MEDD.. $0.07.. I saw this release a month ago and have been on the bid since.. Since it trade thin and few shares have come in I bought a few today at the offer.. The funding and ownership of 2 more imaging centers will triple Medds's revenues and should INCREASE Medd's cash flow parabolic.. I think it is a speculation worth owning.. If anyone has had an MRI lately one would know the overbooking of each facility and even open on weekend in most places.. hank
On October 31, 2014, Medical Imaging Corp. (the “Company”) sold to Grenville Strategic Royalty Corp. (“Holder”) a gross royalty on the revenues of the Company (the “Royalty”) for the principal amount of $2,000,000. The Royalty requires a monthly payment equal to a specified percentage of the Company’s revenue for the previous month, subject to certain minimum payments. The Holder has an option, but no obligation, to purchase one or more additional Royalties from the Company, subject to the Company’s approval, for up to an additional $1,000,000, which would increase the royalty payments proportionately.
Proceeds from the Royalty were used primarily to finance the acquisition entered into by the Company on August 28, 2014 (see Item 2.01 below) with the remainder as for general working capital purposes.
Item 2.01 Completion of Acquisition or Disposition of Assets.
On October 31st, 2014 the Company completed acquisitions of three separate facilities located in the Venice, Port Charlotte and Naples, Florida areas (as announced on September 2, 2014). The acquisitions were made in each instance by acquiring the limited liability company which owned the physical assets of the facilities, consisting principally of the imaging related equipment, and the facility leases. Separately, the Company engaged operating personnel for each facility, which are both direct employees and contract personnel. Day to day operations will be handled by managerial and dedicated staff at each facility, however, billing and certain other operational activities will be centralized at the Company’s Dallas, Texas office. Because the facilities are located in separate communities, each facility will draw upon its current and expand its own regional base of referral physicians and patients. The Company has obtained for each facility a separate Medicare billing number to enable each facility and subsidiary of the Company to bill separately. Each facility also will establish its own contracts with various private insurance payors.
Each of the facilities provides a different range of services. Partners Imaging of Naples provides MRI and CT services. Partners Imaging of Port Charlotte provides MRI services. Partners Imaging of Venice provides MRI, CT, PET, X-ray and Ultrasound services.
The aggregate acquisition price was $1.8 million, for all the outstanding membership interests of each of the three limited liability companies acquired.
Due to the relative size of each of the acquisitions to the Company as a whole, financial statements are not being presented in this 8-K report.
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Medical Imaging Corp., is a public company trading on the OTCQB under the stock symbol MEDD. The Company is focussed on acquiring medical imaging businesses that demonstrate a stable financial history.
Through its operating subsidiaries, Medical Imaging Corp. provides imaging services that include MRI, CT, and X-ray for in clinic scans and radiology reports, as well as remote radiology services for rural hospitals.
Focused on community building, MEDD works with local healthcare practitioners to ensure we are meeting the demands of today's patients. We pride ourselves on an ability to be flexible, modern, competitive, and professional at every facet of our business.
With additional acquisitions, Medical Imaging Corp., will look to create opportunities to increase revenue and EBITDA. We will nurture existing business while seeking out ways to streamline costs companywide.
