Feedback Plc (LON:FDBK) have told the market about signing a new deal with a US based technology firm.
Feedback said that it had agreed a commercial partnership agreement with Imagine Engineering LLC to support the installation and refitting of a modernized fluoroscopic medical equipment across the US.
Imaging Engineering is the manufacturer of an X-ray fluoroscopy product, “Insight Essentials” which enables the capture of fluoroscopy and X-ray images using low-cost hardware.
Fluoroscopy is a form of dynamic X-ray capture which enables real time, moving patient imaging and is commonly used for a number of imaging investigations within gastroenterology, orthopaedics and interventional radiology.
Under the terms of agreement, Feedback Medical, Feedback’s wholly owned subsidiary, will receive a license fee for each installation performed by Imaging Engineering and will have no commitment beyond maintaining and providing the software.
The firm also added that all intellectual property relating to the software will remain with Feedback.
Feedback will provide the core software to manage the entire system for the “Insight Essentials” product, from image capture through data management to DICOM (Digital Imaging and Communications in Medicine) networking
Feedback Medical will receive a licence fee for or each installation performed by Imaging Engineering.
Tom Oakley, CEO of Feedback plc, said:
“This partnership will allow US healthcare providers to modernise their fluoroscopic equipment to meet the needs of the next decade, with considerable savings for the provider and a reduction in equipment disposal. For Feedback, the licence fee provides us with a new stream of revenue reflecting our strategic focus on the Cadran product portfolio which includes our flagship product, Bleepa, and its commercial roll-out in 2020. We look forward to continuing to work with Imaging Engineering as it rolls out the Insight Essentials system throughout the United States.”
Feedback grow following Bleepa trial
In November, the firm updated shareholders about a new trial with Pennine Acute Hospitals NHS for its new medical communication platform, Bleepa.
Bleepa is a platform which enables clinicians to access medical grade images through smartphones, tablets and desktop computers.
Dr Georges Ng Man Kwong, Consultant Chest Physician and CCIO of Pennine Acute Hospitals NHS Trust, commented:
“Bleepa is addressing a direct clinical challenge to better support our busy respiratory clinicians (at the Royal Oldham Hospital) by improving referral process and patient care. Each referral requires rapid and reliable access to radiology images and clinical handover information, and a means of messaging referring teams and documenting outcome. Bleepa has the potential to bring this together for our clinicians and therefore for our patients. We are delighted to be involved with this innovation solution.”
The medical technology sector remains volatile
Consort Medical plc (LON: CSRT) are a noteworthy name in this sector. The firm said that interim profit was bruised due to an incident at its Aesica Cramlington manufacturing facility.
Consort’s pretax profit for the six months ended October 31 was £1.2 million, far less than the £9.6 million profit posted the year before as revenue fell 4.3% to £146.0 million from £152.5 million.
This was primarily caused by the Cramlington incident, in which a small area of the Northumberland-based operating plant was damaged in what was described by Consort at the time as “the rapid thermal degradation of a chemical resulting in the expulsion of material and contamination of the facility”.
Additionally, AorTech International plc (LON: AOR) have seen shares become volatile following research and development investments.
AorTech is focused on the commercialization of its world leading biomedical polymer technology, components and medical devices.
AorTech has, through a licence and supply agreement, all of its materials manufactured by Biomerics, a leading contract manufacturer and innovative polymer solutions provider in the USA.
The firm said in an update to shareholders said that it had widened its interim loss on costs. However, shareholders did get some consolidation with the fact that revenues had rose.
It seems that shareholders have been more focused on the revenue gains rather than the widened loss, as share price moved positively this morning.
For the six months to the end of September, the biomaterials and medical devices firm said its pretax loss widened to £239,000 from £225,000 the year before.
This was due to administrative expenses rising by 29% to £451,000 from £350,000, as a result of research & development activities.
However revenue, which comes from the licensing of AorTech’s polymer technology, grew by 27% to £299,000 from £236,000 the prior year.
Shareholders of Feedback should remain confident with the firm, as the new deal will allow them to expand into the US medical technology market which may see longer term benefits.
Shares in Feedback plc trade at 0.95p (-6.40%). 13/1/20 13:14BST.