PRESS RELEASE
Published on June 8, 2005
NeoGenomics, Inc. announces Standby Equity Distribution Agreement for up to $5.0 million of Equity Financing from Cornell Capital Partners, LP Fort Myers, Florida - June 8, 2005 - NeoGenomics, Inc (OTC BB: NGNM) announced today that it has entered into a Standby Equity Distribution Agreement ("SEDA") with Cornell Capital Partners, LP ("Cornell"). Pursuant to the SEDA, the Company may, at its discretion, periodically sell to Cornell shares of common stock for a total purchase price of up to $5.0 million. For each share of common stock purchased under the SEDA, Cornell will pay the Company 98% of the lowest volume weighted average price ("VWAP") of the Company's common stock as quoted by Bloomberg, LP on the Over-the-Counter Bulletin Board or other principal market on which the Company's common stock is traded for the 5 days immediately following the notice date (the "Purchase Price"). Cornell will also retain 5% of each advance under the SEDA. Cornell's obligation to purchase shares of the Company's common stock under the SEDA is subject to certain conditions, including the Company obtaining an effective registration statement for shares of common stock sold under the SEDA and is limited to $750,000 per weekly advance. The amount and timing of all advances under the SEDA are at the discretion of the Company and the Company is not obligated to issue and sell any securities to Cornell, unless and until it decides to do so. Robert Gasparini, the President of NeoGenomics, said, "We are delighted to have entered into this agreement. Cornell Capital has been a dominant and driving force in the creation of this innovative financing mechanism. The Company's primary motivation in securing this equity line was to ensure that the Company was in a position to move quickly in the event that acquisitions or other strategic opportunities were presented to the Company. With three of the top ten genetics laboratories being acquired in the last 12 months, it is clear to our Board that the industry will consolidate further, and we believe that our shareholders will realize significant benefits if we are able to participate in this trend toward consolidation." Steven Jones, a Director of NeoGenomics and the Company's acting Principal Financial Officer, said, "Under the terms of the SEDA, equity capital will be available within five days of each advance request, which is a significant advantage over raising equity capital through traditional private placements, which can often take 4-6 months." Michael Rosselli, a Director with Cornell Capital, stated, "We are very excited to participate in the genetics and molecular biology testing industry with NeoGenomics. We have great respect for the NeoGenomics team and we are looking forward to assisting them in meeting their growth objectives." About NeoGenomics, Inc. NeoGenomics, Inc. is a clinical testing laboratory that offers genetic and molecular diagnostic testing services to the oncology and perinatology markets. NeoGenomics is headquartered in Fort Myers, FL and services the needs of the medical community throughout the United States. For additional information about NeoGenomics, please visit our website at www.neogenomics.org. Investor Relations Contact: NeoGenomics, Inc. Mr. Steven Jones (239) 598-0964 sjones@neogenomics.org or Mr. Robert Gasparini (239) 768-0600 bgasparini@neogenomics.org 12701 Commonwealth Drive, Suite 9, Fort Myers, FL 33913 Certain statements included in this press release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from such statements expressed or implied herein. Factors that might cause such a difference include, among others, the company's ability to continue gaining new customers, offer new types of tests, and otherwise implement its business plan. As a result, this press release should be read in conjunction with the company's periodic filings with the SEC.