AorTech signs licensing agreement for medical device components
8 January 2009
AorTech International plc (AIM: AOR) the biomaterials and medical
device development company, has announced a technology license and
material supply agreement with a leading manufacturer of a
life-sustaining circulatory support system.
This agreement calls for the use of AorTech-manufactured Elast-Eon
components in the device. The license structure includes upfront and
volume-related payments in addition to provisions for polymer and
As the first of several combined polymer license and component supply
agreements, AorTech has now entered into a phase of its commercial
development where the supply of specialized Elast-Eon components will
become the norm.
In a number of pending licenses, the customer has chosen to leverage
AorTech’s expertise with certain polymer processing techniques to their
advantage. These types of agreements have significantly higher revenue
potential than the material licensing and supply agreements that helped
launch AorTech. Industry consensus is that the heart-assist device
market could reach between $8 billion and $10 billion worldwide within
the coming decade.
Frank Maguire, AorTech Chief Executive Officer said, “Elast-Eon’s
application to the long-term circulatory support device is a natural
extension of its two and a half years of successful clinical experience
in long-term cardiovascular implants requiring high fatigue resistance,
and best-in-class biostability.
"With regulatory approvals in the US, Canada, Europe, Israel, Japan
and Australia, and clinical use approaching one million patients, Elast-Eon
continues to be selected for the most demanding medical device
applications. This agreement is also significant in that it represents
AorTech’s first large scale component supply agreement. Shipments are
expected to commence in 1st quarter of 2009.”
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