March 15, 2013 -
Medbox has announced that it will acquire a 50% partnership stake in MedVend, LLC, a Michigan based bio-tech company that has developed a patented automated medicine dispensing machine used for traditional prescription pharmaceutical dispensing.
This deal has involved cash and a restricted stock component, totaling up to US$ 5,150,000. This amount includes a $300,000 capital infusion and additional loans if needed for operating expenses into a jointly controlled new corporation that will operate the business on a going forward basis. Besides infusion capital and other such loans, any equity payments included within the deal may be paid in case or issuance of restricted MDBX common stock, after one year from execution.
“MedVend adds a piece of the puzzle that Medbox was missing in the traditional medicine dispensing sector. The ability to label medications, video conference with pharmacists, have video confirmations in real-time as to the exact medication dispensed and to whom, is truly the future of convenience and accuracy in a traditional pharmaceutical setting,” Dr. Bruce Bedrick , CEO of Medbox, Inc. said. “We were fortunate to add MedVend and its valuable patent to our ever expanding portfolio of patents and companies. MedVend needed expansion capital and Medbox answered their request. Now we are a team.”
According to the company, MedVend’s Automated Medication Dispenser is a remote pharmact that dispenses medication. Each AMD is located in convenient locations such as the lobby of a physician’s office, urgent-cares, hospitals and pharmacies. The AMD uses state-of-the-art video and e-scripting technologies to provide patients with remote, face-to-face consultation with a pharmacist and to have their prescriptions medications filled in less than one minute. There is also a phone embedded into the AMD, and users can connect with a pharmacist on screen, via two-way video conferencing.
MedVend has already passed beta testing and currently has several machines in the field. The company is currently working with several large hospital groups and anticipates further deployments by the end of 2013.
Reported previously in BiometricUpdate.com, Medbox has also recently acquired an equity stake in and entered into a licensing agreement with Bio-Tech Medical Software, Inc.
Recently, Medbox’s founder and senior consultant, Vincent Mehdizadeh announced that he will fund the necessary capital to expand operations and close identified target acquisitions for a total target infusion into the company of $30 million of a 12-month period.
Also previously reported in BiometricUpdate.com, Medbox saw its stock price rise over 3000% after being featured in an article on how to invest in legalized marijuana from 2012. Since then, the company has revised its financial projections for the period through 2016. The revised projections show over $6 million in increased revenue for fiscal year end 2013, with subsequent increases throughout the next 3 years, culminating in a leap from initial projections of $48.6 million by end of fiscal year 2016 – up to a hefty $72.7 million.