This agreement establishes MedX as the exclusive provider of low level laser and light technology to Naimco/Rich-Mar and will allow MedX Health to sell components to Naimco/Rich-Mar that will enhance its product line. MedX will have master distributor rights to market MedX/Rich-Mar products in all markets & countries, except those U.S. and Canadian customers primarily engaged in Rehabilitation, Physiotherapy and or Chiropractic medicine and therapy. In addition, MedX will have exclusive rights in Dental, Veterinarian, Aesthetics/Plastic Surgery & Dermatology to market MedX/Rich-Mar products. MedX expects to see increased revenue from this partnership as early as Q4 of 2008.
Under this comprehensive agreement, the two companies will cooperate in the exchange of products and components to create an improved line of energy-derived medical devices. MedX will also develop and produce for Rich-Mar an advanced system that will help healthcare providers identify the optimum treatment target for best results.
"This strategic partnership is a winning formula. It allows each company to benefit from the strengths of the other in the form of scientific and design expertise, improved products and expanded distribution channels that will increase revenues and benefit patients globally," states Steve Guillen, president and chief executive officer of MedX. "This is a very exciting time for MedX as we continue to identify opportunities to expand our market reach and our revenues without the associated development, acquisition, technology transfer or licensing costs. And, through the integration of our low level laser technology into Naimco/Rich-Mar devices that contain ultrasound and/or electrical stimulation, we gain a larger user base and reinforced reimbursement codes."
"We are very excited about the enormous sales potential this new relationship will present to each company," states Bob Thompson, chief executive officer of Naimco/Rich-Mar. "Naimco/Rich-Mar has one of the largest distribution channels in the US rehabilitation market and a well-respected reputation in the ultrasound and electrical stimulation product area. In addition to the enhanced and comprehensive product line we can now offer patients for accelerated tissue repair and pain relief, partnering with MedX provides Naimco/Rich-Mar with the scientific know-how to design the next generation of energy products such as the highly advanced AIM system. In addition, Naimco/Rich-Mar expects to realize significant gains in the U.S. long-term care, home health, and nursing home markets through our co-marketing agreement with MedX."
Both companies expect to expand upon this initial agreement in 2009 to include future investment of both cash and products in this joint venture.
About MedX Health Corp.
MedX is a leading North American developer and manufacturer of low level laser and light medical devices, including dental, rehabilitation and wound care products. MedX is the world's only company focusing on developing and delivering a broad cross-section of technologies and products involved in healing using light therapy. MedX is committed to advocating for and bringing the non-invasive, drug-free healing nature of light to people seeking relief from pain and other physical ailments.
MedX is expanding its distribution network and marketing program globally through strategic partnerships, while continuing to develop and acquire new dental, rehabilitation and wound care products. In particular, MedX plans to accelerate the development of a new product aimed at the rapidly-growing wound care market. "Photobandage" is a new technology that allows a wound to be bathed in light and is designed to enhance the healing process. The Company intends to license this new technology to one or more major wound care companies for further development, marketing and commercialization.
About Naimco/Rich-Mar
Rich-Mar has been the leader in innovative and advanced ultrasound, electrotherapy, and light therapy modalities for over 30 years. Rich-Mar was acquired by Naimco Medical in 2007 to form the new company, Naimco/Rich-Mar. Chattanooga-based Naimco Medical is a manufacturer of medical equipment for rehabilitation and Physical Therapy including: Portable Ultrasound and Electrotherapy equipment, Heating Units, Hot and Cold packs (for clinical hot and cold therapy), Lotion and Gel Warmers, Digitally Controlled Dry or Moist Heating Pads, Self-Adhesive Electrotherapy Electrodes, Transcutaneous Electrical Nerve Stimulators (TENS), Neuroelectrical Muscle Stimulators (NEMS) and the IONTO+Plus buffered iontophoretic drug delivery system. Naimco Medical specializes in private label manufacturing. Additional information is available by contacting Naimco Medical directly. On the web find Naimco Medical at www.Naimco.com.
About Low-Level Laser Therapy (LLLT)
For more than 35 years, LLLT has been used in Europe, Australia, Asia and Russia for the treatment of pain and tissue repair. LLLT was approved in Canada in 1999 and in the United States in 2002. LLLT uses a specific type of light to penetrate the skin's surface and underlying tissues to stimulate the body's natural repair processes. The result is faster healing and reduced pain, swelling and inflammation.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this press release.
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Such forward-looking information may include statements regarding the Company's future plans, objectives, performance, growth, profits, operating expenses or its underlying assumptions. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "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 information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of MedX to be materially different from those expressed or implied by such forward-looking information, including uncertainty of successful development of new products, uncertainty of successful manufacturing or marketing of products, uncertainty of commercial acceptance of products, uncertainty concerning governmental regulation, dependency on key employees and relationships, rapid technological changes, foreign currency fluctuations. MedX does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
Source: MedX Health Corp.
