UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934
Date of Report: February 17, 1999
MEDIX RESOURCES, INC
(Exact name of registrant as specified in its charter)
Colorado 000-24768 84-1123311
(State or other (Commission (IRS Employer
jurisdiction (File Number) Identifiation No.)
of incorporation)
7100 East Belleview Ave., Suite 301,
Englewood, CO 80111
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (303) 741-4828
None
(Former name or former address, if changes since last report)
Item 5. Other Events
Press release dated February 17, 1999 announcing services to be provided by two
outside advisors in preparation for expansion of the Company's health care
internet business.
Reg. S-K
Exhibit No. Description Item No.
*99.1 Press release 99
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
MEDIX RESOURCES, INC.
Date: February 25, 1999 By:/s/ John P. Yeros
John P. Yeros, President and Chief Executive
Officer
Company Contacts:
Medix Resources, Inc.
John P. Yeros
(303) 741-2074
Gene Martineau
(212) 348-1880
Medix Resources Prepares for Expansion of its Health Care Internet
Business
DENVER, Feb. 17 -- Medix Resources, Inc.(OTC Bulletin Board: MDIX) in
preparation for the anticipated rapid growth and expansion of it's subsidiary,
Cymedix Lynx, Inc., has retained the services of two outside advisors. Both
organizations will be assisting Cymedix in constructing a secure foundation and
flexible infrastructure to support and sustain accelerated growth and diversity.
Cymedix Lynx is a healthcare Internet technology company that provides
connectivity and E-commerce between physician's offices, industry service
providers and health plan insurers. As a result of its unique, proprietary
technology, Cymedix has signed and is preparing to implement a previously
announced agreement with a national health plan benefit provider The agreement
envisions the introduction of the proprietary Cymedix Lynx technology to
insurer's national provider network of more than 100,000 physicians.
Medix has retained The Fountainhead Group LLC, a merchant banking firm, to
assist in capital raising and strategic partnership exploration for Cymedix.
Joel Newman, General Partner of The Fountainhead Group and Medix shareholder,
stated "Cymedix combination of unique Internet technology base, E-commerce
strategy, and non-physician centric approach to facilitating health care
transactions looks like a win for payers, providers and patients. At current
valuations, it could potentially be a win for the investors as well -- we
believe that the company is significantly undervalued when compared to Healtheon
(HLTH) and CyBear (CYBR). This valuation gap will theoretically narrow as the
company expands its capital resources and bolsters its management ranks."
To that end, Medix has begun a search to buttress the Cymedix management team in
anticipation of the demands that accelerated expansion will place on it's
existing structure. John Yeros, Medix's CEO and Chairman of the Board, states:
"With the impending implementation of our Wellpoint agreement, the Board of
Directors and I recognize that Cymedix is transitioning from a technology driven
development phase to becoming a commercial entity. The right management team
will be the catalyst that converts exciting technology into shareholder value.
We are gratified that Keith Berman, former President of Cymedix, will continue
to contribute to our success as a technical and strategic consultant."
Medix has engaged the services of Creative Management Strategies (CMS), a New
York based health care executive search firm, to recruit health care executives
to help guide Cymedix through its expected period of rapid expansion." CMS
recognizes the tremendous opportunity that exists in the Cymedix technology
platform," states John R. Prufeta, President and CEO of CMS. "We are extremely
confident that Cymedix will attract a President and CEO with demonstrated
experience in taking a high potential organization through rapid expansion to
profitability."
*** "Safe Harbor" Statement under the Private Securities Litigation Reform Act
of 1995: The Statements contained in this release which are not historical facts
contain forward-looking information with respect to plans, projections and/or
future performance of the Company, the occurrence of which involve certain risks
and uncertainties detailed in the Company's Form 10K-SB for 1997 and Form 10-QSB
for its second quarter of 1998 that were filed with the Securities and Exchange
Commission on March 30, 1998 and November 9, 1998. Such information is available
from the SEC or from the Company.
