| Milestone Medical Inc. Announces Distribution Agreement for Epidural Instrument in China The Board of Directors of Milestone Medical Inc. (WAR: MMD, the Company, the Issuer) announces that yesterday December 11, 2014 it has entered into a distribution agreement with Milestone China for its epidural instrument. Milestone China will oversee sales and distribution of the instrument in China and other parts of Asia. Under the agreement, Milestone China has agreed to certain minimum purchases following Chinese FDA (“CFDA”) marketing clearance as a condition of the distribution agreement. Year one minimum purchase is 250 instruments; year two is 550 instruments and year three is 750 instruments. CFDA marketing clearance can be sought only following FDA marketing clearance in the United States, which is not expected before mid-2015. Milestone China is a joint venture distribution company between Milestone Scientific Inc. and a team headed by a senior healthcare executive from China. The focus of Milestone China is to supply and distribute medical and dental instruments, and disposables to China and other Asian markets. Lidong Zhang, Chief Executive Officer of Milestone China, previously held senior executive positions with leading healthcare distribution companies in China, including President of China National Medicines Corporation, Ltd. (CNMC), a billion dollar distributor of medical products in China. He also served as President of China National Pharmaceutical Logistics Co. Ltd, and Vice President of China National Bio-tech Group. He also served as Chairman of National Medicines Prospect Dentech (Beijing) Co. Ltd. The Issuer is looking forward to working closely with Milestone China to introduce the epidural instrument across China. The number of annual epidural procedures is growing rapidly in China—but with that growth comes inherent risks associated with this procedure. Women in China and around the world suffer a wide array of complications with conventional epidurals – ranging from severe pain to wet tap to paraplegia and even death. The Company believes this instrument will not only be a commercial success, but will positively impact the lives of millions of women in China. In clinical studies, the Company’s platform technology was able to reliably identify pressure characteristics of the different tissues, including the decrease in pressure in the epidural space. Practitioners using the Issuer’s instrument correctly identified the epidural space 100 percent of the time (Gelber, Gebhard, et al. Regional Anesthesia and Pain Medicine, 33:4; 2008). Within seconds, the location of the needle can easily be determined, with lower pressures indicating the needle is in the correct location. The Issuer’s Board of Directors believes that Milestone China is an ideal distribution partner, as the principals have extensive expertise and proven track records launching new medical devices in China. Moreover, they have committed to meaningful minimum purchases following CFDA marketing clearance which further reinforces their confidence in the market for the Company’s instruments. The Company decided to issue report about signing above agreement because the Issuer considers it to be significant due to its impact on the business, property and financial situation of the Company and its growth outlook. Legal basis: Section 3.2 point 2) of the Exhibit 3 to the Alternative Trading System Rules “Current and Periodical Information in the Alternative Trading System on the NewConnect Market". |
| Data | Imię i Nazwisko | Stanowisko | Podpis | ||
| 2014-12-12 15:44:13 | Joseph D'Agostino | CFO |
