Metabolix MBLX) Enters $25M Financing Arrangement

Metabolix, Inc. (NASDAQ: MBLX) has entered into an agreement with Jack W. Schuler, Oracle Investment Management, Inc., Birchview Capital, certain members of the Company's Board of Directors and executive management team, and other investors for the sale of an aggregate of $25 million of Company securities.

The closing of the proposed financing is subject to the Company obtaining a financial viability exception from certain NASDAQ shareholder approval requirements under Rule 5635(f) of the NASDAQ Stock Market Listing Rules, as well as other customary closing conditions. At closing, the investors will purchase an aggregate of 50 million units of the Company's securities at a price of $0.50 per unit. Each unit will consist of one share of the Company's Common Stock and one one-thousandth (1/1,000) of a share of the Company's to-be-designated Series B Convertible Preferred Stock. Each share of Preferred Stock issued in the transaction will automatically convert into 1,000 shares of Common Stock upon the effectiveness of the filing of a charter amendment to increase the number of shares of the Company's authorized Common Stock to not less than 150,000,000. The purchase of the shares by the investors represents a purchase price of $0.25 per share of Common Stock on an as-converted basis.

Earlier in 2014, the Company indicated it would seek to raise $50 to $60 million to fund its business plan and that such financing might be accomplished in stages. Proceeds from this transaction will be used to continue executing the Company's business plan, including its efforts to secure intermediate production capacity, build relationships with key customers and intensify the Company's focus on application and product development for Metabolix PHA specialty biopolymers.

"We look forward to completing this important first step in our financing plan," said Joseph Shaulson, President and Chief Executive Officer. "This funding enables us to continue pursuing our manufacturing, commercial and technical initiatives, which are integral to building a successful specialty materials business based on PHA biopolymers. We also appreciate the vote of confidence being shown in the Company by these experienced biotechnology investors, and we look forward to deploying their investment to create value for all Metabolix shareholders. Finally, I'd like to thank my colleagues at Metabolix, who showed tremendous dedication to the Company and remained focused on our customers and business plans while we worked to secure this capital."

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