EXTEN INDUSTRIES, INC.
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1999 ANNUAL REPORT
Corporate Profile
Exten Industries, Inc. (OTCBB- EXTI), via its subsidiary, Xenogenics
Corporation, owns the rights to the patent pending SybiolR synthetic
bio-liver which can be used as an "artificial liver" to support transplant
patients until a donor organ is available and as post-transplant
stabilization. Perhaps more importantly, it is intended to help treat
Hepatitis and other liver disease patients on a regularly scheduled
outpatient basis to perform functions for the liver analogous to those which
renal dialysis performs for the kidneys. There are other potential
applications as well. It is hoped that this device could improve or save
many lives.
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CHAIRMAN'S LETTER
Dear Fellow Shareholder:
It is my pleasure to report that your company continues to progress
toward the development of its Sybiol synthetic bio-liver technology. The
Company has the support of an outstanding group of doctors and scientists
who support the Company as part of the Scientific Advisory Board. Dr. John
Brems, Chairman of the Scientific Advisory Board, and head of the liver
transplant department at Loyola University Medical Center in Chicago,
Illinois heads this Board.
I am happy to say that our single biggest problem, which has been lack of
funding for clinical research, has been solved. During February 2000 the
Company entered into an agreement with Kestrel Equity Partners, Ltd.
(Kestrel) of Dallas, Texas. Under the terms of this agreement, Kestrel will
raise $1.75 million and acquire a twenty-five percent (25%) equity interest
in Exten's Xenogenics subsidiary, and a twelve percent (12%) equity interest
in Exten. The first unit in the amount of $550,000 has been raised and these
funds have been released to the Company. Kestrel believes that the
additional funding, of which Exten/Xenogenics will receive an additional
$1.0 million will be completed shortly. Release of the additional funds will be
based on the attainment of mutually agreed upon objectives.
A portion of the initial funding will be utilized to redesign the Sybiol
device. Following the device redesign, the Company will complete its
pre-clinical trial work at Loyola and begin Phase I FDA clinical trials.
There is still no live-cell artificial liver device on the US market.
Due to the increase in liver diseases and public awareness of the severity
of the Hepatitis epidemic, as well as the continued scarcity of donor organs,
the company continues to believe that there is a huge worldwide need and
market for an "artificial liver" and that our proposed methodology will
offer cost and treatment advantages over proposed competitive devices.
The Company is still a promising biomedical research organization with
excellent technology. Our primary objective is to bring this technology to
commercial viability as rapidly as possible. To that end we continue to try
to bring the company onto a sounder fiscal footing. Strategic partnerships
are being pursued and the Company is seeking an acquisition, merger, or
strategic alliance with a profitable company.
Thank you all again for your continued patience and support. Your
management team is dedicated to insuring that your faith and investment will
be rewarded.
Sincerely,
W. Gerald Newmin,
Chairman and CEO
Xenogenics Corporation
Jim Considine, MD, MBA
President
Scientific Advisory Board
> John Brems, MD, FACS, Chairman; Director of Transplantation,
Loyola University Medical Center, Chicago.
> Giovanni Ambrosino, Professor of Surgery, University of Padova, Italy
> Alessandra Colantoni, MD, Research Associate, Dept. of Medicine Liver
Transplant Service, Loyola University Medical Center, Chicago.
> Donald Cramer, DVM, Ph.D., Director of Transplantation Biology Research
Laboratory at St. Vincent Medical Center in Los Angeles.
> James Filkins, Ph.D., Professor Emeritus, Physiology and Surgery,
Loyola University.
> Amy Friedman, MD, Chief, Liver Transplantation, Yale-New Haven Hospital.
> Kurt Gehlsen, Ph.D., former CEO of Trauma Products, San Diego, CA.
> David H. Van Thiel, MD, Professor of Medicine, Director of Liver
Transplantation and Co-Director of Gastroenterology at
Loyola University, Chicago.
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Exten Industries, Inc.
W. Gerald Newmin
Chairman, CEO, and Secretary
Jerry Simek
President, COO and Treasurer
Farrest Loper
Director
Legal Counsel
Jeffers, Shaff & Falk, LLP
Irvine, CA
Independent Accountants
Logan Throop & Co.
San Diego, CA
Transfer Agent
Continental Stock Transfer
New York, NY
Common Stock
The company's stock is traded on the
Over the Counter Bulletin Board;
the symbol is EXTI.
Investor Relations
If you would like additional copies of
this report or other investor information,
please direct your written request to :
Exten Industries, Inc.
9620 Chesapeake Drive, Suite 201
San Diego, CA 92123-1324
PHONE (858) 496-0173
FAX (858) 496-0573
e-mail: extixeno @aol.com
Website: www.exten.com
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Exten Industries, Inc.
Corporate Headquarters
9620 Chesapeake Drive, Suite 201
San Diego, CA 92123-1324
TELEPHONE (858) 496-0173
FAX (858) 496-0573
e-mail: extixeno @aol.com
Website: http://www.exten.com
