Dewmar International BMC Inc (OTCMKTS:DEWM) Announces New Funding And Expansion Plans

We very recently reviewed Dewmar International BMC Inc (OTCMKTS:DEWM) on June 25^th. Immediately following on the next day, some important news about the Company was released. In the interest of keeping our subscribers well informed and up to date, we are doing a supplemental follow-up to our last review of the company.For those that are not familiar with the company, Dewmar International BMC, Inc. is a diversified operating company headquartered in Clinton, Mississippi with additional office locations in New Orleans, Louisiana; Houston, Texas and Denver, Colorado. The Company conducts business across a variegated set of categories and sectors including consumer goods, wholesale trade, pharmaceuticals and health sciences. The company and its subsidiaries develops, markets, and distributes goods, therapeutics and a host of professional services across national and international markets through licensing agreements, distribution contracts, fee-for-service arrangements and e-commerce platforms.On June 26, 2017, Dewmar International BMC Inc announced its Profit Reinvestment Program™ (PREP) which was formed in 2015 to earmark up to $4,000,000 in retained earnings towards a series of synergistic business opportunities with the objective of creating diversified revenue streams for the Company. The Company will initially focus on investments in Healthcare Services/Technologies. Six investments are planned:

• Formation of Health & Wellness Research Consortium, LLC, a wholly-owned subsidiary of Dewmar, whose objective is to develop, implement and execute healthcare sales and marketing programs for pharmacies, clinics and hospitals with the goal to help the client improve patient care, broaden market presence, influence effective prescribing behaviors and ultimately maximize their return on assets.
• Investment fund for the acquisition of Dimension Pharmacy, a Texas retail specialty pharmacy.
• Investment fund for the purchase of Medicine Shoppe, a Louisiana traditional retail and specialty pharmacy combo.
• Formation of Tri-Health Solutions, Inc., a wholly-owned subsidiary of Dewmar, whose objective is to provide telemedicine services to Mississippi, Louisiana and Texas based healthcare systems.
• Clinton Wellness Center, LLC investment fund, a Mississippi urgent care clinic and telemedicine center.
• First-round investor in CirrusMD, a leading national telemedicine and acute care provider for large employers which recently announced a $7 million Series A financing led by Colorado Impact Fund, joined by Bootstrap Incubation, Three Leaf Ventures, Rockies Venture Fund, Service Provider Capital, Sand Hill Angels, and New York.

The Company also released news on the financial front. On June 28, 2017, Dewmar International BMC Inc announced today the retirement of over 100 million outstanding shares of common stock. In an effort to improve the capital structure of the Company and overall shareholder value, the company successfully negotiated through a series of private transactions, the retirement of these shares after a series of discussions with a number of longstanding shareholders. This action will improve the capital structure of the Company and overall shareholder value. CEO Dr. Marco Moran stated:

“The return of these shares to the treasury instantly adds value to our shareholders and demonstrates our commitment to our loyal shareholder base while maintaining a strong and healthy capital structure. Furthermore, the definitive retirement of these significant amount of shares shall be reflected on Dewmar's upcoming quarterly report and it will cause a retroactive improvement of the Q1 2017 financials."

This was the first of multiple attempts that Dewmar will be actively pursuing to retire outstanding shares and to tighten up the float as much as possible. The Company is targeting another 400 Million shares for return to the Company’s treasury. With outstanding shares at 2.43 Billion, on a market cap of $19.65 million, stock dilution can be construed by some investors as a problem for Dewmar. Taking meaningful steps to curtail the dilution will go a long way to attracting investors. We will be updating our subscribers as soon as we know more. For the latest updates on DEWM, sign up below!Image courtesy of FlickrDisclosure: We have no position in DEWM and have not been compensated for this article.