SOURCE: Michelex Corporation

Michelex Corporation

April 26, 2011 09:15 ET

Michelex (PINKSHEETS: MLXO) Announces Series of Acquisitions

NEW YORK, NY--(Marketwire - Apr 26, 2011) - Michelex Corporation (PINKSHEETS: MLXO) ("Michelex") has signed a binding letter of intent to acquire, from Girish Desai, MD, 100% of the ownership interest of Vitacoat Corp., Alpro Inc., and G&P International LLC. All three entities are under the common, privately held ownership of Dr. Girish Desai. The total acquisition cost is $5,800,000. The terms of this LOI require that the contract be executed within 30 days after due diligence is completed by Michelex. As a result of the proposed transaction, the three entities will become wholly owned subsidiaries of Michelex. In addition to these proposed acquisitions, Michelex has acquired controlling interest in Medscan National Corporation.

About Vitacoat Inc. & Alpro Inc. ("Vitacoat")

Established in 2001 and located in South Hackensack, NJ, Vitacoat has been filling the soft gel, capsule, tablet, and micro-tablet coating needs of the nutritional industry. Vitacoat's staff of twelve trained professionals, with over 50 years combined experience in coating technology, is expertly equipped to meet a variety of coating requirements for nutritional supplement manufacturers. Utilizing modern, high-capacity, state-of-the-art equipment and technological skills, Vitacoat produces coating solutions in-house and offers R&D services to customers in an efficient and economical manner. With its service area covering over half the country, Vitacoat's customers range in size from start-up firms to large corporations. With its FDA registered, fully cGMP compliant plant, Vitacoat is capable of providing coating services to pharmaceutical tablet and capsule manufacturers as well. Vitacoat produced approximately $2.0 million in revenue in 2010.

About G&P International LLC ("G&P")

G&P owns a 32,000 sq. ft real estate property in Union, NJ. With appx. 17,000 sq. ft of the space under long-term lease, G&P produces gross revenue of $228,000 yearly. The remaining space is expected to net about $100,000 a year in additional rental income.

About Medscan National Corporation ("Medscan")

Medscan is a management service organization primarily engaged in providing management services to Diagnostic Imaging Centers and Clinics in New Jersey. Medscan was instrumental in facilitating Michelex's acquisition of United Mortgage Bankers, Ltd. ("United") and Pristine Pharma Corporation ("Pristine") and providing management services to United and Pristine through its network of professionals in the financial industry.

MICHELEX

Michelex Corporation, founded in 1999, is currently comprised of subsidiaries with a diversified portfolio of businesses in the areas of financial services and pharmaceutical drug manufacturing and distribution.

More information about Michelex is available at: http://www.michelex.com

Safe Harbor:
This release may contain forward-looking statements within the meaning of the Private Securities Litigation reform Act of 1995. These statements and the matters discussed in this news release are forward-looking statements that involve a number of important risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements, including, but not limited to, the extremely limited operating history, the performance of the subsidiaries, as well as other economic, competitive and technological factors involving the subsidiaries' operations, markets, services, products and prices., uncertainties related to the company's access to additional capital, the ability of the subsidiaries to enter into contracts with new customers, and dependency on key management.

Contact Information

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