CRH Medical Announces Regulatory Approval for the O'Regan System in the Philippines
-Company Also Announces Distribution Agreement with Goldstar Medical Systems-
VANCOUVER, May 8, 2012 /CNW/ - CRH Medical Corporation (TSXV: CRM) (OTCQX: CRMMF), a North American medical company focussed on providing physicians with innovative products for the treatment of gastrointestinal diseases, today announced that the Philippine Food and Drug Administration has approved the Company's O'Regan System for distribution in the Philippines.
CRH Medical has partnered with Goldstar Medical Systems Inc. for the distribution of the CRH O'Regan System. The O'Regan System is a single use, disposable, hemorrhoid treatment that is safe and highly effective in treating hemorrhoid grades I - IV. The Company's goal is to establish the O'Regan System as the standard of care for hemorrhoid treatment.
"Expanding the O'Regan System's distribution into the Philippines is consistent with our strategy of working to accelerate our revenue growth," said Edward Wright, CRH Medical's Chief Executive Officer. "We are looking forward to working with Goldstar to build awareness and usage of the CRH O'Regan System in the Philippines."
"We're excited to introduce the CRH O'Regan System to our physician partners in the Philippines," said Efren Garcia, President of Goldstar. "We are confident that the combination of our marketing capabilities and the efficacy and safety of the CRH O'Regan System will create a compelling market opportunity for both companies."
Under the terms of the deal, CRH Medical will provide Goldstar with the CRH O'Regan System and access to all of its training and marketing materials. In turn, Goldstar will be responsible for creating physician and consumer awareness of the O'Regan System, as well as training physicians.
About Goldstar Medical Systems Inc.:
Goldstar Medical Systems Inc. started its medical x-ray films and other radiology products distribution in the Philippines more than two decades ago. Presently the company, with its headquarters in Manila, distributes Agfa Healthcare medical x-ray products to all major hospitals and clinics via its own highly trained professional salesforce, and through dealers in Visayas and Mindanao. The company trains its salesforce not only in the art of selling but more importantly in the technical aspects of the products it sells to provide the best results to radiologists and radiologic technologists in the hospitals and clinics. The Board of Directors and Senior Management of Goldstar have cumulative experience of more than 60 years in the marketing and selling of healthcare products.
About CRH Medical Corporation:
CRH Medical Corporation specializes in the distribution of innovative medical products directly to physicians, particularly those in the gastroenterologist community. The Company's lead product, the CRH O'Regan System, is a single use, disposable, hemorrhoid treatment that is safe and highly effective in treating hemorrhoid grades I - IV. The O'Regan System is rapidly emerging as the standard of care with gastroenterologists who treat hemorrhoids. In addition to the product, CRH Medical delivers clinical, marketing and operational support directly to its partner physicians. CRH utilizes its web-based platform to connect doctors with patients as well as educating its ever increasing install base of physicians.
Forward looking statements:
The information in this news release contains so-called "forward-looking" statements. These include statements regarding CRH Medical's expectations and plans relating to its business, statements about CRH Medical's expectations, beliefs, intentions or strategies for the future, which may be indicated by words or phrases such as "anticipate", "expect", "intend", "plan", "will", "we believe", "CRH Medical believes", "management believes", and similar language. All forward-looking statements are based on CRH Medical's current expectations and are subject to risks and uncertainties and to assumptions made. Assumptions include: (i) that the growth of CRH's product sales will continue in a consistent manner; (ii) CRH's costs will not escalate significantly; and (iii) CRH does not incur any extraordinary costs.
Important risk factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements include: (i) we may not continue to attract Gastroenterologists and other licensed providers to purchase and use the CRH O'Regan System; (ii) the policies of health insurance carriers in the United States may affect the amount of revenue the Company receives; (iii) changes in United States federal or state laws, rules, and regulations; (iv) our senior management has been key to our growth, and we may be adversely affected if we lose any member of our senior management; (v) economic dependence on suppliers and our contract manufacturer; (vi) changes in the industry and the economy may affect the Company's business; (vii) evolving regulation of corporate governance and public disclosure may result in additional corporate expenses; (viii) we may be subject to competition and technological risk which may impact the price and amount of product we can sell; (ix) we may be subject to product liability which may adversely affect our operations; * we may need to raise additional capital to fund future operations; (xi) our business may be impacted by health care reform in the United States; (xii) we may not have the expertise required to expand internationally. As a single product company, any adverse event directly or indirectly related to the CRH O'Regan System will have a material impact on the Company's financial performance. CRH Medical bases its forward-looking statements on information currently available to it, and assumes no obligation to update them, except as required by law.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.For further information:
Edward Wright, Chief Executive Officer
CRH Medical Corporation
Adam Peeler, Media and Investor Relations
416.815.0700 x 225