Nutra Pharma Corp. announced today the first closing of its agreement to acquire up to 100% of the common stock of Infectech Corporation by exchange of one share of Nutra Pharma common stock for every two shares of Infectech common stock. According to documents filed with the Securities and Exchange Commission on Monday, Infectech's shareholders approved the agreement by a margin of over 80%, and the first closing has resulted in Nutra Pharma's acquisition of over 50% of the outstanding common shares.
Infectech, Inc. specializes in the research, development, and production of laboratory kits used in the rapid identification and antibiotic testing of disease-causing pathogens. The company's 32 patents span the identification and antibiotic sensitivity testing of 34 disease-causing bacteria, including: Tuberculosis, Pseudomonas, M. avium and Nocardia. These bacteria are cited as a prominent cause of death in patients with cancer, cystic fibrosis, and AIDS, as well as patients undergoing surgery.
Mycobacterium avium intracellulare (MAI) is the bacterial infection most often associated with AIDS patients in the developed world. Mycobacterium tuberculosis is the causative agent of one of the world's deadliest infections. Infectech intends to use its technology to create cost-effective diagnostic kits for identifying and testing disease-causing microorganisms which use paraffin sole carbon source baiting as the source of nutrition for identifying and antibiotic sensitivity testing. Carbon source baiting will be used for such pathogens as Nocardia, Candida tropicalis, Aspergillus, Pseudomonas and a variety of nontuberculous mycobactera. In addition, Infectech intends to use its hydrophobic bating technology to identify and perform antibiotic sensitivity testing on Tuberculosis Complex organisms (Mycobacterium tuberculosis, Mycobacterium bovis and Mycobacterium africanum). Also, other non-paraffin utilizing organisms will be tested for their ability to be isolated and antibiotic sensitivity tested. Management believes that the combination of Infectech's patented slide culture methodology with amplification and/or gene probes will enable hospital laboratories to identify and ascertain the correct antibiotics to be used against each of the pathogens within a greatly reduced time frame.
Infectech has pioneered an effort to promote its products for use as a defense to bioterrorism, which effort has been supported by Congressman Steven R. Rothman of Pennsylvania and the University of Medicine and Dentistry of New Jersey's Center for BioDefense, which has recognized that Infectech's products, combined with probes, can identify specific agents of germs which can be used for biological terror. Its patents in the field of alternative carbon source baiting can be used to isolate a variety of potential bioterrorist organisms.
Infectech has also developed patented technology that has been licensed to BioRemedial Technologies, Inc., which uses the technology to develop microbes to degrade tricholoroethylene (TCE) into a non-toxic, non-carcinogenic form. This process has been designed to resolve TCE problems, such as those which occur in abandoned service stations and military bases.
"The management and scientists of Infectech have been impressed with both the management and scientific talents of Rik Deitsch. We look forward to working with him on this very exciting and humanitarian project," said Mitchell S. Felder, M.D., Infectech's Chief Executive Officer.
"We are pleased to welcome Infectech to the Nutra Pharma family," said Rik Deitsch, Chief Executive Officer. "We look forward to developing the product lines from Infectech's patents and will continue to actively seek and acquire valuable biotech and biopharma intellectual property," he added.
This press release contains forward-looking statements. The words or phrases "would be," "will allow," "intends to," "will likely result," "are expected to," "will continue," "is anticipated," "estimate," "project," or similar expressions are intended to identify "forward-looking statements." Actual results could differ materially from those projected in Nutra Pharma's ("the Company") business plan. The Company's business is subject to various risks, which are discussed in the Company's filings with the Securities and Exchange Commission ("SEC"). The acquisition of Controlling Interest in Infectech should not be construed as an indication in any way whatsoever of the value of the Company or its common stock. The Company's filings may be accessed at the SEC's Edgar system at www.sec.gov. Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. The Company cautions readers not to place reliance on such statements. Unless otherwise required by applicable law, we do not undertake, and we specifically disclaim any obligation, to update any forward-looking statements to reflect occurrences, developments, unanticipated events or circumstances after the date of such statement.