BioCorRx Inc. (BICX)

[fast.money]

BioCorRx, Inc. Announces Reinstatement of Letter of Understanding to Acquire Naltrexone Implant Formula for Treating Addiction

http://finance.yahoo.com/news/biocorrx-inc-announces-reinstatement-letter-120000788.html

Los Angeles, March 18, 2015 (GLOBE NEWSWIRE) -- BioCorRx, Inc. (BICX), developer of the Start Fresh Program(R) used for the treatment of alcohol and opioid dependence, announces the reinstatement of the letter of understanding (LOU) to acquire Trinity Rx Solutions and all of its formulas. The list of formulas includes the naltrexone pellet formula that is used to make the implant for which the Company currently has exclusive use rights in the U.S. and abroad (excluding Australia and New Zealand). The LOU has been reinstated with the understanding that the parties will close on a definitive agreement by the end of the year.

In November 2013, President Obama signed the Drug Quality and Security Act, which changed the compounding laws to allow a new type of compounding pharmacy to be established. These compounding pharmacies, called "outsourcing facilities," will fall under federal oversight presumably resulting in greater patient safety. The new law was the result of a deadly meningitis outbreak caused by a New England compounding pharmacy in 2012.

When and if the formulation is acquired from Trinity Rx Solutions, BioCorRx, Inc. intends to acquire one of these outsourcing facilities so that the Company can take control over production and supply of the naltrexone implant used in the Start Fresh Program. Currently, BioCorRx, Inc. has exclusive, perpetual rights to the implant, but does not own the formula. Ownership of the formula is expected to create better efficiencies for the Company. If additional formulas controlled by Trinity Rx Solutions are acquired, the Company plans to produce and market those formulas to treat their respective healthcare issues. These other formulas include compounds for treating health issues such as erectile dysfunction, smoking addiction, chronic pain, and more.

"We are very pleased that Trinity agreed to reinstate this letter of understanding. Our interests are aligned and both sides want to make this happen. The acquisition plan was shelved last year due to a focus by the Company on expansion of the Start Fresh Program's availability and cash flow. Owning the naltrexone implant formula and other formulas, while not paramount, is expected to bring down hard costs, streamline processing of orders, and create new revenue streams in the future by helping people with other health related problems outside of alcohol and opioid addiction," stated COO and interim CEO Brady Granier.