SOURCE: MDwerks Inc.

October 25, 2006 10:01 ET

MDwerks, Inc. Secures New Financing Commitment Totaling $4.75 Million

DEERFIELD BEACH, FL -- (MARKET WIRE) -- October 25, 2006 -- MDwerks, Inc. (OTCBB: MDWK), a provider of innovative Web-based, electronic claims management and funding solutions for healthcare professionals, announced today that it has secured a financial commitment totaling $4.75 million from a seasoned institutional investor.

On October 20, 2006, the company closed on approximately half the net financing proceeds of $2.375 million. Closing for the balance is conditioned, among other things, on the company's amending a current registration statement to include the securities which may be issued upon exercise of warrants or conversion of notes issued in connection with the commitment. Terms and conditions of the financing are described in the Form 8K, which the Company filed on October 23, 2006.

Solon Kandel, President of MDwerks, said, "Financing proceeds will be used principally for marketing and sales and to enhance the Company's infrastructure and technology. MDwerks' claims management solutions are being enthusiastically received by healthcare providers in a variety of specialties, sizes and states. Both practitioners and lenders recognize that our solutions can greatly simplify essential business operations while freeing doctors to better serve their patients."

About MDwerks, Inc.

MDwerks, Inc., (OTCBB: MDWK), based in Deerfield Beach, Florida, provides healthcare professionals with automated electronic insurance claims management solutions and advance funding of medical claims through a revolving line of credit.

MDwerks™ solutions comprise an innovative Web-based, HIPAA-compliant system designed to reduce claims errors, denials and overhead and increase cash flow, revenue and profit for physician practices of almost any size, specialty or geography. Medical claims screening and appraisal also enables providers to elect immediately turning receivables into favorable borrowing assets. Lenders, healthcare payers and other related business associates, including billing companies and clearinghouses, also benefit from MDwerks solutions. For more information about the Company, please visit www.mdwerks.com.

Certain statements in this news release may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release, including, without limitation, statements regarding potential future plans and objectives of the companies, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Factors that could cause actual results to differ materially from those in the forward-looking statements include, among other things, the following: general economic and business conditions; competition; unexpected changes in technologies and technological advances; ability to commercialize and manufacture products; results of experimental studies; research and development activities; changes in, or failure to comply with, governmental regulations; and the ability to obtain adequate financing in the future. This information is qualified in its entirety by cautionary statements and risk factors disclosure contained in certain of MDwerks' Securities and Exchange Commission filings available at http://www.sec.gov.

Pursuant to a December 1, 2005 agreement, Consulting For Strategic Growth 1, Ltd. ("CFSG1") provides MDwerks, Inc. with consulting, business advisory, investor relations, public relations and corporate development services, for which CFSG1 receives a fixed monthly fee for the duration of the agreement. Independent of CFSG1's receipt of cash compensation from MDwerks, CFSG1 may choose to purchase the common stock of MDwerks and thereafter sell those shares at any time it deems appropriate to do so. For more information, go to www.cfsg1.com.

Contact Information

  • CONTACTS:

    Vincent Colangelo
    Chief Financial Officer
    MDwerks, Inc
    Tel: 954-389-8300
    Fax: 954-427-5871
    Email: Email Contact

    Stanley Wunderlich
    Chief Executive Officer
    Consulting for Strategic Growth 1
    Tel: 800-625-2236
    Fax: 212-337-8089
    Email: Email Contact

    Daniel Stepanek
    Media Relations
    Consulting for Strategic Growth 1
    Tel: 212-896-1202
    Fax: 212-697-0910
    Email: Email Contact