Osteopore cracks billion dollar US bone healing market, shares surge
Health & Biotech
Health & Biotech
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Special Report: Osteopore breaks into billion-dollar US bone healing market with brand new deal.
Osteopore (ASX:OSX) has breached the massive US market, signing a distribution deal to market, promote and sell its patented 3D printed bioresorbable bone healing products through Biolate Inc.
The stock shot up 115 per cent by mid-afternoon to 86c.
This is the company’s first US distribution agreement since its IPO in late 2019.
Osteopore plans to work closely with Bioplate to initially penetrate key US clinical institutions and support them with hospital listings, driving product adoption and generating sales.
Bioplate has already received small orders from the University of California and Stanford in the San Francisco area.
“The current bone graft substitute market is worth around $US4bn, and sales of permanent implants are estimated at over $US100bn annually,” said Osteopore chief Khoon Seng Goh.
“With a large portion of this opportunity sitting within the US, penetrating this region is a major milestone for the business. We will now continue to focus on development and manufacturing of our products and build additional commercial partnerships with parties who will be responsible for the sales and distribution of the products into other US territories.”
Osteopore is a Singapore-based medical device company which is commercialising a range of 3D printed bioresorbable scaffolds for regenerative bone healing.
Its bioresorbable bone scaffolds Osteomesh, Osteoplug, and Osteoplug-C products have approval from the TGA for use in Australia, Europe and the US as well as in Singapore and several East Asian countries.
Osteopore is already generating growing revenue from sales from its existing, primarily Asian distribution network, and is continuing to consider distributors for other regions.
The new US agreement is for two years and will see Bioplate distribute Osteopore products on a non-exclusive basis for cranial and neurosurgery procedures.
It covers select states within the US market, covering California, Arizona, Texas, Ohio, Wyoming Indiana and Puerto Rico. Bioplate will cover all technical support requirements for the Osteopore products as well as educational and training support.
The training program for Bioplate sales representatives will begin shortly and Osteopore will be involved in the initial promotion to a number of influential neurosurgeons over the coming weeks.
Bioplate is an established market leader in providing cranial fixation solutions for neurosurgery around the world.
With two decades of experience in product innovation and sales, they have strong relationships with doctors, health professionals, hospitals and health services, as well as significant sales and client support necessary for market penetration of the technology.