IAGX Imagenetix Inc (CE)

SAN DIEGO, Sept. 17, 2014 /PRNewswire/ -- Imagenetix, Inc. (OTC Bulletin Board: IAGX), announced today that its Plan of Reorganization was confirmed and all provisions of the plan were approved by Judge Margaret Mann of the United States Bankruptcy Court for the Southern District of California on September 10, 2014, with an effective date of September 16, 2014, enabling the Company to emerge from bankruptcy as of the effective date.

William P. Spencer, President of Imagenetix, stated, "I am delighted that we can now move forward with our new line of products.  The successful results obtained from the reorganization already reflect an increase in shareholder value and a positive future direction.  We are emerging successfully from Chapter 11 as a profitable, stronger company with a much healthier balance sheet and much of our debt satisfied or substantially reduced."

Spencer went on to list some of the areas of significance obtained during the proceeding.  The operations of the Company went uninterrupted during the process and profitability was accomplished each and every quarter even after taking into consideration extensive legal fees associated with the filing. The major secured creditor of the Company is being paid in full on the effectiveness of the plan.  Shareholders as of the initial filing were not impacted and continue to retain their holdings.  Payments to unsecured creditors are being accelerated and will be paid per the plan shortly after the effective date.  All previous litigation naming Imagenetix as a defendant has been favorably resolved.  Imagenetix continues to be able to prosecute already filed and yet to be filed legal actions for infringement of its rights under contract or patent law.

Spencer stated that the most significant portion of the plan is the acquisition of Periodyne in exchange for common stock and warrants.  Periodyne markets a new, results driven product for the promotion of periodontal health.  With the successful conclusion of clinical trials revealing solid results, the product is now ready for launch to the dental market.  The product will be sold to dentists and hygienists for use by their patients.  In addition, Imagenetix is to share in the profits of Hope Science, a sister company of Periodyne, that markets products to the professional and animal markets.

As a result of the expansion of product lines, the Company was able to obtain additional funding for the plan by selling stock and warrants to a group of individual investors. 

The Company was represented in its Chapter 11 reorganization by Robert E. Opera, Esq. of Winthrop Couchot Professional Corporation, a Newport Beach, California-based bankruptcy and corporate reorganization law firm.

About Imagenetix

Imagenetix, based in San Diego, California, is an innovator of scientifically tested, natural-based, proprietary, bioceutical products developed to enhance human health on a global basis.  Imagenetix develops and formulates proprietary over-the-counter topical creams, skincare products and nutritional supplements to be marketed globally through multiple channels of distribution.  In addition, the company develops patentable compounds for entering into licensing agreements with pharmaceutical partners.  

Certain matters in this news release are forward-looking statements which are subject to risks and uncertainties that could cause actual results to vary materially from those projected.  Such risks and uncertainties include, but are not limited to, adverse fluctuations in future operating results due to a number of economic, competitive, and other factors, including, among other things, the size and timing of customer contracts, new or increased competition, changes in market demand, and seasonality of purchases of the company's products and services.  Additional information with respect to these and other factors, which could materially affect the company and its operations, are included in the company's SEC filings.

SOURCE Imagenetix, Inc.