Aurora Imaging Technology Closes $10 Million Preferred Stock Sale to Pharos Capital Group.

NORTH ANDOVER, Mass. -- Aurora Imaging Technology, Inc. (Aurora) announced today the sale of $10 million of Series C Preferred Stock to two equity funds managed by the Pharos Capital Group (Pharos Capital Partners II and Pharos Capital Partners II-A). Aurora will use the new capital to expand selling

and marketing activities both nationally and internationally in commercialization of the Aurora 1.5T Dedicated Breast MRI System with Bilateral UltraRODEO(R). Aurora manufactures the only breast MRI system designed specifically and exclusively for breast imaging optimized to detect and diagnose breast cancer.

"As our product gains wider acceptance, coupled with the dramatic growth the Company is experiencing, we enthusiastically welcome the new equity from the Pharos Capital Group to enable us to take advantage of the many attractive business opportunities to build long term partnerships with our customers," said Olivia Ho Cheng, President & CEO of Aurora. "We appreciate Pharos Capital Group's investment philosophy of active and value added participation with management beyond the dollars invested."

"We are deeply impressed with the level of commitment, energy and focus the Aurora team has to pursue early and accurate breast cancer detection," said Michael Devlin, Managing Partner of Pharos Capital Partners. "The Aurora MRI System is both innovative and timely and we believe it should and will become the standard of care for the high-risk breast cancer population, making a significant impact in saving lives."

MRI is a more definitive tool in the continuum of care to detect and diagnose breast cancer. The Aurora System is the only fully integrated MRI designed specifically and exclusively to image the breast and is optimized for breast imaging and interventional procedures. Some of the proprietary and distinguishing features of the Aurora System include: a unique shimming of the magnet that changes the area of image uniformity to an ellipsoid providing the possibility of full image coverage of the breasts, the chest wall and the lymph nodes or axilla; a specially designed gradient coil with very high linearity or accuracy to meet the specific requirements of breast imaging; a patient-handling table that provides comfort for the patient and procedural utility; a fully integrated Interventional System for MRI guidance of biopsies and interventional therapy; and the user-friendly AuroraCAD(TM) computer-aided image display system designed to improve the accuracy and efficiency of radiologic interpretations. Aurora offers a complete solution for breast MRI and MRI-guided interventional procedures.

The Aurora System is designed to be located within a breast care center where it is readily available to specialized physicians and their patients. As a diagnostic tool, the Aurora 1.5T Dedicated Breast MRI System with Bilateral UltraRODEO is ideal for a wide range of indications in breast disease management including, but not limited to:

--Detecting or excluding the existence of cancer in higher risk women

--Characterizing indeterminate clinical or mammographically detected abnormalities

--Determining the extent of cancer for treatment planning

--Detecting occult cancer

--Evaluating patients for residual disease following surgery

--Monitoring cancer response and the extent of residual disease after neoadjuvant chemotherapy

--Evaluating implant integrity and detecting cancer in women with breast augmentation

About Aurora Imaging Technology, Inc.

Aurora (www.auroramri.com) is a private company based in North Andover, Massachusetts committed to expanding the fight against breast cancer. We are committed to the manufacture of the highest quality and most cost-effective breast MRI solutions in partnership with the nation's finest breast care centers to provide the ultimate in the detection, diagnosis, biopsy and treatment of breast cancer. The Aurora System is in clinical use at a growing number of leading breast care centers.

About Pharos Capital Group

Based in Dallas and Nashville, Pharos Capital Group (www.pharosfunds.com) has approximately $500 million in capital under management. Pharos primarily invests $10 to $20 million in companies seeking later stage equity funding for internal growth, acquisitions, management buyouts or recapitalization across industry sectors, with particular focus on healthcare, business services and technology.