LOS ANGELES, Aug. 1, 2011 (GLOBE NEWSWIRE) -- MediSwipe Inc. (http://www.MediSwipe.com) (OTCBB:MWIP), a leading company specializing in merchant payment solutions and financial products for the medical health care industries and mobile payment industry, today announced that the company will withdraw plans to file the S-1 for the credit facility as previously announced effective immediately. The decision has been based on recent trading activity of the Company's common stock and new interest and terms from a private institutional investor more favorable to the company. Additionally, the Company will not renew its listing on the Frankfurt Exchange, a process started by prior management.
"There is no doubt that the concern over the proposed S-1 registration the Company was considering filing consisting of a $10,000,000 credit facility and the potential registration of several million shares into the marketplace has caused major concern with our shareholders. We are presently investigating a strategy which could have been occurring in the marketplace whereby individuals or specific firms may have allegedly taken short positions in our stock against the knowledge or strategy of millions of shares being registered. We are hoping that the cancellation of this registration and announcement of a credit line by management until more favorable terms of financing are reached will bring to light these negative events that have occurred within our marketplace over the last few months. Further, with new listing requirements going into effect on the Frankfurt Exchange, and higher scrutiny tied to dual listings, it is our desire to concentrate on building our Company and shareholder value within U.S.first and foremost," stated B. Michael Friedman, CEO for MediSwipe Inc.
The Company has recently entered into negotiations with a private institutional investor that has offered more favorable terms to MediSwipe, including restricted stock purchases, market and financial consulting, and a registration statement that may include several investors interested in the long term value of MediSwipe. Mr. Friedman has also agreed to set up a revolving line of credit to the Company in order to meet the short term financial needs of MediSwipe until an agreed term sheet is signed. Additionally, 800 Commerce Inc. , the company's wholly owned merchant processing division, will continue to move toward its plan for an effective spinoff this year.
"We obviously cannot control market conditions or dictate the price of our common stock. What we can and will do, is to do our best to remove all the question marks and potential factors that could potentially disrupt our business model, continue to maximize our shareholder value, and highlight what our Company represents within the sector for the immediate future," further stated Friedman.
About MediSwipe Inc.
MediSwipe Inc. (www.MediSwipe.com) offers a full spectrum of secure and reliable transaction processing and security solutions for the medical and healthcare industries, using traditional, Internet Point-of-Sale (POS), e-commerce and mobile (wireless) payment solutions. The Company now also offers digitized personal health records in conjunction with Industry Alliance Partners. MediSwipe offers reliable merchant payment solutions and closed loop pre-paid stored value and loyalty cards as a unique cash alternative to these regulated and e-commerce businesses specializing within the healthcare sector.
FORWARD-LOOKING DISCLAIMER
This press release may contain certain forward-looking statements and information, as defined within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is subject to the Safe Harbor created by those sections. This material contains statements about expected future events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. Such forward-looking statements by definition involve risks, uncertainties and other factors, which may cause the actual results, performance or achievements of MediSwipe Inc. to be materially different from the statements made herein.