SCOTTSDALE, AZ AND CALGARY, ALBERTA, Nov.
12, 2014 /PRNewswire/ - RDX Technologies
Corporation ("RDX" or the "Company") (TSXV: RDX, OTCQX: RGDEF,
FSE:RL7), a water treatment and energy technology company,
today announces the acquisition of M2 Renewables ("M2R") previously
located in southern California for cash and RDX common shares
under an earnout agreement.
RDX has operated M2R under a management agreement since
May 10th, 2013. The
Company has worked with M2R staff and intellectual property to
complete new industrial designs of the equipment and machinery. The
M2R water treatment technology was improved through the robust
design and manufacturing skill of RDX's Scottsdale manufacturing facilities. RDX
brought all of the M2R manufacturing in house and has also
integrated the M2R technology into the technology suite for waste
water treatment by RDX. The purchase price included: (i)
US$1,000,000 in cash, of which
US$600,000 has been paid; (ii) an
unsecured promissory note in the amount of US$2,000,000 and (iii) an earnout in the form of
a convertible note of up to US$11MM based on M2R microscreen sales
over the next three years. In connection with the agreement, RDX
agreed to list the Company or an affiliate in the U.S.
The acquisition includes all of the issued and patents pending
for the related machinery and technology.
The Company has seen a steady rise in machinery orders, which
include dissolved air filtration, membrane filtration and
microscreen installations. The Company has seen orders grow at a
rate of approximately 15% month over month this fiscal year
and sees continued growth well into 2015. The Company has given
revenue guidance for fiscal 2015 and expects M2R division
contributions to fiscal 2015 revenue of between $4MM and
$5.5MM.
Dennis M. Danzik, RDX CEO
stated, "The acquisition of M2R completes over a year and a
half of hard work by our staff and we have now fully integrated M2R
as an operating subsidiary of RDX. The intregated technology is now
a part of the RDX family of available technologies for waste water
treatment, water mining, recycling and reuse. The client list for
the integrated technology suite, which now includes the M2R
technology, is now growing RDX top line revenue month over
month.
ON BEHALF OF THE BOARD OF DIRECTORS
"Dennis M. Danzik"
Dennis M. Danzik, CEO
(602)357-8020
danzik@rdxh2o.com
"Neither 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 news release. This news release may contain
forward-looking statements. Forward-looking statements address
future events and conditions and therefore, involve inherent risks
and uncertainties. Actual results may differ materially from those
currently anticipated in such statements. Such information is
subject to known and unknown risks, uncertainties and other factors
that could influence actual results or events and cause actual
results or events to differ materially from those stated,
anticipated or implied in the forward-looking information. Readers
are cautioned not to place undue reliance on forward-looking
information, as no assurances can be given as to future results,
levels of activity or achievements."
SOURCE RDX Technologies Corporation
