Med/Waste, an Opa-Locka, Fla.-based medical-waste disposal company, raised $5.5 million last month in an initial public offering of common stock and warrants.
The company sold 910,000 shares of stock and 455,000 warrants. The underwriters also have an option to buy an additional 136,500 shares. The securities are traded over the counter.
Proceeds from the offering will be used to expand into new markets, buy autoclave units and finance working capital needs.
Comprehensive Capital Corp. was the managing underwriter.
Med/Waste provides collection, transportation, tracking and other waste-management services through its wholly-owned subsidiary, Safety Disposal System. Its clients are primarily small-quantity medical-waste generators, such as clinics, medical and dental offices, and home health agencies in southern Florida.
To compete for more hospital business and build market share, Med/Waste intends to reduce its costs by owning and operating its own treatment facilities. The company has signed a contract to buy an autoclave unit and has obtained a state permit to operate it in West Palm Beach, Fla.
Med/Waste, through its SDS subsidiary, has been in the medical-waste business since 1989. It acquired SDS in March 1992 and another company, Delray Medical Disposal Services, in September 1992.
For its fiscal year ended Dec. 31, 1992, the company reported net income of $31,354 on revenues of $1.2 million.