Toronto, Ontario--(Newsfile Corp. - January 30, 2018) - The Jenex Corporation (TSXV: JEN), ("Jenex" or the "Company"), a
progressive medical device technology company, today is pleased to announce that further to its news releases on November 2, 2017
and Dec 12, 2017, the Company has now completed and is satisfied with due diligence on two medical device products with established
sales and cash flow. The proposed acquisition assets include a consumer medical device for acne and other cosmetic applications
that encompass both heat and light therapy. (the "Proposed Acquisitions"). Jenex has agreed with the vendor to now proceed to
negotiate the final terms of the definitive asset purchase agreement ("APA") for of the Proposed Acquisitions and expects to close
the transaction by February 28th, 2018. The Company intends to finance the Proposed Acquisitions through debt, equity or
a combination thereof expected to be announced in the near future. Jenex will announce the vendor and brand names of the Proposed
Acquisition once the APA is signed.
As previously reported on November 2, 2017 and based on the unaudited financial statements for 2016 the Proposed Acquisitions
have generated approximately USD $3.0 million of revenue and approximately USD $1,800,000 of free cash flow
("FCF"). Upon completion of the APA, a USD $750,000 cash payment will be payable at closing and USD $1,500,000 will be payable in
royalties over 3 years. The royalty of USD $1,500,000 will be discounted by USD $200,000 for total royalties payable in the amount
of USD $1,300,000 if paid on or before June 30th, 2019. Upon successful completion of this transaction, Jenex intends to
utilize over CAD $6,900,000 in operating losses against future income generated from the acquired products.
Rob Fia, CEO, commented:
"We are excited to move ahead with the closing of the Proposed Acquisitions. Jenex has received material interest to market and
sell the new products and our other product line up overseas in China and elsewhere after visiting the Chinese Global Financial
Forum during December. The acquisition targets provide a strategic fit to enhance our existing thermal therapy medical device
offerings and will be made at an attractive multiple to FCF and will be immediately accretive to Jenex upon closing. We have
identified a wide-range of synergies between these new products and our existing product offerings including technology crossover
between the new and existing products. We believe the Proposed Acquisitions represent an ideal fit, create value for shareholders
and effectively build off Jenex's core competencies."
About Jenex:
Jenex is a progressive medical device technology company focused on providing consumers with quality medical devices that
address their dermatological needs. Clear and healthy skin for all is at the core of Jenex's philosophy as is the belief that
such outcomes should not be a privilege for only those who can afford costly procedures and treatments. The Company's
breakthrough proprietary technology delivers effective, non-invasive and pain free skin care.
Jenex received a Class II medical device status from the FDA for its platform technology that is indicated for the relief
of the pain, itch, and inflammation from over 20,000 different insect stings and bites, (including bees, wasps, hornets,
mosquitoes, black flies and jellyfish). Jenex received approval for the above claims from FDA (United States) in
1997.
The Jenex Corporation trades on the NEX (TSXV: JEN.H). For more information visit: www.thejenexcorporation.com or www.therozap.com.
FORWARD LOOKING STATEMENTS
Certain statements in this news release constitute "forward-looking" statements. These statements relate to future events or the
Company's future performance and include the Proposed Acquisitions, signing of the APA, closing of the acquisition transaction and
financing thereof, all as described in the news release. All such statements involve substantial known and unknown risks,
uncertainties and other factors which may cause the actual results to vary from those expressed or implied by such forward-looking
statements. In addition to other risks, the Company may not complete the purchase of or commercialization or marketing of the
Proposed Acquisitions as described in this news on the timelines described and the Company may not attract a financing in the
future. Forward-looking statements involve significant risks and uncertainties, they should not be read as guarantees of future
performance or results, and they will not necessarily be accurate indications of whether or not such results will be achieved.
Actual results could differ materially from those anticipated due to a number of factors and risks. Although the forward-looking
statements contained in this news release are based upon what management of the Company believes are reasonable assumptions on the
date of this news release, the Company cannot assure investors that actual results will be consistent with these forward-looking
statements. The forward-looking statements contained in this press release are made as of the date hereof and the Company disclaims
any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future
events or otherwise, except as required under applicable securities regulations.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
For further information please contact:
The Jenex Corporation
Rob Fia
CEO & Chairman
rfia@thejenexcorporation.com
NOT FOR DISSEMINATION OR DISTRIBUTION IN THE UNITED STATES
