TCG Successfully Completes Partial Exit of Investment in Magceutics, Inc.
TCG Press Release
May 9, 2013
LOS ANGELES - Transworld Capital Group (TCG) is pleased to announce its recently completed partial exit of its investment in Magceutics, Inc., a portfolio company of TCG. The purchaser is an affiliate of current strategic investor of Magceutics, Inc., Shenzhen Leaguer Sensory (LiHe) Venture Capital, a well-known fund headed by renowned Chinese inventor and tech venture capitalist Dr. Feng Guanping, the Founder and former President of the Research Institute of Tsinghua University in Shenzhen.
Following more than twenty five years of research at MIT and Tsinghua University, Dr. Liu Guosong, Founder and CEO of Magceutics, and Mao Fei, Co-Founder, have discovered a compound called magnesium l-threonate, which has demonstrated its effectiveness in enhancing memory and cognitive function of healthy people and potentially treating Alzheimer's disease. After obtaining self-affirmation as GRAS in 2011, Magceutics formally launched magnesium l-threonate as a nutraceutical product under the brand name Magtein™. The compound has shown impressive traction in the market among consumers, with an estimated 100,000+ users having purchased Magtein™-based products as of October 2012 as reported by Nature. Magtein™ is currently available through a number of well-known nutraceutical brands including Life Extension and Swanson's and through outlets such as the Vitamin Shoppe and a large array of online stores including Walmart.com and Amazon.
“TCG became a shareholder of Magceutics in 2010 and has been assisting in raising capital, negotiating strategic partnerships and building the company since then. We are pleased to sell some of our shares to LiHe, which will play an important role in helping Magceutics obtain necessary government approvals for commercial sale in China,” said Jack Z. Chen, TCG Founder and CEO former board member of Magceutics. Also commenting on the transaction, Dr. Feng Guanping stated: "We are bullish about Magtein™'s prospects in China and would like to thank the TCG team for their diligent work in helping build Magceutics from an R&D start-up to a profitable company."
Magceutics is a biopharmaceutical company engaged in developing products for improving human memory and learning, and for the treatment of cognitive declines associated with aging, mild cognitive impairment (MCI) and Alzheimer's Disease (AD). The Company's technology is based on the groundbreaking research of Professor Guosong Liu, initiated while he was at the Massachusetts Institute of Technology (MIT). Based on his work in understanding basic neural mechanisms of synaptic density underlying learning and memory, Magceutics was founded to design and develop products for the treatment of memory associated disorders. The Company has identified a proprietary compound, magnesium l-threonate, that is safe and, as demonstrated by extensive preclinical testing, is highly effective in improving memory functions of healthy rats, aging rats and transgenic AD mice. For more information, please visit www.magceutics.com.
About Transworld Capital Group
Transworld Capital Group is a financial advisory and investment firm specializing in cross border transactions between the Western World and Greater China. The company advises both on M&A and capital-raising transactions as well as partnerships to help businesses access the China market. More information can be found at www.transworldgroups.com.