Hythiam Comments on Recent Trading Activity
Hythiam, Inc. (NASDAQ:HYTM) today responded to shareholder inquiries regarding the recent trading activity of its common stock. The Company is not aware of any undisclosed materially adverse event or recent set of circumstances or occurrence which would account for the recent significant decline in the price of the Company’s stock. Hythiam recently completed a registered offering of its common stock on November 7, 2007 at $4.79 per share, under which it raised gross proceeds of approximately $46 million including the conversion of $5 million of senior secured notes into shares in the offering.
“In light of the considerable interest we are receiving for the PROMETA Treatment Program from managed care providers, corporations and unions, we do not believe that the recent trading activity in Hythiam’s common stock reflects the prospects for its business,” said Hythiam’s Chairman and CEO, Terren Peizer. “We expect to begin entering into revenue generating agreements in the near-term.”
About Hythiam, Inc.
Hythiam, Inc. provides behavioral health management services to health plans, employers, criminal justice, and government agencies through a network of licensed and company managed providers. The company approaches the management of behavioral health disorders with a focus on using the latest medical and health technology towards improved outcomes and out-patient treatment. Hythiam also researches, develops, licenses and commercializes innovative and proprietary physiological, nutritional, and behavioral treatment programs. Hythiam offers disease management for substance dependence built around its proprietary PROMETA® Treatment Program for alcoholism and dependence to stimulants. The PROMETA® Treatment Program, which integrates behavioral, nutritional, and medical components, is available through both licensed treatment providers and company managed PROMETA® Centers. Hythiam does not practice medicine or manufacture, distribute, or sell any medications and has no relationship with any manufacturers or distributors of medications used in the PROMETA® Treatment Program. For further information, please visit www.hythiam.com.
Forward-Looking Statements
Except for statements of historical fact, the matters discussed in this press release are forward looking and made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect numerous assumptions and involve a variety of risks and uncertainties, many of which are beyond the company’s control that may cause actual results to differ materially from stated expectations. These risk factors include, among others, limited operating history and lack of statistically significant formal research studies, the risk that treatment programs might not be effective, difficulty in developing, exploiting and protecting proprietary technologies, intense competition and substantial regulation in the healthcare industry; and additional risks factors as discussed in the reports filed by the company with the Securities and Exchange Commission, which are available on its website at http://www.sec.gov.