NEW YORK--(BUSINESS WIRE)--Dec. 9, 2004--CareDecision Corporation (OTCBB:CDED - News):
Facility Includes Standby Provisions for Increases to $15 Million Monthly
Existing Pharma Revenue Streams Could Grow to over $200+ Million in 2005
Company Plans Further Guidance at Conclusion of Merger Notice Period
CareDecision Corporation (OTCBB:CDED - News) announced today that the Company has secured a $10 million monthly revolving credit facility that will be used to fund its newly acquired prescription drug distribution channels. The company also reported that the agreement includes standby provisions for increases to $15 million monthly. This facility, issued by WSSMF, LP and Capital Growth Fund, two financial lending institutions, will facilitate the Company's purchase and resale of FDA-approved pharmaceutical and diagnostic products for the wholesale market and will also be applied to the Company's new e-pharmacy that will shortly begin the fulfillment of prescriptions to America's uninsured. Both pharmaceutical distribution channels will employ CareDecision's patent pending wireless PDA technologies. The credit facility agreement closed on December 6, 2004 concurrent with the start of the notice period for the Company's mergers.
"This credit facility provides substantial resources for the Company to initiate this important, aggressive and revolutionary strategy," commented Robert Cox, CareDecision's Chairman. "With the significant revenue streams, which in 2005 may exceed $200 million, when coupled with this new access to growth capital, we are now well positioned to embark on this mission to link uninsured and underinsured Americans with life preserving pharmaceuticals by utilizing our wireless technology, our state-of-the-art pharmaceutical distribution network and our industry connections. We appreciate the confidence demonstrated by the lending institutions in our management team, and the validation this agreement provides our business plan."
Through its subsidiary, CareDecision, a leading Wi-Fi PDA technology product company for the medical, lodging and satellite rebroadcast industries, has concluded a merger agreement with CareGeneration, Inc., a retail pharmaceutical enterprise that will provide lower cost prescription drugs for uninsured Americans, and the wholesale pharmaceutical distribution unit formerly belonging to Kelly Co. World Group, Inc., the Kelly Companies. The final closing of these mergers, through the filing of merger certificates with the Nevada Secretary of State, is probable later this month, after a statutory 20 day notice period. Shortly after the conclusion of the mergers the newly combined company is to be renamed Next GENeSYS Corp., which when fully implemented will create an expected $200 million+ pharmaceutical distribution and technology company transitioning into 2005. CareDecision directors plan to provide information documents and additional guidance in the coming days.