The Jenex Corporation Announces Completion of Debt Settlement, Files TherOZap(TM) Device Patent and Presents at Chinese Global Financial Forum
Toronto, Ontario--(Newsfile Corp. - December 4, 2017) - The Jenex Corporation (TSXV: JEN.H) ("Jenex" or the "Company"), a progressive medical device technology company, today announces that has received both shareholder and NEX Exchange approval and accordingly has closed its debt settlement arrangements with certain insiders and former insiders of the Company and issued an aggregate of 16,008,634 common shares at a deemed price of $0.05/share to settle and extinguish an aggregate of $800,431.70 in outstanding debt owed to the creditors. All shares are subject to a hold period expiring four months plus a day after their date of issuance.
The settled debt included the issuance of 4,005,398 common shares (approx. 2.7% of the Company's issued shares) to settle $200,269.90 debt owed to Rob Fia, CEO and a director of Jenex; 1,854,600 common shares (approx. 1.2% of the Company's issued shares) to settle $92,730.00 debt owed to John Gamble, a director of Jenex; 2,350,000 common shares (approx. 1.6% of the Company's issued shares) to settle $117,500.00 debt owed to Tak Wing Law, CFO of Jenex; and 4,458,636 common shares (approx. 3% of the Company's issued shares) to settle $222,931.80 debt owed to David Woods, an insider of Jenex by virtue of his shareholdings in the Company. After completion of these share issuances, Mr. Fia now owns 10,016,344 common shares of Jenex (approx. 6.6% of the Company's issued shares); Mr. Gamble now owns 3,920,000 common shares of Jenex (approx. 2.6% of the Company's issued shares); Mr. Law now owns 3,400,000 common shares of Jenex (approx. 2.3% of the Company's issued shares); and Mr. Woods now owns 30,076,136 common shares of Jenex (approx. 19.9% of the Company's issued shares). All above-mentioned debt settlements are related party transactions as defined in Multilateral Instrument 61-101- Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Company is exempt from the formal valuation requirement of MI 61-101; however, the Company did obtain shareholder approval to these debt settlements at its recently held AGM on November 15, 2017.
Jenex would like to further report that the company has submitted a new patent application in the Patent Cooperation Treaty ("PCT") international patent system for its thermal therapy TherOZap™ device and method. Jenex is focused on innovation and continues to commit resources to strengthen its intellectual property portfolio. The technology covered by this new patent application builds on past devices which delivered heat only, and now includes devices and methods for topically delivering controlled heat and antimicrobial treatment using coatings or solutions to a treatment area. Uses of the technology include treatment of mosquito borne viruses such as the Zika virus or West Nile Virus. The new patent application also describes "smart" TherOZap™ devices utilizing Internet of Things ("IoT") capability via blue-tooth.
Jenex is well positioned to aggressively pursue market opportunities for its TherOZap™ technology which will allow for near-term commercialization of the TherOZap™ device without spending a significant amount of time and modest capital investment in research and development. The patent-pending methods also describe the application of the TherOZap™ technology to the rapidly growing medical and recreational cannabis sector, and if successful, will provide protection for topical delivery of cannabinoids and tetrahydrocannabinols in combination with the TherOZap™ device and thermal therapy and other features.
Jenex has been invited by NAI Interactive Inc., a leading expert in connecting international business opportunities to the growing Chinese markets, to present at the Chinese Global Financial Forum on Dec 7th, 2017 in Shenzhen China. Jenex will present its existing medical device products and proposed medical device target acquisitions at the conference for funding opportunities and other potential opportunities for distribution, marketing and manufacturing.
According to NAI Interactive Inc., China's outbound investment trends are highly tied to China's economy transforming into a consumer-driven market. China's consumer economy is projected to grow by $2.3 trillion, to $6.5 trillion, by 2020. The three main forces behind this transition are: the rise of the upper-middle-class and affluent households as the drivers of consumption growth; a new generation of freer-spending, sophisticated consumers; and the increasingly powerful role of e-commerce. With the size and scope of China's consumer market and demand for cosmetic based medical device solutions Jenex's products are ideal to market and sell to the Chinese marketplace. Chinese funds, enterprises and other large-scale investors have focused on outbound investments, trade sales and licensing deals as their strategic focus.
Rob Fia, CEO, commented:
"This debt settlement was the last item to markedly improve our balance sheet. Jenex has now settled or negotiated over $4.6M in long term debt and over $2M in trade payables since our team has taken over the Company. We would like to thank our shareholders who voted overwhelming in favour of the debt settlement and our debt holders who have now become valued shareholders.
Jenex is pleased to have filed the patent application for the TherOZap™ device with innovative features that in our view will distinguish our TherOZap™ device and future products from the competition as we prepare for commercialization.
Jenex is excited to present at the Chinese Global Financial Forum this week which is a great platform to identify funding sources and other strategic partners for our proposed acquisitions and marketing and distribution opportunities for our InterceptCS™ device, TherOZap™ device and new products for Acne and other cosmetic related treatment."
With the debt settlement filed Jenex has applied to graduate to the TSXV. Jenex would like to report that testing on the Zika Virus with our patent pending TherOZap™ technology is complete and the Company will report results and further data when available which is expected prior to year-end.
Jenex is a progressive medical device technology company focused on providing consumers with quality medical devices that address their dermatological needs. Clear and healthy skin for all is at the core of Jenex's philosophy as is the belief that such outcomes should not be a privilege for only those who can afford costly procedures and treatments. The Company's breakthrough proprietary technology delivers effective, non-invasive and pain free skin care.
Jenex received a Class II medical device status from the FDA for its platform technology that is indicated for the relief of the pain, itch, and inflammation from over 20,000 different insect stings and bites, (including bees, wasps, hornets, mosquitoes, black flies and jellyfish). Jenex received approval for the above claims from FDA (United States) in 1997.
FORWARD LOOKING STATEMENTS
Certain statements in this news release constitute "forward-looking" statements. These statements relate to future events or the Company's future performance and include results relating to its patent application, completion of proposed acquisitions, laboratory tests involving the TherOZap™ technology, China's investments trends and China's consumer market demands, all as described in the news release. All such statements involve substantial known and unknown risks, uncertainties and other factors which may cause the actual results to vary from those expressed or implied by such forward-looking statements. In addition to other risks, the Company may not receive the patent applied for, complete proposed acquisitions or laboratory tests involving TherOZap™ technology, or commercialization or marketing of its products as described in this news on the timelines described or the Company may not attract capital in the future. Forward-looking statements involve significant risks and uncertainties, they should not be read as guarantees of future performance or results, and they will not necessarily be accurate indications of whether or not such results will be achieved. Actual results could differ materially from those anticipated due to a number of factors and risks. Although the forward-looking statements contained in this news release are based upon what management of the Company believes are reasonable assumptions on the date of this news release, the Company cannot assure investors that actual results will be consistent with these forward-looking statements. The forward-looking statements contained in this press release are made as of the date hereof and the Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
For further information please contact:
The Jenex Corporation
CEO & Chairman
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