MTBC Announces Proposed Public Offering of Additional Shares of Non-Convertible Series A Preferred Stock
SOMERSET, NJ -- (Marketwired) -- 06/05/17 -- MTBC (NASDAQ: MTBC) (NASDAQ: MTBCP) a leading provider of proprietary, cloud-based electronic health records, practice management and mHealth solutions, today announced a proposed public offering of up to 340,000 additional shares of its non-convertible Series A Cumulative Redeemable Perpetual Preferred Stock ("Series A Preferred Stock") for $25 per share with gross proceeds of up to $8.5 million. The Series A Preferred Stock currently trades on Nasdaq with ticker MTBCP, and this offering represents additional shares of the same security. The offering is subject to market and other conditions, and there can be no assurance as to whether or when the offering may be consummated, or as to the actual size or terms of the offering.
Dividends on the non-convertible Series A Preferred Stock are payable in cash monthly on a cumulative basis, as and if declared by the Company's board of directors, at the rate of 11% per annum of the $25.00 per share liquidation preference.
MTBC intends to use the net proceeds from the offering, if completed, for repayment of debt, working capital and general corporate purposes to support the company's growth initiatives.
An amended registration statement relating to these securities has been filed with the SEC, but has not yet been declared effective. These securities may not be sold, nor may offers to buy be accepted, prior to the time the registration statement becomes effective. This offering will be made only by means of a prospectus.
This press release is being issued pursuant to and in accordance with Rule 135 under the Securities Act of 1933, as amended. This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities of MTBC.
MTBC is a healthcare information technology company that provides a fully integrated suite of proprietary web-based solutions, together with related business services, to healthcare providers throughout the United States. Our integrated Software-as-a-Service (SaaS) platform helps our customers increase revenues, streamline workflows and make better business and clinical decisions, while reducing administrative burdens and operating costs. MTBC's common stock trades on the NASDAQ Capital Market under the ticker symbol "MTBC," and its Series A Preferred Stock trades on the NASDAQ Capital Market under the ticker symbol "MTBCP."
Any statements in this press release about Medical Transcription Billing's future expectations, plans and prospects, including statements about the clinical development of its product candidates, regulatory actions with respect to the Company's clinical trials and expectations regarding the sufficiency of the Company's cash balance to fund clinical trials, operating expenses and capital expenditures, and other statements containing the words "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "would," and similar expressions, constitute forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, discussed in the "Risk Factors" section of the Company's most recent filings with the Securities and Exchange Commission. The closing of the offering is subject to market and customary closing conditions and there can be no assurance as to whether or when the offering will close. In addition, any forward-looking statements included in this press release represent Medical Transcription Billing's views only as of the date of this release and should not be relied upon as representing the Company's views as of any subsequent date. The Company specifically disclaims any obligation to update any forward-looking statements included in this press release.
For additional information, please visit our website at www.mtbc.com.
Company and Investor Contact:
Chief Financial Officer
Medical Transcription Billing, Corp.
Source: Medical Transcription Billing, Corp
Released June 5, 2017