BIOLASE to Raise $12M From Institutional And Individual Investors In Private Placement

BIOLASE, Inc.

, the world's leading dental laser manufacturer and distributor, announced today that Jack W. Schuler, Oracle Partners, L.P. and other Oracle funds, Birchview Capital and certain BIOLASE directors and officers have agreed to purchase $12 million of unregistered shares of BIOLASE common stock in a private placement transaction. Under the terms of the private placement, BIOLASE has agreed to sell an aggregate of 6,250,000 shares of its common stock at the price of $1.92 per share. In connection with the transaction, BIOLASE agreed to use commercially reasonable efforts to file within 30 days of the closing a registration statement with the Securities and Exchange Commission to register the resale of the shares issued at the closing. The private placement is expected to close on or about July 22, 2014, subject to customary closing conditions. The proceeds will be used to repay all outstanding indebtedness under BIOLASE's loan agreement with Comerica Bank and for working capital and general corporate purposes. Northland Securities, Inc. acted as exclusive placement agent in connection with the offering. Paul N. Clark, Chairman of the Board of Directors of BIOLASE, said, “We are very pleased to have completed this important private placement financing at market with a number of veteran institutional and individual biotechnology investors, and we expect the proceeds raised to fuel the Company's growth and innovation efforts.” Jeffrey M. Nugent, Acting Chief Executive Officer and director of BIOLASE, said, “This investment will help us accomplish our goal to expand BIOLASE's global leadership position in superior laser technology across a select range of healthcare needs, while primarily focusing on improving the practice of dentistry.” This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities. The securities offered and sold in the private placement have not been registered under the Securities Act of 1933, as amended, or any state securities laws, and may not be offered or sold in the United States absent registration, or an applicable exemption from registration under the Securities Act and applicable state securities laws.