Wound Management Sells Non-Core Subsidiary; Intends to Focus on CellerateRX and Medical Device Business
FORT WORTH, Texas, Feb. 7, 2012 /PRNewswire/ — Wound Management Technologies, Inc., (OTCQB: WNDM | WNDM.PK), an emerging innovator in advanced wound care solutions, today announced that it has sold its wholly-owned subsidiary, Secure eHealth, LLC (“Secure eHealth”), to two entities that previously financed the acquisition of Secure eHealth by WMTI in January 2010. In consideration thereof, the two entities agreed to cancel approximately $213,000 principal of, and accrued but unpaid interest on, promissory notes owed by Wound Management to such entities. In addition, as a condition of such transaction, three holders of promissory notes of Wound Management aggregating $300,000 in principal amount, agreed to the assignment of such promissory notes to Secure eHealth. In total, over $500,000 in debt was removed from the balance sheet of Wound Management.
Company Refocusing on CellerateRX and Medical Product Sales
Wound Management purchased Secure eHealth in January 2010 with the expectation that its secure messaging technology would be a complementary fit with its medical technology divisions.
“The divestiture of Secure eHealth is an important step forward for Wound Management as we focus on concentrating our efforts on marketing CellerateRX and other medical products,” said Chairman and CEO Scott Haire. “This transaction also removes significant debt from our balance sheet, which will strengthen the Company for future growth.”
About Wound Management Technologies, Inc.
Wound Management Technologies, Inc. is an emerging commercial stage company with its primary products in the $5B worldwide advanced wound care market. Wound Management’s primary focus is the distribution of its unique, patented collagen product, CellerateRX®, which is FDA cleared and reimbursable under Medicare Part B. Wound Management has other advanced biotech products in development including a patented resorbable bone wax line that is in late stages of development. More information can be found on the company’s web sites: http://www.wmgtech.com and http://www.celleraterx.com.
Safe Harbor Statement:
The statements in the press release that relate to the company’s expectations with regard to the future impact on the company’s results from new products in development and any other statements not constituting historical facts are “forward-looking statements,” within the meaning of and subject to the safe harbor created by the Private Securities Litigation Reform Act of 1995. Since this information may contain statements that involve risk and uncertainties and are subject to change at any time, the company’s actual results may differ materially from expected results. This document may contain forward-looking statements concerning the Company’s operations, current and future performance and financial condition. These items involve risks, contingencies and uncertainties such as product demand, market and customer acceptance, the effect of economic conditions, competition, pricing, the ability to consummate and integrate acquisitions, and other risks, contingencies and uncertainties detailed in the Company’s SEC filings, which could cause the company’s actual operating results, performance or business plans or prospects to differ materially from those expressed in, or implied by these statements. The Company undertakes no obligation to revise any of these statements to reflect the future circumstances or the occurrence of unanticipated events.
For Wound Management Technologies Shareholder Information please call (917) 974-9872 or visit http://www.wmgtech.com
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SOURCE Wound Management Technologies, Inc.