HOLLYWOOD, Calif., Aug. 16, 2013 /PRNewswire/ -- Medbox, Inc. (OTC Markets: MDBX) (www.medboxinc.com), a leader in providing industry specific consulting services and patented systems to the medical and retail industries, announced signing of a deal with X-Change Corporation (OTC Markets: XCHC), to provide consulting services in the legal marijuana markets of Nevada, California, Arizona, Washington State, Massachusetts, and Illinois.
The contract, worth $5.3 million dollars, is to be paid in increments based on performance criteria being met by Medbox. The project consists of formation of corporate entities, application assistance in the target states, build-out of physical dispensaries and cultivation facilities in those states, and also securing management relationships between the formed entities and X-Change Corporation.
"This agreement allows for an up-and-coming company like X-Change to showcase their formulations in state approved medical marijuana dispensaries," stated Dr. Bruce Bedrick, CEO of Medbox, Inc. "The licensing agreements that they will be entering into in these target markets will set them apart as the leader in their market segment of cannabinoid based research formulation development."
According to management, the project once again sets Medbox on a different orbit than any other company in the legalized marijuana ancillary services sector. The company has announced unveiling a "platinum consulting" package for its high-end clientele that demand performance in achieving licensing for medical marijuana dispensaries in competitive markets. The company will still accept traditional consulting engagements but will also offer 5-10 platinum packages per newly adopted medical marijuana state. As was the policy in Arizona, the company will only be accepting a limited number of clientele in new target states and assign each client to a particular territory in that state, to prevent competition between Medbox clients.
"As new states adopt regulations and licensing programs for dispensaries, the limits placed on those licenses create a "golden ticket" type of environment," stated Vincent Mehdizadeh, COO of Medbox, Inc. "In Arizona, we successfully obtained 20 licenses for our consulting clients. We helped make their dreams a reality in that market and handled every nuance you can imagine, from legal challenges to program implementation to zoning issues with local municipalities. We were there every step of the way for our clients and the same will hold true in new target states in which we offer our services."
Management acknowledges that X-Change is a development stage public company. As a result, the contract was structured in a manner to allow X-Change to pay for services over a period of many months, and as assets are achieved.
About Medbox, Inc:
Medbox is a leader in the development, sales and service of automated, biometrically controlled dispensing and storage systems for medicine and merchandise. Medbox has offices throughout the world, including New York, Arizona, Connecticut, Massachusetts, Tokyo, London and Toronto, and has their corporate headquarters in Los Angeles.
Medbox provides their patented systems, software and consulting services to pharmacies, dispensaries, urgent care centers, drug rehab clinics, hospitals, prison systems, hospice facilities, and medical groups worldwide.
Medbox, Inc. is a publicly traded company, and is quoted on the OTC Markets, ticker symbol MDBX.
For more information on Medbox, please contact the Medbox Investor Relations Department at (800) 762-1452 or go online to www.medboxinc.com.
Forward-Looking Statements: The statements in this press release constitute forward-looking statements within the meaning of federal securities laws. Such statements are based on our current beliefs and expectations and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond our control. In addition, such forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. Potential risks and uncertainties include, but are not limited to, technical advances in the industry, political conditions and economic conditions in the states considering such legislation. We do not take any obligation to update any forward-looking statement to reflect events or developments after a forward-looking statement was made.
SOURCE Medbox, Inc.