Progressive Care Issues Shareholder Update
MIAMI, FL -- June 17, 2016 -- InvestorsHub NewsWire --
Progressive Care Inc. (OTC
PINK: RXMD), through its subsidiary Pharmco LLC, a South
Florida health services organization and provider of prescription
pharmaceuticals specializing in health practice risk management,
compounded medications, the sale of anti-retroviral medications and
related medication therapy management, and the supply of
prescription medications to long term care facilities, issues
follow up to shareholders on the status of potential
acquisitions.
Dear Valued Shareholders,
On June 15, 2016 the Progressive Care issued a press release
updating the public on the sales for May 2016 and status of
proposed acquisition targets in the home health care space.
First, we would like to clarify that the decision to suspend our
pursuit of home health care agencies as potential acquisition
targets is in no way connected to the core business of PharmCo, LLC
or its expansion into other state markets. PharmCo is continuing to
file applications in states across the country to extend the reach
of our custom compound business line.
Progressive Care was in the LOI/ due diligence stage with a
potential acquisition target in the home health care industry. Upon
receiving the update on the new regulations and pre-claim
authorization procedures for the industry, the Company decided to
terminate the LOI until the management team could ascertain the
ramifications of the new protocols on the home health care
industry. As was mentioned in the press release issued on June
15th, the Company believes that the new CMS procedures will
decrease the number of approved claims for home health care and
increase the cost of reviewing, processing, and adjudicating such
claims.
We are fortunate that we received the new information from CMS
at this stage of the acquisition process. It allowed us to
terminate the LOI without any penalties or break-up fees in
addition to preventing us from closing on an ultimately costly
acquisition. The early stage termination also had the added benefit
of allowing the company to continue its conversations with the
sellers of these targets about potential acquisitions of companies
in other health care arenas.
We want to assure the shareholders that the goals of the company
remain unchanged. The Company still plans to identify and evaluate
potential acquisition targets both within and outside the pharmacy
industry. The Company continues to be on track to reach its annual
sales and earnings goals as well as its expansion objectives.
Sincerely,
S. Parikh Mars
CEO
Progressive Care Inc.
Common Shares Issued and Outstanding:
As of June 16, 2016 the number shares of common stock issued and
outstanding stood at 339,545,107 shares. This amount is net of the
number of shares owned by PharmCo, LLC of 1,718,000.
As of June 16, 2016, all insiders and independent service
providers continue to hold restricted common shares of the
Company.
About Progressive Care
Progressive Care, Inc. (OTC
PINK: RXMD), through its subsidiary PharmCo, LLC, is a South
Florida health services organization and provider of prescription
pharmaceuticals specializing in health practice risk management,
compounded medications, the sale of anti-retroviral medications and
related medication therapy management, and the supply of
prescription medications to long term care facilities.
Cautionary Statement Regarding Forward Looking Statements
Statements contained herein that are not based upon current or
historical fact are forward-looking in nature and constitute
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange
Act of 1934. Such forward-looking statements reflect the Companys
expectations about its future operating results, performance and
opportunities that involve substantial risks and uncertainties.
These statements include but are not limited to statements
regarding the intended terms of the offering, closing of the
offering and use of any proceeds from the offering. When used
herein, the words anticipate, believe, estimate, upcoming, plan,
target, intend and expect and similar expressions, as they relate
to Progressive Care Inc., its subsidiaries, or its management, are
intended to identify such forward-looking statements. These
forward-looking statements are based on information currently
available to the Company and are subject to a number of risks,
uncertainties, and other factors that could cause the Company's
actual results, performance, prospects, and opportunities to differ
materially from those expressed in, or implied by, these
forward-looking statements.
Contact
Armen Karapetyan
Senior Advisor Business Development
armen@progressivecareus.com