gary Brooks, chairman and CEO of Positron, said, "We are very pleased that we have been able to satisfy our term loan to GE that it acquired when GE acquired Imatron Inc. in 2001. This transaction allows us to clean up our balance sheet and proceed to implement our business plan of being a major contributor to the field of PET scanning." He added that the sale and subsequent licensing back of the technology will not affect Positron's cardiac PET business.
Positron makes POSICAM systems, used to diagnosis and treat patients in the areas of oncology, cardiology and neurology.
For more information, visit: www.positron.com