Delray Beach, FL (PRWEB) January 16, 2007
MedStrong International Corporation has outstanding 4,302,000 warrants (MDSIW.OB). The warrants are exercisable at any time until December 31, 2009. On Friday Jan 12, 2007, MedStrong's Board of Directors approved a reduction in the exercise price of the company's warrants from $30.00 to $18.75. In conjunction with the exercise price reduction, the Board also reduced the trading price at which the company has the right to call warrants from $112.50 to $22.50. To the extent the company utilizes the call feature, the terms of the warrant agreement are being amended to permit the resale by the company of warrants so redeemed. The outstanding 430,200 placement agent warrants were similarly affected by the 1 for 75 reverse stock split and the Board of Directors action described above.
Each warrant, as outstanding prior to the 1 for 75 reverse stock split effective November 2, 2006, entitled the warrant holder to purchase one share of MedStrong common stock at an exercise price of $.40. Following effectiveness of the 1 for 75 reverse split of MedStrong's common stock, these warrants entitled the holders to purchase a total of approximately 57,360 shares of common stock at an exercise price of $30.00 per share. If the common stock traded for at least five consecutive trading days at a price of $112.50 or more, the company had the right to call the warrants at a price of $.75 per warrant share unless an investor chose to exercise his or her warrants at that time.
About MedStrong International
MedStrong International Corporation is a publicly traded development stage company in the state of Delaware and operates under the stock ticker symbols MDSI / MDSIW. MedStrong is headquartered in Delray Beach, Florida, recently named a 2006 Top Ten Digital City by the Center for Digital Government, which recognizes the most technology-advanced cities in America.
Safe Harbor Act Disclaimer: This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934 that are based upon current expectations or beliefs, as well as a number of assumptions about future events. Although the Company believes that the expectations reflected in the forward-looking statements and the assumptions upon which they are based are reasonable, it can give no assurance that such expectations and assumptions will prove to have been correct. The reader is cautioned not to put undue reliance on these forward-looking statements, as these statements are subject to numerous factors and uncertainties, including without limitation, the independent authority of the special committee to act on the matters discussed, the successful negotiation of the potential acquisition and disposal of transactions described above, successful implementation of the company's business strategy and competition, any of which may cause actual results to differ materially from those described in the statements. In addition, other factors that could cause actual results to differ materially are discussed in the Company's most recent Form 10-QSB and Form 10-KSB filings with the Securities and Exchange Commission.