Health Logic Interactive Signs Non-Binding Letter of Intent With US Medical Device Company to Sell Wholly Owned Operating Subsidiary
TSXV: CHIP.H
CALGARY, AB, Aug. 9, 2021 /PRNewswire/ - Health Logic Interactive Inc. ("Health Logic" or the "Company") (TSXV: CHIP.H) (OTCPK: CHYPF) is pleased to announce it has signed, on August 1, 2021, a non-binding letter of intent to sell its wholly owned operating subsidiary, My Health Logic Inc. ("My Health Logic") to Marizyme, Inc. ("Marizyme"), a Nevada medical device company publicly traded on the OTCQB (the "Transaction").
The transaction is subject to the completion of diligence, the approval of the TSX Venture Exchange, negotiation of definitive documentation, and approval of the Company's shareholders. The transaction is taking place at arms-length, and it is currently expected that the consideration for all the issued and outstanding shares of My Health Logic will be common shares in the capital of Marizyme.
Marizyme has a robust IP portfolio for its medical device platform technologies. Its leading technology, DuraGraft®, is currently under pre-submission review with the United States Food and Drug Administration ("FDA"). Durgraft is approved in 34 countries and has already achieved initial commercial sales in Europe and Asia. Marizyme intends to pursue a listing on the NASDAQ Stock Market ("NASDAQ") within the next twelve months.
The proposed terms, which are subject to change as diligence and negotiations progress, include:
- The Company receiving 4,600,000 shares of Marizyme as consideration for the Health Logic asset. The number of shares was negotiated between parties of Marizyme and Health Logic, and the price per share is a floating number that will be finalized in the definitive agreement.
- Marizyme plans to raise the necessary operating capital for the combined businesses once the transaction has taken place, from there, a registration and anticipated financing on a Nasdaq listing.
- My Health Logic will become a wholly owned subsidiary of Marizyme;
- The Company will have the right to appoint two nominees to the board of directors of Marizyme; it is expected that the management of Marizyme will change once the transaction is completed.
- The employees of, and consultants to, My Health Logic will continue to operate in the same capacity as prior to the Transaction; and
- The Transaction is subject to the negotiation and execution of definitive documentation, the performance of any closing conditions, and TSXV and shareholder approvals.
The Company will continue to trade as a public entity on the NEX Board of the TSXV and intends to pursue a financing to commence its search for new assets to develop as part of the Company's portfolio. The Company plans to continue its application with the TSXV for a reactivation to Tier 2 of the TSXV from the NEX Board. The reactivation will be subject to finding of a new acquisition target and meeting all continued listing requirements of the TSXV Tier 2.
The Company will hold a conference call to discuss the Transaction in more detail, the conference call is scheduled to occur on August 16, 2021, at 1.30pm PST / 4.30pm EST. Please dial in toll free at 1-866-248-8441 or internationally at 1-323-289-6581.
Quote from CEO, David Barthel:
"As we have demonstrated over the past eight months, the team has the ability to accomplish its milestones as we continue to deliver on our initial goals in the clinical development of our lab-on-chip technology. These accomplishments have attracted strong interest from several potential strategic partners. Our team is pleased to be presented with this Transaction that will, if completed, allow My Health Logic to receive the necessary resources to advance its lab-on-chip technology. As well, Marizyme has a very attractive medical device pipeline that is already on an FDA pathway, is a US publicly traded entity, and is supported by a full-service US investment bank, Univest Securities. We have moved quickly to assess this Transaction and complete initial due diligence, and are excited about the prospects at hand".
About the Company
Health Logic Interactive, through its wholly owned operating subsidiary My Health Logic, is developing and commercializing consumer focused handheld point-of-care diagnostic devices that connect to patient's smartphones and digital continued care platforms. The Company plans to use their patent pending lab-on-chip technology to provide rapid results and facilitate the transfer of that data from the diagnostic device to the patient's smartphone. The Company expects this data collection will allow it to better assess patient risk profiles and provide better patient outcomes. Our mission is to empower people with the ability to get early detection anytime, anywhere with actionable digital management for chronic kidney disease. For more information visit us at: www.healthlogicinteractive.com
About Marizyme, Inc.
Marizyme is an integrated life sciences company dedicated to the acquisition, development and commercialization of therapies that minimize mortality and costs in the acute care space. The Company's flagship product, DuraGraft®, is an intra-operative vascular graft storage solution that inhibits endothelial damage and leads to improved clinical outcomes by reducing the incidence of complications associated with vein graft failure in bypass surgery. DuraGraft® enhances coronary artery bypass grafting (CABG) surgical outcomes by significantly reducing major adverse cardiac events such as repeat revascularization and myocardial infarction. DuraGraft® is approved for use in the EU and several Asian countries but is not yet approved for use in the U.S. Marizyme is also focused on the development and marketing of products based on its clinically tested and previously patented protease based therapeutic Krillase® platform. Krillase® is not approved for use.
Further information regarding Health Logic Interactive Inc. and its disclosure documents are available on SEDAR at www.sedar.com.
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 release.
Cautionary Notes
Certain statements contained in this press release constitute "forward-looking statements". All statements other than statements of historical fact contained in this press release, including, without limitation, those regarding the execution of a definitive agreement for the Transaction and the terms thereof, the completion of the Transaction and its expected benefits, the financing to be provided by Marizyme, the listing of the Marizyme Shares on the NASDAQ, the financing to be pursued by the Company, the reactivation of the Company to the TSXV and the Company's strategy, plans, objectives, goals and targets, and any statements preceded by, followed by or that include the words "believe", "expect", "aim", "intend", "plan", "continue", "will", "may", "would", "anticipate", "estimate", "forecast", "predict", "project", "seek", "should" or similar expressions or the negative thereof, are forward-looking statements. These statements are not historical facts but instead represent only the Company's expectations, estimates and projections regarding future events. These statements are not guarantees of future performance and involve assumptions, risks and uncertainties that are difficult to predict. Therefore, actual results may differ materially from what is expressed, implied or forecasted in such forward-looking statements. Additional factors that could cause actual results, performance or achievements to differ materially include, but are not limited to the risk factors discussed in the Company's Management's Discussion and Analysis for the year ended December 31, 2020. Management provides forward-looking statements because it believes they provide useful information to investors when considering their investment objectives and cautions investors not to place undue reliance on forward-looking information. Consequently, all of the forward-looking statements made in this press release are qualified by these cautionary statements and other cautionary statements or factors contained herein, and there can be no assurance that the actual results or developments will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, the Company. These forward-looking statements are made as of the date of this press release and the Company assumes no obligation to update or revise them to reflect subsequent information, events or circumstances or otherwise, except as required by law.
SOURCE Health Logic Interactive Inc.
Share this article