Biofield cancels Bay Point Group merger talks
Biofield has terminated all discussions of a potential merger or acquisition with Bay Point Group (BPG), a developer of devices used to detect and diagnose cervical and vaginal diseases.
Biofield has terminated all discussions of a potential merger or acquisition with Bay Point Group (BPG), a developer of devices used to detect and diagnose cervical and vaginal diseases.
The companies entered into a letter of intent for a potential merger on 28 June, but this was terminated as a result of 'a mutual understanding that a merger would not be in the best interests of the parties at this time'. When merger talks were first announced, Biofield said the deal depended on its debt restructuring, equitable valuation of both companies and other terms, which it claimed to have begun.
Biofield - a medical device technology company that has developed a non- invasive system to deliver objective results that may be helpful in the early detection of epithelial cancers, including breast cancer - has said that it will continue to seek possibilities for expanding its women's health care product line. Its breast cancer detection system is still awaiting US FDA approval.
According to a Securities and Exchange Commission filing on 22 June, the company experienced a net loss of US$717,381 with no revenue in the first quar-ter, compared with a net loss of US$758,612 and US$10,500 in revenue in the first quarter of 2004. Since the company's inception in 1987, it has lost US$70.8m and generated US$135,132 in revenue. Its total liabilities exceed its total assets by nearly US$6.5m; it has depleted its cash resources and sacked all of its employees except chief operating officer John D. Stephens and chairman and ceo, Dr. David M. Long Jr.