Agreements Totalling $12 Million
EKO / TSX
MONTREAL, Aug. 23 /CNW Telbec/ - Noveko International Inc. ("the Company") is pleased to announce that its subsidiary S.A.S. E.C.M. ("ECM") has achieved major breakthroughs with its new generation of ultrasound scanners, by signing an exclusive distribution agreement for the Imagyne(TM) ultrasound scanner (for human medicine) in the People's Republic of China, as well as obtaining contracts for the marketing of the new Exago(TM) ultrasound scanner (for veterinary medicine) in Canada and the United States, all for an approximate value of $12 million over a three-year period.
Marketing of Imagyne(TM) ultrasound scanner in China
As the result of a process begun over 18 months ago, ECM recently obtained authorization from the State Food and Drug Administration of the People's Republic of China (SFDA) to sell its Imagyne(TM) ultrasound scanner in China, and consequently concluded an exclusive distribution agreement with Ningbo Xingaoyi Magnetism Co. Ltd ("NXM"), a leading Chinese high-tech firm specializing in the manufacturing of magnetic resonance equipment. Under this agreement, which has an initial term of three years, NXM agrees to purchase Imagyne(TM) scanners for use in human medicine in China, all for a minimum value of 5.7 million Euros, of which 900,000 Euros the first year. Deliveries of these scanners will begin shortly.
"We are pleased to see that our numerous product and market development efforts are bearing fruit. This agreement gives ECM a strategic edge. The marketing of Imagyne(TM) in China, one of the world's largest markets, considerably strengthens our position in the human ultrasonography market. We expect the upcoming launch of our two high-end portable scanners, the Exago(TM) and the Exagyne(TM), to further promote our penetration of this market, since we will offer a full range of human medicine ultrasound scanners," said Mr. Patrice Émery, President of ECM.
The marketing of the Imagyne(TM), a high quality 64-channel device specially designed for obstetrics, gynecology and vascular medicine, began in June 2008. It marked ECM's initial foray into human medicine and the launch of its new generation of ultrasound scanners following major research and development activities. The broader marketing of this device was subject to additional approvals for each country where it was introduced and the development of a distribution network for the human medicine market.
New Exago(TM) scanner positions itself in North America
ECM has also achieved major breakthroughs in the marketing of its Exago(TM) scanners in the equine market in Canada and the United States, having recently concluded with key players in North American veterinary medicine, contracts for a value of more than $4 million over a three-year period. "We are already positioning ourselves as a serious player in the equine ultrasonography market, which is a new market for us. The conclusion of this agreement reflects the growing interest in our technology since its launch. We are confident of pursuing this success in the coming quarters," added Mr. Émery. The Exago(TM), a new generation portable scanner introduced on the market during the past quarter, is initially intended for veterinarians, mainly in the equine market. After obtaining the required approvals, it will also be intended for use in human medicine, notably for emergency, anaesthesia and army requirements.
Noveko International Inc. offers innovative solutions in the environmental and medical fields worldwide. Through its subsidiaries, the Company specializes primarily in the following business segments: the development, manufacturing and marketing of derivative products from its patented antimicrobial filtration technology, mainly air filters, surgical masks and respirators, as well as other products with antibacterial properties such as hand sanitizers - and the development, manufacturing and marketing of medical equipment, primarily portable real-time ultrasound scanners for use in human and veterinary medicine.
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SOURCE Noveko International Inc.
For further information: For further information: Chantal Vennat, Director, Investor Relations and Corporate Communications, Noveko International Inc., Tel: (514) 875-0606, http://www.noveko.com