Medical technology company Osteopore (ASX:OSX) and its US sales distribution partner Bioplate have entered into a strategic sub-distribution partnership with Kelyniam.
The company reports Kelyniam specialises in the rapid production of custom prosthetics utilising computer aided design and computer aided manufacturing advanced medical grade polymers, and has established themselves as an esteemed distributor within the US medical industry, making them a ‘valuable’ partner in our ongoing expansion efforts.
Osteopore products are already available for the US and have US Food and Drug Administration (FDA) clearance. Kelynian’s primary focus initially, will be to secure sales for Osteopore products in a targeted set of about 20 hospitals across 8 key states, granting surgeons enhanced access to Osteopore’s bone regeneration technology.
“We are excited to work closely with Kelyniam and Bioplate to achieve our shared goals and contribute to the ongoing advancement of patient care and improved surgical outcomes”
Among the institutions selected for this initiative include John Hopkins Hospital, Boston Medical Centre, and Tampa General Hospital.
With an addressable market of US$1.1 billion, Osteopore reports the US cranial implant market is a ‘significant’ opportunity for the company. This latest sub-distribution partnership means Osteopore has achieved ‘substantial’ coverage of the US.
In addition to Bioplate’s network, the company will be able to leverage Kelyniam’s sales force of 60 representatives to further penetrate the market. Osteopore believes that it is now equipped with the resources and channels to meaningfully operate in the US.
The company also says the pricing structure in the US has the potential to improve top line revenue with product average selling prices between 3 to 5 times higher compared to countries in the Association of Southeast Asian Nations (ASEAN) and Asia Pacific.
Commenting on the agreement, Osteopore Executive Chairman Mark Leong said: “We are excited to work closely with Kelyniam and Bioplate to achieve our shared goals and contribute to the ongoing advancement of patient care and improved surgical outcomes. Their industry knowledge and dedication to excellence make them the perfect partner to help us expand our reach and impact in the Northeast United States.”
Also commenting, Kelyniam Global Chief Executive Officer Ross Bjella said: “Kelyniam continues to seek collaboration with technology leading companies in cranial surgery. The Osteopore technology will allow our sales representatives to bring this regenerative platform to surgeons who look to Kelyniam for innovative products.
The Osteopore relationship provides Kelyniam the opportunity to further expand our position in the US market. We are excited to support the adoption of this totally new technology in selected hospitals across several states.”
Additionally, Bioplate President Thomas Hopson said: “With the expansion of Bioplate’s commercial team, we are building a stronger position to expand Osteopore’s penetration in the US market. This new team will allow us to further support marketing activities and sales network across more states.
Today we have hospital accounts with products on the shelf in Texas, Nebraska, and Idaho, and recently approved in a key institution in southern California. Our team continue to work on listing Osteopore implants in selected hospitals across 13 states.
Kelyniam has been a part of Bioplate’s distribution network for its legacy products and will be able to leverage on Kelyniam’s strong customer base in northeastern US and Florida.”
Osteopore reports the 36-month agreement signed between Bioplate and Kelyniam has been effective since 30 March 2023, and may be renewbed for a successive term as agreed to by the parties. The terms of the agreement do not contain binding minimum sales thresholds, and each party will bear their own costs.
Either party may also terminate the agreement at the end of the initial term of any additional term by providing 30 days written notice to the other party.
Osteopore is an Australian and Singapore-based medical technology company commercialising a range of products specifically engineered to facilitate natural bone healing across multiple therapeutic areas. The company’s patented technology fabricates specific micro-structured scaffolds for bone regeneration through 3D printing and bioresorbable material