MSP Recovery Inc (NASDAQ:MSPR) shares are plunging Tuesday following the company's merger with special purpose acquisition company Lionheart Acquisition Corp II (NASDAQ:LCAP).
Despite the stock's poor performance on its public debut, MSP Recovery founder and CEO John Ruiz isn't deterred.
"It's a marathon, it's not a sprint," Ruiz said Tuesday on "Benzinga Live."
What Is MSP Recovery? MSP Recovery operates a platform which allows its customers to recover any claims where the law places primary payment responsibility on another payer. The company generates revenue via fees, which are only charged to a client following successful recovery.
"We go out, we find it, and we recover it, and we split 50/50 as it relates to all these payments that were made improperly," Ruiz said.
MSP Recovery discovered a need for a universal system that could store an individual's medical history securely and also allow convenient access to medical records when needed. This led to the creation of a biometrical wallet the company calls "LifeWallet."
"With our biometric technology, which we know is going to be the future, your facial recognition will be the tie-in to every database that exists," Ruiz said.
When a company bills a patient using LifeWallet, MSP Recovery's biometric technology is embedded in the bill, which prevents patients from paying bills they shouldn't, he explained.
"We think that's revolutionary, in fact, we know that it is and that's going to prevent fraud almost entirely," Ruiz said.
What's Ahead: MSP Recovery owns about $364 billion in paid claims, Ruiz said: "Out of the $364 billion, we've identified about $85 billion that were improperly paid."
He told Benzinga that the company expects to generate about $900 million in revenue for the year.
See the full interview here:
MSPR Price Action: MSP recovery shares were down 61.97% at $4.10 at press time.
Photo: Marco Verch Professional from Flickr.
