Leading Aussie medtechs Osteopore and Singular Health reveal landmark deal
Health & Biotech
Health & Biotech
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After just dropping its best ever quarterly results, Aussie-listed med-tech Osteopore has followed that up by securing a 360-degree, multi-year agreement with fellow Aussie medtech and longtime collaborator Singular Health.
In a landmark deal, the Singapore-based Osteopore (ASX:OSX), a uniquely-positioned global supplier and manufacturer of natural tissue enhanced regenerative implants, has signed a broad collaboration agreement with SHG, focussing on a range of business opportunities across the USA and Australia.
OSX says the two companies will be aligning purposes, focusing on the procurement of enterprise licenses of 3Dicom VSP and the pursuit of joint M&A activities.
After going over the data of Osteopore and Singular’s recent joint study on the 3Dicom VSP module for Virtual Reality – where OSX and SHG teams remotely collaborated on cranial scans in real-time, Osteopore has agreed to four enterprise licenses of the 3Dicom R&D and VSP software.
These four licenses will see Osteopore branding added to the 3Dicom User Portal for its surgeons allowing them to visualise the OSX products in Virtual Reality.
The 3Dicom VSP software allows Osteopore to share virtual models of the cranium and cranial implants with end-users for training, educational and visualisation purposes anytime and anywhere.
On March 14 Singular Health (ASX:SHG) completed its Cranial Implant Design project with with Australia’s science agency, CSIRO, with the focus turning to the collaboration with Osteopore validating the model, and clearing US FDA and Australia TGA certifications.
Singular and Osteopore continue to work on modifying the AI cranial implant model to suit the Osteopore manufacturing process with the addition of a ‘skirt’ and netting of the implant.
This work continues to progress ahead of the planned comparative study in a clinical setting.
The companies say a rich new seam of opportunities have opened up in North America – both at an operational/commercial level and at a corporate level – following separate representations to the American Association of Neurological Surgeon’s (AANS) and subsequent discussions with medical implant makers.
With Osteopore providing both a cutting-edge material and manufacturing technique, and with Singular Health providing design software and an integrated means for surgeons and designers to collaborate.
The synergies of combining design and manufacture have already led to joint presentations and conversations by Osteopore and Singular Health to third parties in the USA, Australia, and Europe.
Singular Health MD Thomas Hanly says today’s landmark agreement helps to formalise future collaborative activities as the medtech’s jointly hunt for potential M&A opportunities in the USA, Australia, and Europe.
“This agreement builds on our existing research collaboration with Osteopore and the CSIRO to build an Artificial Intelligence Tool that can design a Patient Specific Cranial Implant from a CT scan using our 3Dicom Software Suite.
From that initial collaboration, the two companies have been active in reviewing and developing commercial opportunities using our software and Osteopore’s bio-resorbable material in Australia, the USA, and South-East Asia.
“The cranial AI tool built from our original agreement has now been complemented with a skirt or flange that confirms to the unique requirements of Osteopore’s bio-resorbable material and reduces the time taken to design a patient-specific implant from up to 3 hours to less than 30 minutes with custom edits.” Hanly said.
This positions the two companies squarely in the global cranial implant market which KBV Research says will be worth some US$1.7 billion by 2027 with a combined annual growth rate of 11.5%.
Osteopore CEO Goh Khoon Seng called the deal incredibly exciting, as it “allows Osteopore to provide a more holistic solution to our partners and surgeons”.
“We hope to provide our partners and surgeons with the better-quality tools to help improve the quality of patient care,” Goh Khoon Seng said.
The collaboration is effective immediately, for a term of 3 years with each party bearing their own costs in relation to the collaboration.
The costs of the enterprise licenses of the 3Dicom R&D and VSP software as well as the development of Skirted AI Cranial Implant Model are not expected to be material at this stage.
The collaboration agreement contains termination provisions and other terms that are standard in agreements of this nature.
The deal follows the release last week of Osteopore’s highest-ever quarterly revenue.
This article was developed in collaboration with Osteopore, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.