Vericel Announces Termination of Shareholder Rights Agreement

Rhea-AI Summary

Vericel Corporation (NASDAQ:VCEL) announced the termination of its shareholder rights agreement, or "poison pill," which was set to expire on August 15, 2021. This action accelerates the expiration to February 11, 2021, with no required action from shareholders. CEO Nick Colangelo emphasized that this termination aligns with the company's goal of enhancing governance policies for shareholders.

Vericel specializes in advanced therapies for sports medicine and severe burn care, marketing products such as MACI® and Epicel® for cartilage repair and skin replacement, respectively.

Positive

• Termination of the shareholder rights agreement may enhance governance and shareholder relations.
• No required action for shareholders indicates a smooth transition.

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• None.

CAMBRIDGE, Mass., Feb. 12, 2021 (GLOBE NEWSWIRE) -- Vericel Corporation (NASDAQ:VCEL), a leader in advanced therapies for the sports medicine and severe burn care markets, today announced that its Board of Directors unanimously approved the termination of the Company’s shareholder rights agreement, commonly referred to as a “poison pill”, which was originally scheduled to expire on August 15, 2021. The shareholder rights agreement was amended to accelerate the expiration date to February 11, 2021, effectively terminating the plan as of that date.

“Vericel is committed to enhancing its governance policies for the benefit of shareholders,” said Nick Colangelo, President and Chief Executive Officer of Vericel. “The termination of the shareholder rights plan advances that objective.”

Shareholders are not required, nor do they need to take any action because of the termination of this shareholder rights agreement.

About Vericel Corporation
Vericel is a leader in advanced therapies for the sports medicine and severe burn care markets. The company markets two cell therapy products in the United States. MACI^® (autologous cultured chondrocytes on porcine collagen membrane) is an autologous cellularized scaffold product indicated for the repair of symptomatic, single or multiple full-thickness cartilage defects of the knee with or without bone involvement in adults. Epicel^® (cultured epidermal autografts) is a permanent skin replacement for the treatment of patients with deep dermal or full thickness burns greater than or equal to 30% of total body surface area. The company also holds an exclusive license for North American rights to NexoBrid^®, a registration-stage biological orphan product for debridement of severe thermal burns. For more information, please visit the company’s website at www.vcel.com.

Epicel^® and MACI^® are registered trademarks of Vericel Corporation. NexoBrid^® is a registered trademark of MediWound Ltd. and is used under license to Vericel Corporation. © 2021 Vericel Corporation. All rights reserved.

Investor Contacts:
Chad Rubin
Solebury Trout
crubin@troutgroup.com
+1 646-378-2947

FAQ

What did Vericel announce on February 12, 2021?

Vericel announced the termination of its shareholder rights agreement, commonly referred to as a 'poison pill.'

Why was the shareholder rights agreement terminated by Vericel?

The termination was part of Vericel's commitment to enhance its governance policies for the benefit of shareholders.

What does the termination of the shareholder rights agreement mean for Vericel shareholders?

Shareholders are not required to take any action due to the termination of the shareholder rights agreement.

What are the main products offered by Vericel Corporation?

Vericel markets MACI®, a cartilage repair product, and Epicel®, a skin replacement for burn treatment.