Cryo-Cell International

Cryo-Cell International, Inc. is a United States-based cord-blood banking company headquartered in Oldsmar, Florida, near Tampa. Founded in 1989 by Dan Richard, the company built its business around the collection, processing, and long-term cryopreservation of stem-cell-containing material obtained from umbilical cord blood and cord tissue. It is described as the first private cord-blood bank to separate and store stem cells, placing it among the early commercial participants in the private cellular-storage industry. The company’s core service is arranged around childbirth. Expectant parents may enroll before delivery, receive collection materials, and arrange for umbilical cord blood and, where available, cord tissue to be collected at birth. The samples are then transported to Cryo-Cell’s processing and storage operation, where they are prepared and preserved for possible future transplantation or other medically relevant applications. Cord-blood banking is marketed as a form of biological preservation rather than as a guaranteed treatment; the eventual usefulness of a stored sample depends on medical eligibility, cell quality, disease characteristics, and the state of clinical science. Cryo-Cell has also developed capabilities beyond conventional cord-blood storage. Its stated services include cryopreservation of umbilical cord blood and cord tissue, and the company has patented a process for processing endometrial stem cells obtained from menstrual blood. The business has therefore combined a consumer-facing newborn-storage service with laboratory processing and biobanking activities. Its facility is described as registered with the United States Food and Drug Administration and compliant with current good manufacturing practice and current good tissue practice requirements. The company has also been associated with accreditation by the American Association of Blood Banks, FACT accreditation, and ISO 9001:2008 certification by the BSI Group. These regulatory and quality credentials are important to its positioning because customers entrust the company with biological specimens intended for long-term storage. Cryo-Cell became a publicly traded company in January 1997, when its stock began trading on the NASDAQ Small Cap market under the symbol CCEL. Its history has included commercial litigation involving the University of Arizona, a patent dispute brought by PharmaStem and other parties in the cord-blood sector, and a shareholder-governance dispute that resulted in a court-ordered special meeting and a later change in the board of directors. The available reference material does not establish a current executive roster, ownership structure, or detailed present-day geographic footprint beyond the company’s United States base and international orientation.

Cryo-Cell International was founded in 1989 by Dan Richard as a private cord-blood banking enterprise. Its early significance came from treating umbilical cord blood as a source of hematopoietic stem cells that could be separated, processed, and preserved for potential future medical use. The company is identified as the first private cord-blood bank to separate and store stem cells, making its founding period part of the formative stage of the commercial cord-blood-storage sector. In 1992, Cryo-Cell entered into an agreement with the University of Arizona. Under the arrangement, Cryo-Cell was to supply advanced cord-blood-storage equipment and use its best efforts to help expand the university's cord-blood bank. The relationship later became the subject of litigation. In July 1998, a California Superior Court jury awarded Cryo-Cell $1.05 million for breach of contract and entered a further $120,000 judgment against the university and David Harris concerning the alleged improper transfer of customer lists that Cryo-Cell had helped compile. The jury unanimously rejected the university's cross-complaint. The company became publicly traded in January 1997, when its shares began trading on the NASDAQ Small Cap market under the symbol CCEL. Public-company status gave Cryo-Cell access to capital markets while also exposing it to shareholder oversight and governance disputes. The company continued to develop a service model based on the collection, processing, and cryogenic storage of umbilical cord blood and cord tissue. Cryo-Cell was also one of eight United States cord-blood companies sued by PharmaStem in 2002 over alleged patent infringement. A 2003 judgment awarded $7.1 million in damages against Cryo-Cell and three other defendants. The legal outcome subsequently changed substantially: in December 2004, a federal judge in Delaware reversed the last remaining portion of the judgment, and the Federal Circuit Court of Appeals held that the asserted claims were invalid. The United States Patent and Trademark Office then cancelled the claims involved in the litigation. During the 2000s, Cryo-Cell's activities included not only cord-blood and cord-tissue cryopreservation but also work connected with other stem-cell sources. The company patented a method for processing endometrial stem cells derived from menstrual blood. Its operating infrastructure has been described as FDA registered and compliant with current good manufacturing and tissue-practice standards. The company has also been associated with American Association of Blood Banks accreditation, FACT accreditation, and ISO 9001:2008 certification by the BSI Group. Corporate governance became a major issue in the late 2000s. In 2008, litigation brought by Portnoy resulted in a finding that the incumbent board had committed serious breaches of fiduciary duty by tampering with a shareholder election and blocking an attempted board replacement. The court ordered a special shareholders' meeting. In August 2011, a Portnoy-led group won a proxy fight, replacing the company's board. The available reference material does not provide a complete account of subsequent management, ownership, financial performance, or current operating scale. Cryo-Cell remains characterized by its cord-blood banking and biological-storage activities, with its headquarters in Oldsmar, Florida.

