NEWS RELEASE - For Immediate Release

Celsense, Inc. Completes $625,000 Series A Funding

August 14, 2006 - Pittsburgh, Pennsylvania

Celsense, Inc, a leading developer of molecular and cellular solutions, today announced successful completion of a Series A financing of $625,000 with a syndicate of private investors. The round was originally intended to close at $500,000, but the financing increased to due to investor demand. In addition, $140,000 of Convertible Notes issued in connection with the company’s licensing activities were converted into the new Series A securities. “We are excited by the market response to our offering and the validation of the strategic direction for our product and technology set,” said Charlie O’Hanlon, Chief Executive Officer of Celsense.

About Celsense, Inc. Celsense is a Pittsburgh based biotechnology company offering products that enable the real-time in vivo imaging of the administration of cells transplanted for therapeutic and diagnostic purposes, using conventional MRI. The mission of the company is to be the worldwide leader in anticipating and meeting the needs of developers of therapeutics to image transplanted cells and gene expression in vivo.

Contact Information:

Charlie O’Hanlon, President and CEO
Celsense, Inc.
(412) 263-2870