22 July 2019
Adelaide, Australia: LBT Innovations Limited (ASX: LBT) (LBT or the Company), a leader in medical technology automation using artificial intelligence, is pleased to provide this update on recent activities related to the appointment of distributors and commencement of commercial sales in the United States, following FDA clearance or the APAS® Independence instrument with urine module on 17 May 2019.
As previously advised, the Company and its joint venture partner, Clever Culture Systems (CCS) has a dual strategy for entry into global markets: a direct sales presence to build awareness and early sales opportunities; and the appointment of one or more large distributors who can provide a deep sales and technical support network in key markets.
There has been active engagement with a number of distributors in recent months in conjunction with large microbiology conferences in both Europe and the U.S. in April and June 2019.
Following this, CCS is pleased to announce that an APAS® Independence instrument has been shipped to a U.S. based leading global healthcare manufacturer and distributor (Potential Distributor).
The key elements following instrument shipment are as follows:
|• CCS will lend one APAS® Independence instrument for deployment at a U.S. facility, at no cost
• By the end of August 2019, CCS will install, commission and train relevant stakeholders
• Potential Distributor to assess clinical performance, market suitability, serviceability requirements and alignment
with their existing and complementary product(s)
• CCS to engage in regular review meetings with the Potential Distributor throughout this process
• Potential distributor may negotiate long-term distribution of the APAS® Independence in one or more global territories
It is important to note that the above is not a commitment to sales or entering into a Distribution Agreement.
CCS is also in discussions with other potential distributors. Generating customer interest and conversion of early sales is a precursor to distributor appointment which remains expected sometime in 2020.
U.S. Sales Presence & Infrastructure
CCS is in the process of appointing an experienced sales resource in the U.S. to lead the early sales activities. This sales resource will actively pursue the lead opportunities generated earlier in the year, with a goal of scheduling a number of instrument evaluations as a precursor to commercial sales.
A number of LBT staff will be attending the American Association for Clinical Chemistry or AACC meeting in naheim,
California from 4-8 August, 2019. This meeting, centred around laboratory science and its application to healthcare, is attended by over 20,000 people and is another opportunity to meet with potential customers and distribution partners.
Brent Barnes, CEO and Managing Director of LBT Innovations said:
“We remain committed to our joint strategy of direct U.S. market entry to generate early sales traction while simultaneously continuing the detailed process to engage one or more global distributors. The shipment of an instrument to a potential distributor is another positive step forward as we work towards establishing commercial channels to generate scale with respect to global sales.