• 2011

  Board replaced after proxy contest

  [1]Cryo-Cell Internationalen.wikipedia.org

  A Portnoy-led shareholder group won a proxy fight that replaced Cryo-Cell's board.

• 2008

  Court orders a new shareholder election

  [1]Cryo-Cell Internationalen.wikipedia.org

  A court found serious fiduciary-duty breaches in the handling of a board election and ordered a special shareholders' meeting.

• 2004

  PharmaStem patent claims invalidated

  [1]Cryo-Cell Internationalen.wikipedia.org

  The remaining judgment was reversed and the asserted patent claims were ultimately held invalid and cancelled.

• 2002

  PharmaStem patent case begins

  [1]Cryo-Cell Internationalen.wikipedia.org

  PharmaStem sued Cryo-Cell and other United States cord-blood companies for alleged patent infringement.

• 1998

  University of Arizona litigation award

  [1]Cryo-Cell Internationalen.wikipedia.org

  A California jury awarded Cryo-Cell $1.05 million for breach of contract and entered an additional $120,000 judgment concerning customer-list transfers.

• 1997

  Public trading begins

  [1]Cryo-Cell Internationalen.wikipedia.org

  Cryo-Cell's stock began trading on the NASDAQ Small Cap market under the symbol CCEL in January.

• 1992

  University of Arizona agreement

  [1]Cryo-Cell Internationalen.wikipedia.org

  Cryo-Cell and the University of Arizona signed an agreement covering storage equipment and efforts to expand the university's cord-blood bank.

• 1989

  Cryo-Cell International is founded

  [1]Cryo-Cell Internationalen.wikipedia.org

  Dan Richard founded Cryo-Cell International as a private cord-blood banking company.

Private biological-storage and cord-blood banking specialist focused on the collection, laboratory processing, quality-controlled preservation, and long-term storage of cord blood and cord tissue.

• Biological storage service · 1989

  Cord blood banking

  Cryo-Cell collects umbilical cord blood at childbirth, processes the material to preserve its stem-cell content, and stores it under cryogenic conditions for possible future medical use. The service is intended for families seeking private preservation of a birth-derived biological sample; its clinical value depends on the sample and the eventual medical indication.

• Biological storage service

  Cord tissue banking

  The company offers collection and cryopreservation of umbilical cord tissue in addition to cord blood. The tissue is handled as a separately stored biological resource and is positioned for potential future applications as regenerative-medicine research and clinical practice develop.

• Stem-cell technology

  Endometrial stem-cell processing

  Cryo-Cell has patented a method for processing endometrial stem cells derived from menstrual blood. The reference material identifies this as a technology capability, but does not provide enough information to establish the scope of a current commercial service or product.

• 2008

  Board-election interference and fiduciary-duty findings

  In Portnoy v. Cryo-Cell International, a court found serious breaches of fiduciary duty by the incumbent board in connection with interference in a shareholder election. The court ordered a special meeting and a new election, and the dispute ultimately preceded a board replacement in 2011.

  Source

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• 2008

  Hold a court-ordered shareholder electionStrategy

  Background

  A court found serious fiduciary-duty violations connected with the incumbent board's handling of a shareholder election.

  Action taken

  The court ordered a special shareholders' meeting and a new board election.

  Aftermath

  A Portnoy-led group won a proxy contest in 2011 and replaced the board.

  Source

• 2004

  Contest the PharmaStem patent judgmentOther

  Background

  Cryo-Cell faced a patent-infringement judgment arising from PharmaStem litigation involving several cord-blood banks.

  Action taken

  The company pursued the legal challenge as the courts reviewed the asserted patent claims.

  Aftermath

  The remaining judgment was reversed, and the asserted claims were held invalid and cancelled.

  Patent-litigation damages judgment. $7.1 million judgment against Cryo-Cell and three other companies; later reversed (2003-2004)

  Source

• 1997

  Enter the public marketStrategy

  Background

  Cryo-Cell operated in a developing private cord-blood banking sector and sought access to public-market financing and visibility.

  Action taken

  The company listed its shares on the NASDAQ Small Cap market under the ticker CCEL in January 1997.

  Aftermath

  The listing made Cryo-Cell a public company and increased the importance of shareholder governance and market disclosure.

  Source

1. 1Cryo-Cell Internationalen.wikipedia.org
2. 2Cryo-Cell International official websitecryo-cell.com