Medworxx Solutions Inc. announces a Letter of Intent for the entering into of a new $1 million credit facility
TORONTO, July 5 /CNW/ - Medworxx Solutions Inc (the "Company", or "Medworxx") (TSX VENTURE: MWX) today announced that it has entered into a new US $1 million credit facility with Silicon Valley Bank, a member of SVB Financial Group. The Company intends to use the proceeds of this new facility to pay off its existing credit facility with Royal Bank of Canada, and for general working capital purpose.
"We are very pleased to be working with Silicon Valley Bank and are looking forward to putting this additional capital to work in our business", said Domenic Crudo, CFO of Medworxx.
Interest payable on advances will be between 7.75% and 11.3%, calculated based upon ratios for monthly financial reporting provided to the lender, and estimated by management to be approximately 9% annually, The new facility will be secured by a first priority security interest over all assets of the Company.
Medworxx is a Toronto-based software company focused exclusively on solutions for the North American healthcare marketplace. Medworxx provides healthcare solutions for patient flow, compliance and education. Its software comprises an integrated suite of solutions, including content management, learning management, policies and procedures, utilization management, bed optimization, single sign on, portal, and emergency readiness solutions.
Medworxx started business in May 2004 in Ontario with 3 employees and has since grown to over 35 employees. Medworxx' executive team consists of experienced sales, marketing, software development, healthcare, and finance personnel. Medworxx currently has a customer base of approximately 100 healthcare organizations representing more than 300 hospitals and 500,000 end users who are distributed approximately 70% in Canada and 30% in the United States. Medworxx' customers use its software platform to increase competency, reduce redundancy, reduce costs, and simplify distribution of knowledge to staff and patients, creating a net effect of increased efficiency and improved patient safety and care.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Statements ----------------------------------------------------
This press release contains forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "estimates", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors, such as competition, technological changes, the changing needs of hospitals, the financial condition of the Company's current and potential customers, foreign currency exchange rates, as well as general economic conditions, which may cause the actual results, performance or achievements of the Corporation and Medworxx to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this press release. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
%SEDAR: 00024567EFor further information: Medworxx Solutions Inc., Dan Matlow, President & Chief Executive Officer, (416) 642-1278, Email: firstname.lastname@example.org; Domenic Crudo, Chief Financial Officer, (416) 642-1278, Email: email@example.com