BioCorRx eliminates convertible debt, totaling $750,000 of debentures

Holders cede debt for upfront license fees and convert remaining debt

By Devika Patel

Knoxville, Tenn., July 9 – BioCorRx Inc. said it has reached an agreement to eliminate all of its convertible debt, totaling nearly $750,000, removing any potential stock dilution that may have occurred from a debt to equity conversion of those convertible debentures.

The debt holders agreed to exchange just over $600,000 in debt in exchange for upfront license fees toward territories that will give them the exclusive rights to distribute the company's Start Fresh Program which is used to treat alcohol and opioid addiction.

Separately, the company paid off about $135,000 of debt to another investor and holders converted the remaining $543,000 of convertible debentures, including interest, into a simple interest-bearing note.

“We are very pleased with the support of our debt holders, who agreed to convert their outstanding debt into license agreements or simple interest bearing notes,” chief financial officer Lourdes Felix said in a press release.

“Eliminating nearly $1 million in convertible debt is a monumental and strategic achievement for the company as it vastly improves the capital structure of BioCorRx as the potential dilutive effect of the debt is removed.

“We have turned our debt into potential income producing assets that will enhance our goal of making our program available to everyone in the U.S. soon.”

The Los Angeles company offers addiction treatment and rehabilitation programs.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.