MTEN News out .. fully reporting and on the floor. Profitable too. Now it will be even more.
Medical Technology & Innovations, Inc. To Acquire R.H. Burto
Medical Technology & Innovations, Inc. To Acquire R.H. Burton Company, a
Profitable Fifty-year Old Successful Manufacturer and Distributor of Vision
Examination Equipment
Business Editors/Health & Medical Writers
LANCASTER, Pa.--(BUSINESS WIRE)--July 14, 1999--Medical
Technology & Innovations, Inc. (OTC Bulletin Board: MTEN) announced
today that they have signed a definitive agreement to acquire the
assets of the R.H. Burton Company ("Burton"), Grove City, Ohio for
$5.0 million in cash and the assumption of certain liabilities.
Closing of the transaction is expected to take place in late
August provided certain financing and due diligence contingencies are
resolved.
Burton, established in 1947, is one of the nation's leading
designers, manufacturers and distributors of optometry and
ophthalmology equipment to domestic and international markets. Burton
products include refractors, lens meters, vision diagnostic software
and other examining equipment used by eye doctors.
Commenting on the transaction MTEN Chairman and CEO Jeremy P.
Feakins said, "the acquisition of Burton will be enormously helpful as
we continue our MTI PhotoScreener(tm) marketing efforts to independent
eye doctors and retail optical chains in this country and around the
world. For over fifty years, the R.H. Burton Company has remained
synonymous with excellent quality, service and innovation to the
optometry and ophthalmology professions. The fact that Burton and MTI
products are sold to precisely the same markets will greatly assist
sales of the MTI PhotoScreener(tm)."
MTEN is the designer and manufacturer of the MTI
PhotoScreener(tm), a unique Polaroid-type camera system that takes an
instant photograph of a preverbal or difficult to screen child's eyes
to detect early signs of eye disorders before irreversible damage
takes place.
Jeremy P. Feakins continued "with 1 in 20 children in this
country and the world at risk with undetected eye disorders, the MTI
PhotoScreener(tm) provides the answer to identify these problems in
time for corrective treatment to take place. The MTI PhotoScreener(tm)
provides eye doctors, pediatricians, general physicians, government
health departments and schools an easy to use portable device to
screen for early signs of eye problems."
Dennis A. Surovcik, Senior Vice President and Chief Financial
Officer of MTEN said, "Revenues for the enlarged group in the first
twelve months after closing are expected to reach $20.0 million and
after tax profits $1.5 million. The fact that Burton products are sold
to the same customers as the MTI PhotoScreener(tm) should aid our
marketing efforts considerably."
Joseph L. Del Vecchio, MTEN Senior Vice President of Sales and
Marketing stated, "the MTI PhotoScreener(tm) will benefit considerably
from being bundled into the Burton product line. Our marketing
analysis has concluded that Burton has a very efficient sales
management team and we are thrilled to be a part of a fifty-year
highly profitable and successful operation like Burton. MTEN is
looking forward to reaping the benefits of such a strong marketing
alliance and providing an answer to our marketing challenges of
getting to the half a million eye doctors in this country and around
the world."
Medical Technology & Innovations, Inc. is the parent company of
Medical Technology, Inc., which manufactures and distributes the MTI
PhotoScreener(TM), an FDA cleared vision screening camera designed to
detect conditions that can lead to amblyopia ("lazy eye") and other
eye disorders in infants and young children.
Its other subsidiary, Steridyne Corporation acquired in August
1996, distributes digital and glass thermometers, and manufactures and
distributes probe covers, sheaths, and anti-decubitus devices for
hospitals, medical offices, nursing homes and retail outlets.
Note: This News Release contains certain "forward-looking"
statements as such term is defined in the Private Securities
Litigation Reform Act of 1995 and information relating to the Company
and its subsidiaries that are based on the beliefs of the Company's
management as well as assumptions made by and information currently
available to the Company's management.
Such statements reflect the current risks, uncertainties and
assumptions related to certain factors including, without limitations,
competitive factors, general economic conditions, customer relations,
relationships with vendors, the interest rate environment,
governmental regulation and supervision, seasonality, distribution
networks, product introductions and acceptance, technological change,
changes in industry practices, and one-time events.
Should any one or more of these risks or uncertainties
materialize, or should any underlying assumptions prove incorrect,
actual results may vary materially from those described herein.
--30--CF/ph*
CONTACT: Medical Technology & Innovations Inc.
Dennis Surovcik, SVP and CFO, 800/277-1710
Fax: 717/892-6788
mten.com
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