Mar 18 2010
Med Gen Inc. (Pink Sheets: MDIN) today announced that it has signed a deal with the N.I.R. Group, LLC to fund the new direction of the company and its operations by providing up to $1.25 million dollars. The funding terms outline an immediate cash infusion of $100,000 in two separate payments of $50,000 and an additional $1.25 million dollar line of credit which the company can draw upon monthly. The credit line is in the form of convertible debentures and will allow the company to invest in marketing and advertising campaigns as well as additional personnel and infrastructure expansion.
"I hope this demonstrates to investors that we are serious about building a solid national business brokerage company that will lead the market in this very lucrative industry," said Raymond Barton, Med Gen's CEO. "This will allow us to dominate the fractionalized business broker industry and emerge as a clear leader in today's favorable economic climate for business brokering."
Details of the funding agreement will be filed with the SEC in an 8K currently being prepared. The company is also working on preparing information necessary for their audited financials which will provide a clearer picture of Med Gen's financial position as their filings are brought up to date. "It is our intention to continue as a fully reporting company and we are dedicated to building a solid foundation for our shareholders," added Med Gen's CFO, Timothy Schmidt.
Med Gen Inc. went public in 1997 and distributed health related products. Business wound down in 2008 but was recently revived earlier this year through its wholly owned subsidiary, NorthStar Business and Property Brokers, Inc., a private company engaged primarily in business brokering.
SEC rules prohibit the disclosure of certain information to individuals, so investors are encouraged to review company filings and to watch for future press releases. Med Gen would like to assure its shareholders that further information and exciting news is imminent.
SOURCE Med Gen Inc