MiMedx Group Announces Over-Subscription of $5,000,000 Private Placement

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ATLANTA, Jan. 6 /PRNewswire-FirstCall/ — MiMedx Group, Inc. (OTC Bulletin Board: MDXG) is pleased to announce today that its $5,000,000 offering of common stock and warrants has been over-subscribed. Common stock in the offering is priced at $.60 per share. For every two shares of common stock purchased, each investor receives a warrant to purchase one share of common stock at a price of $1.50 per share. Details regarding the private placement of these securities will be disclosed in a Form 8-K to be filed by the Company later this week.

The proceeds of the offering will be used to support the Company’s launch of its first product, the Paradis Vaso Shield(TM), to facilitate further development activities related to progressing the Company’s other products through regulatory clearance, as well as provide working capital and for general corporate purposes.

Parker H. “Pete” Petit, Chairman and CEO, commented: “We are grateful to the existing shareholders who participated. I am very pleased that we have also added a distinguished list of new shareholders. I personally participated in the placement along with some other members of our management team. This offering provides the capital to develop our distribution network for our hydrogel spine products and for our future sports medicine collagen fiber products. This financing also will fund additional progress on obtaining regulatory clearances for our other new products. Depending on how rapidly our revenue develops from sales of our Vaso Shield during the first and second quarter of 2010, the Company may need to raise only a few million dollars in additional funding in order to reach our breakeven point.”

About MiMedx Group, Inc.

MiMedx Group, Inc. is an integrated developer, manufacturer and marketer of patent protected biomaterial-based products and is in the process of transitioning from a development-focused concern to an operating company focused on sales growth and profitability. The Company’s assets include intellectual property protecting a collagen-based technology for augmentation of soft and connective tissue diseases and trauma and intellectual property protecting a novel durable hydrogel technology. The Company has received FDA clearance for its first durable hydrogel product, the Paradis Vaso Shield(TM), indicated for use as a cover for vessels following anterior spinal surgery.

Important Note regarding forward-looking statements and risk factors. This press release includes statements that look forward in time or that express management’s beliefs, expectations or hopes. Such statements are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include those regarding the prospects for receiving regulatory clearances or approvals for additional hydrogel or collagen fiber products and the development of a distribution network for the Company’s products and the Company’s estimate of additional funding necessary to reach breakeven point. These risks and uncertainties including, that the Company currently requires additional capital to survive and achieve its goals, which may be difficult or impossible to obtain, that the Company may not receive requisite regulatory clearances and/or approvals to be able to market a full range of products or that such clearances or approvals may be delayed, that the Company may not be able to establish an effective distribution system for its products, and that the Company’s products may not gain acceptance in the marketplace or that acceptance may be delayed. The risks and uncertainties also include the risk factors detailed in its Securities and Exchange Commission filings, including, without limitation, its 10-K filing for the fiscal year ended March 31, 2009, and its most recent Form 10-Q filed on November 16, 2009. The Company does not undertake to update its forward-looking statements.

SOURCE MiMedx Group, Inc.

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