ASX Health Stocks: Painchek's Europe patent accepted; and HeraMed signs deal with Telstra Health

PainChek’s European patent
HeraMed signs deal with Telstra
AdAlta announced interim Phase 1 results
Avita lowers 2023 guidance

PainChek’s European patent application accepted

PainChek (ASX: PCK) announced that the European Patent Office (EPO) has issued a Notice of Acceptance for its patent application.

Entitled “A Pain Assessment Method and System”, the patent will enable PainChek to safeguard the intellectual property of its pain assessment and monitoring technology within the European market.

This includes exclusive rights to the commercialisation of its technology across the 39 member states of the European Patent Organisation, until 2035.

“This acceptance letter is the precursor to a fully granted patent, securing our intellectual property in the significantly large European markets which is key to our global strategy,” says PainChek’s CEO, Philip Daffas.

“This includes the UK where we continue to demonstrate growing adoption of PainChek.”

The new patent is in addition to the existing patents granted in the USA, Japan, and China providing intellectual property protection of PainChek’s technology across the largest healthcare markets in the world.

The PainChek App uses artificial intelligence (AI) and facial recognition to detect pain in those who cannot self-report, giving a voice to those who cannot verbalise pain.

For those who can self-report, PainChek Universal also includes access to the Numerical Rating Scale, a well-established standard used to document pain levels amongst these individuals.

HeraMed signs deal with Telstra

HeraMed (ASX:HMD) has signed a Partner Agreement with Australia’s largest e-health provider, Telstra Health.

The agreement allows HeraCARE to become the first remote maternity solution to join Telstra Health’s Smart Marketplace.

This is significant because Telstra Health is Australia’s largest provider of digital solutions and services to healthcare providers and governments across the care continuum, with over a decade of experience scaling virtual care solutions across Australia.

Integration of HeraCARE is now underway, with an expected launch in Q1 of 2024.

AdAlta’s interim Phase 1 results readout

AdAlta (ASX:1AD) announced interim results of its Phase I extension clinical study of its lead asset, AD-214.

The results were positive, and reinforced the safety profile and potential efficacy of the 10 mg/kg dose of AD-214, which further de-risks the planned Phase II studies in Idiopathic Pulmonary Fibrosis.

Study investigators reported no dose limiting toxicity, no need to interrupt doses, and no requirement to administer medication to manage infusion reactions.

The frequency of mild infusion-related reactions appears lower than that observed at 5mg/kg in the original Phase I study.

Results also show that the bioavailability of AD-214 and the blocking of its target receptor, CXCR4 (receptor occupancy), was in line with prior single dose studies.

In addition, the immune response to AD-214 was lower this time than observed in prior multi-dose studies.

“These interim results are very much in-line with our expectations,” said AdAlta CEO, Tim Oldham.

“We are sharing these results with potential partners, and anticipate that they will further enhance our existing out-licensing and project financing discussions.”

Full safety and tolerability results are due in the March quarter of 2024.

Avita updates full year guidance

Avita Medical (ASX:AVH) dropped over 7% this morning after announcing an update to its full year 2023 guidance.

The update was driven by slower-than-anticipated progress in its customer’s Value Analysis Committee (VAC) processes. VACs are groups that manage medical and surgical product use within a hospital.

As a result of these delays, Avita is revising its expected full year 2023 commercial revenue from the previously disclosed range of $51 million to $53 million, to a range of approximately $49.5 million to $50.5 million.

This reflects growth rates of approximately 45% and 48%, respectively, over the same period in 2022.

“Our expanded label for full-thickness skin defects opens up an abundance of exciting applications,” said Jim Corbett, CEO of Avita.

“With a wider range of potential uses, more clinicians within the hospital are engaged in the VAC process, leading to longer hospital approval timelines.”

Although the VAC processes are taking longer, Corbett said he expected that once completed, the process will yield positive approvals and an expanded market opportunity for the company.