| InforMedix Signs Term Sheet Agreement for Manufacturing Line of Credit to Fund New Order Flow |
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| Monday, 07 November 2005 | |
InforMedix Signs Term Sheet Agreement for Manufacturing Line of Credit to Fund New Order Flow
Dr. Bruce Kehr, InforMedix's chairman and CEO, said, "The Med-eMonitor System, InforMedix' patent-protected device for improving medication and plan adherence and reducing costs in disease management and clinical drug trials markets, has consistently achieved medication and care plan adherence rates of greater than 90% in a variety of clinical settings, as published in peer-reviewed medical journals. As the device is gaining traction in the disease management marketplace, it requires the need to manufacture additional Med-eMonitor devices as our sales pipeline builds. CMI's line of credit should enable us to meet these manufacturing needs, at a reduced cost-per-unit, without tapping into equity capital. This provides for less shareholder dilution and increased financial resources for sales and marketing activities." Vincent Sedmak, Managing Partner of CMI, stated, "Our continued financial support of InforMedix represents our vote of confidence in the Company's substantial progress. The effectiveness of the Med-eMonitor System has been scientifically validated by independent third party academic medical centers, and is built upon a solid IP foundation that impressed me several years ago when I arranged for three patent-collateralized financings for the Company. Now that a finished product is entering the commercial marketplace, we are pleased to be able to finance the manufacturing, and arrange for reduced manufacturing costs." John C. Ramig, President of Global Trade Advisors, said, "We are excited to be working with InforMedix to provide high quality, low cost manufacturing of its Med-eMonitor System in Asia." An experienced CEO who successfully established manufacturing facilities in Asia and product distribution throughout Western Europe, Ramig stated that "GTA is committed to providing a seamless supply chain to support InforMedix's Med-eMonitor sales growth." InforMedix has developed the Med-eMonitor System as the Medication Adherence Solution for disease management and clinical drug trial markets. InforMedix has integrated a portable patient-interactive monitoring device, hardware, software and networked communications system to enable disease management programs, pharmaceutical and biotechnology companies, and medical researchers to efficiently monitor and manage patients' medication compliance, protocol adherence, clinical response, and drug safety. Med-eMonitor is specifically designed to improve patient medication compliance and protocol adherence in clinical drug trials and disease management programs. The Med-eMonitor System leverages InforMedix's strong intellectual property consisting of 15 issued patents and 12 patents pending. InforMedix's patents have been cited as prior art by patent examiners in over 150 other issued patents. To find out more about InforMedix, Inc. (OTCBB: IFMX), visit our website at www.informedix.com. This press release contains "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are subject to the safe harbors created thereby. These statements include: the sales pipeline building for the Med-eMonitor System; the device is gaining traction in the disease management marketplace, requiring the need to manufacture additional Med-eMonitor devices as our sales pipeline builds; and the CMI line of credit enables InforMedix to meet its manufacturing needs. References made to the discussion of the risk factors are detailed in the Company's filings with the Securities and Exchange Commission, including our Annual Report on Form 10-KSB for the year ended December 31, 2004, our prospectus dated March 28, 2005 and our other filings with the U.S. Securities and Exchange Commission. These forward-looking statements are made only as of the date hereof, and we disclaim any obligation to update or revise the information contained in any such forward-looking statements, whether as a result of new information, future events or otherwise. For additional information about the Company, please contact: Contact: |
ROCKVILLE, MD, (NAMC) - InforMedix Holdings, Inc. (OTCBB: IFMX) announced today that it has entered into a term sheet agreement with CMI Financial Corporation (CMI), a private investment fund, for a manufacturing line-of-credit of up to $2.25 million. Proceeds from the proposed financing will be used to fund the manufacturing of additional Med-eMonitor System devices as the sales pipeline builds, which frees up equity capital originally allocated to manufacturing to support sales and marketing and general corporate purposes. CMI has also arranged for reduced manufacturing costs per Med-eMonitor device through its partnership with Global Trade Advisors (GTA), a wholly owned affiliate of Hagen O'Connell, LLP. GTA specializes in offshore manufacturing in Asia, offering InforMedix a turn-key service that allows rapid deployment of offshore manufacturing and supply chain logistics, at minimal cost and risk. Vincent Sedmak, Managing Partner of CMI, was instrumental in creating innovative, IP-collateralized promissory notes that financed the Company earlier in its history. CMI will receive quarterly interest payments and warrants on amounts drawn down.
