Exhibit 99.1
FOR: MEDIX RESOURCES, INC.
CONTACT: John R. Prufeta, President and CEO
212/697-7207
212/697-3509 (fax)
[email protected]
KCSA CONTACTS: Paul Holm/Joseph A. Mansi
212-896-1201/896-1205
[email protected]/[email protected]
www.kcsa.com
FOR IMMEDIATE RELEASE
MEDIX RESOURCES IN PACT TO ACQUIRE ZIRMED.COM
- - - - -
First To Offer Real-Time, Web-Based Technology For Healthcare Providers To Enter
And File Medical And Dental Claims Directly Over The Internet
NEW YORK -- May 30, 2000 -- Medix Resources, Inc (AMEX: MXR), a developer and
provider of internet-based solutions for clinical management in the healthcare
information system market, today announced the signing of an option agreement to
acquire ZirMed.com Inc., a leading pioneer of Web-based medical claims filing
services.
Located in Louisville, KY, ZirMed.com is one of the first in the nation to offer
real-time, Web-based technology for healthcare providers to enter and file
medical and dental claims directly over the Internet. With ZirMed.com's
patent-pending suite of products, healthcare providers and payers can eliminate
costly paper trails and dramatically shorten reimbursement cycles. As the
beginning phase of joining the two enterprises, Medix and ZirMed.com have agreed
to an immediate joint marketing initiative. Near term, product integration will
strengthen the aggregate product portfolio to include patented process
interfaces, a highly-evolved thin client application, an established ASP
platform and fully remote sales, support and deployment capabilities.
Medix has paid an initial $100,000 installment of the $500,000 option price to
ZirMed. Under the provisions of the option, Medix has the right to conduct a
complete due diligence review of ZirMed before making any further installments
or deciding to proceed with the acquisition. However, if Medix determines at any
time not to proceed with the acquisition, the amount of the option purchase
price that has been funded at that time will be converted into equity of ZirMed.
The acquisition is subject to the negotiation and signing of a definitive
acquisition agreement.
John R. Prufeta, President and CEO of Medix, stated, "We are thrilled to have
the opportunity to join forces with ZirMed. With over 400 active provider users
and planned expansion of that base, ZirMed is a clear leader in the ASP claims
processing arena. Together, we can provide tremendous value to healthcare
providers, HMOs, PBMs, and drug companies. ZirMed's patent-pending thin-client
technology is a critical piece of the puzzle in delivering our next generation
of Internet transaction services. We believe that our companies will provide
services that significantly compress the claims reimbursement cycle and
dramatically reduce administrative costs within the healthcare industry. We
believe that Web-based medical claims processing represents a significant
opportunity that will enhance the deployment of our full suite of healthcare
transaction processing services." "The purchase option by Medix Resources, Inc.
fulfills an important objective for ZirMed.com which enables us to offer
immediate services to our current customer base and positions us to provide more
features and functionality to our critical markets," said Ken Dicken, President
and CEO of ZirMed.com Inc. "A vision of the founders of ZirMed.com is becoming a
reality with the opportunity to become a part of a public company without an
expensive IPO process for the shareholders. ZirMed.com is excited about the
powerful value this partnership will produce and looks forward to increased
profits through improved reimbursement cycles and lower costs for our many
provider and payer customers," continued Mr. Dicken.
About ZirMed.com(TM)
Located in Louisville, KY, ZirMed.com(TM) is one of the first in the nation to
offer real-time, Web-based technology for healthcare providers to enter and file
medical and dental claims directly over the Internet. ZirMed.com(TM) is
continually developing innovative ways to supply simpler provider solutions that
are fast, easy, affordable ad secure. With ZirMed.com's(TM) patent-pending suite
of products, healthcare providers can eliminate costly paper trails and shorten
the reimbursement cycle dramatically. ZirMed.com(TM) services are incredibly
affordable with fees as low as $39 a month, per physician, for unlimited claims
submissions. For more information on ZirMed.com(TM) contact Vice President of
Mergers and Acquisitions, Terry Minton, at 1-877-4ZIRMED or visit the Web site
at www.zirmed.com
About Medix Resources, Inc.
Medix Resources, Inc. is a developer and provider of a suite of fully-secure,
patented Internet based software products, that allow instantaneous
communication of high value added healthcare information among doctor offices,
hospitals, health management organizations and insurance companies. Additional
information about Medix Resources and its products and services can be found by
visiting its Web sites, www.medixresources.com and www.cymedix.com, or by
calling 800/326-8773.
# # #
Information in this press release contains forward-looking statements that
involve risks and uncertainties that might adversely affect the Company's
operating results in the future to a material degree. Such risks and
uncertainties include, without limitation, the ability of the Company to raise
capital to finance the development of its software products, the effectiveness
and the marketability of those products, the ability of the Company to protect
its proprietary information, and the establishment of an efficient corporate
operating structure as the Company grows. These and other risks and
uncertainties are presented in detail in the Company's Form 10-KSB for 1999,
which was filed with the Securities and Exchange Commission on March 30, 2000.
This information is available from the SEC or the Company.
This press release is available on the KCSA Public Relations Worldwide Web site
at www.kcsa.com
