Medbox founder to fund company expansion
Medbox, Inc. has announced that the company’s founder and senior consultant, Vincent Mehdizadeh, will fund the necessary capital to expand operations and close identified target acquisitions for a total target infusion into the company of $30,000,000 over a 12 month period.
The company says it has identified a strategy with Mehdizadeh to fund expansion while minimizing dilution to shareholders. Mehdizadeh will begin liquidating shares of Medbox common stock, in accordance with applicable securities law requirements, into the public marketplace as soon as the shares are designated as eligible for sale by a clearing firm.
The company has also announced that it will not be making a public offering of shares, as reported previously in BiometricUpdate.com. Instead, Medbox will file a Form 10 registration statement with the SEC during the first quarter of 2013 to achieve its goal to become a fully reporting company.
Medbox is a manufacturer of automated and biometrically controlled dispensing and storage systems for medication and merchandise and has seen growing interest in the last year in particular.
“Looking back when my concept was just an idea of creating a technology that would bring compliance and transparency to the medical marijuana industry, I am humbled and have a great deal of gratitude to our Medbox clients and also our shareholders for allowing me to bring a product to market and have it achieve such amazing worldwide recognition,” Vincent Mehdizadeh , Founder and Senior Consultant at Medbox, Inc. said. “The success of Medbox has given me the opportunity to give back to the company by using this financing strategy and I welcome the opportunity to do so in order to once again demonstrate the visionary thinking that led to the creation of Medbox in the first place. I believe this progressive and investor-focused approach unlike ‘business as usual’ policies are the path to ensuring operational success.”
As reported previously in BiometricUpdate.com, Medbox recently filed a Patent Cooperation Treaty application on its patent pending storage and lockbox system, The Lockbox RX, extending the time for the company to file foreign patent applications until 2014.