UV Flu Technologies, a developer, manufacturer, and distributor of biotech products for the Indoor Air Quality sector, said it plans to pursue the spinoff of its RxAir business into a separate publicly traded entity. Upon closing of the transaction, RxAir division will assemble a separate management team and board of directors to guide the company's air purification services and offerings to the medical and commercial markets. UVFT will continue to concentrate on the residential marketplace.
"RxAir will include the medical market, which will encompass the Sleep marketplace, including sleep centers and hospitals, clinics and nursing homes. In addition RxAir will include the commercial market, which will include casinos, salons, restaurants, government buildings and military installations," Jack Lennon, UVFT CEO, stated in the press release. "RxAir has an installed base in over 600 hospitals in several countries, along with numerous commercial accounts, we think the platform for focused growth, for both entities, will dramatically enhance shareholder value."
RxAir will have five products, with its patented, FDA-cleared HEPA air purifier, the RX-3000; the RxAir Plus System, which utilizes two FDA-cleared technologies; and the RX-4500, RX-6500, and RX-400. UVFT will have its flagship patented UV air purifier, the ViraTech UV-400, which is an FDA-cleared Class II Medical Device.
Operating in individual markets and armed with their innovative technologies, Lennon said the spinoff will "unlock the value hidden within each of the two entities to achieve strategic and operational clarity."
The transaction will be structured as a pro rata distribution to all shareholders of UVFT, with the holders of its common stock receiving additional common stock in RxAir. Upon closing of the proposed spinoff, UVFT's existing shareholders would hold interests in both UVFT and RxAir.
In upcoming months, management of both companies will develop detailed plans for UVFT's board of director's further consideration and final approval.
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