Medgroup to Acquire Product from Port O2 Gen

Medgroup Inc. in Encino said it has entered an agreement to acquire a patented portable medical oxygen-generating product from Thousand Oaks-based Port O2 Gen.

The 90-day option agreement cost 10,000 shares of Medgroup common stock and calls for the issuance of an additional 90,000 shares of Medgroup’s common stock to Port O2 Gen, which will also receive a 5% royalty based on gross sales of the portable oxygen system.

Medgroup, an operator of physical-, speech- and occupational-therapy centers, will distribute the battery-powered oxygen generators worldwide. The 1-pound units can be carried in a belt pack and would replace the push-cart oxygen bottles now in use.