• Surgeons can now be reimbursed for the use of Orthocell’s nerve-reconstruction device
  • SaaS player ReadyTech is considering a takeover offer from an Aussie private equity firm
  • Creso is raising up to $7.6m to advance sales and marketing of its cannabis product line

 

Regenerative medicine company Orthocell (ASX:OCC) has been notified by the Australian Government Department of Health that its Remplir device for peripheral nerve reconstruction has been included on the Australian Prostheses List (PL). 

It’s a pretty big deal, because inclusion on the PL enables surgeons to receive reimbursement from private insurers for the use of Remplir in peripheral nerve-repair procedures – reducing costs to the patient. 

Clinical studies have shown nerve repair with Remplir consistently restores arm and hand function and the Australian addressable market for nerve repair and reconstruction is large, with 11,7801 surgical repairs of peripheral nerves completed in public and private hospitals in the 2019/20 financial year alone.

The company believes Remplir will become the market-leading nerve-repair device, with uptake driven by surgeons’ preference for high-quality, easy-to-use devices that reduce the need for damaging sutures, thus facilitating better patient outcomes.

Inclusion on the PL follows Australian market approvals for RemplirTM medical device in March and the appointment of Device Technologies (DVT) as the exclusive distributor of Remplir across Australia and New Zealand, with first orders shipped last month.

DVT will market and distribute Remplir, undertaking targeted promotional activities, initiating sales, and expanding the network of referring plastic and orthopaedic surgeons. 

 

OCC share price today:

 

Other health and tech stocks with notable news:

READYTECH (ASX:RDY)

The company has responded to speculation and confirmed that yep, it’s received a conditional, non-binding indicative proposal from Australian private-equity firm Pacific Equity Partners Pty Limited (PEP) to acquire ReadyTech by way of a Scheme of Arrangement at an offer price of $4.50 per share.

Notably, ReadyTech – a provider of education, workforce, and government software – has been cashflow positive since it listed three years ago.

Funds managed by Pemba Capital Partners Pty Ltd (Pemba) currently hold 32.01% of the issued share capital of the company and the proposal contemplates that PEP will obtain relief from the Australian Securities and Investments Commission to allow PEP and Pemba to work jointly together in relation to the proposal. 

An Independent Board Committee has been established, and they have granted PEP non-exclusive access to non-public due diligence information to allow it to develop a more certain proposal.

ReadyTech says discussions are ongoing and there’s no certainty that they will result in a transaction.

 

CRESO PHARMA (ASX:CPH)

The cannabis player has secured commitments to raise up to $7.6m through two separate issues of convertible notes – including an agreement with NYC-based asset and fund manager Obsidian Global to raise up to $5 million.

The funds will be used to support marketing and sales of the company’s existing products in Canada, Europe, and the US, further advancement of Halucenex’s Phase II clinical trial, review and completion of potential M&A opportunities, and general working capital.

“Obsidian has a successful track record of supporting ASX-listed growth companies and we believe that the financing provided by both convertible notes will allow us to continue progressing various opportunities being presented in the current macroeconomic environment,” CEO and MD William Lay said.

 

HITIQ (ASX:HIQ)

Another capital raising but this time from concussion management company HITIQ, which is seeking to raise up to $6.35 million via a renounceable rights issue offer of 8 new shares for every 5 shares held by eligible shareholders at an issue price of $0.03 per new share. And that’s together with one free attaching new option for every new share subscribed. 

Funds will be applied to sales and marketing of the consumer-facing product suite, and further development of the concussion technology platform including completion of virtual reality pre-clinical activities.

HITIQ will also use the money for working capital purposes and possible IP acquisition opportunities.

 

 

RDY, CPH and HIQ share prices today:

 

 

At Stockhead we tell it like it is. While Creso Pharma is a Stockhead advertiser, it did not sponsor this article.

 

 

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