Includes Initial Purchase Order for 500 Needle-Free Devices and Minimum Commitment of 13,500 Devices
TORONTO, ON / ACCESSWIRE / July 5, 2022 / NuGen Medical Devices Inc. (TSXV:NGMD) ("NuGen'' or the "Company"), a leader in needle-free drug delivery, is pleased to announce a five-year exclusive sales and distribution agreement (the "Agreement") with SOL-MILLENNIUM Medical Group ("Sol-Millennium" or "Sol-M"), a global healthcare company dedicated to the design, manufacturing, and distribution of high-quality medical devices and personal protective equipment for patients and clinicians around the world.
Sol-M is a global entity with offices throughout the world and operates two state-of-the-art manufacturing and R&D Centers in Lugano, Switzerland and Shanghai, China and has a global presence with additional offices in Sao Paulo, Brazil, Warsaw,Poland and Atlanta, Georgia, USA. Originally a leading producer of plastic molds for the global medical industry, Sol-Millennium was the first syringe mold producer in China and now supplies over 60% of China's syringe mold needs, as well as exporting globally.
NuGen M.D.'s needle-free injection system, also known as InsuJet™, is a self-administered needle-free injection system approved by Health Canada and Brazil for general use and specifically for the delivery of Insulin. It gives access to safe, cost-effective, and virtually pain-free drug delivery for the millions of patients who suffer from diabetes or other chronic illnesses. The InsuJet™ also holds a CE Mark and is approved for sale in over 40 countries around the globe.
Starting July 01st, 2002, NuGen M.D is granting Sol-Millennium exclusive rights to promote, sell, and distribute the NuGen needle-free injection device known as InsuJet™ for the injection of insulin treatments in humans in Canada and Brazil. In return, the distributor undertakes to exclusively represent the NuGen product line of needle-free devices for use in humans in Canada and Brazil.
The first 2.5 years of the 5-year agreement has minimum commitments of 750 devices plus components in 2022, 5,000 devices plus components in 2023, and 8,000 devices plus components in 2024 for a total of 13,750 devices plus components. Year four and five minimum quantities will be determined at a later date as additional countries and application segments may be added to the agreement. The execution of this agreement triggers a minimum purchase order of 500 devices plus components.
"This is an important moment for NuGen and its shareholders as this agreement is with one of the leading manufacturers and distributors of traditional hypodermic needles and safety syringes with global distribution and sales. Based on our internal analysis, each device sold represents ~$650CDN* in revenue including the recurring components over the ~3 year lifetime of a device." states Michael Wright, CEO of NuGen M.D. "The InsuJet™ provides 5,000 injections of insulin, which reduces long term costs of injections, generates less biohazard waste, eliminates needlestick injury all while delivering the medication without anxiety. This not only reduces financial strain on the patient but removes an enormous financial burden on the healthcare system and environment."
According to the International Diabetes Federation, 537 million people have diabetes in the world today, and Brazil accounts for 15.7 million diagnosed diabetics and another 5 million undiagnosed. Diabetes Canada 2022 statistics report over 4 million people or 10% of the population suffer from diabetes which increases to over 7 million or 17% of the population when including undiagnosed cases.
*Based on 5,000 injections per device, dependent on the patient using 3ml or 10ml vials, the dosage of insulin and the frequency of injections per day.
About NuGen Medical Devices
NuGen Medical Devices' principal business is the development and commercialization of innovative needle-free injection devices and systems for the administration of subcutaneous medication. It is developing needle-free drug delivery technology in several important fields including, but not limited to, anaphylaxis, diabetes, severe migraine, erectile dysfunction, chronic anemia, neutropenia, autoimmune rheumatoid arthritis, growth and fertility hormone, psoriasis as well as DNA and conventional/pediatric vaccines.
For further information, please contact:
President and CEO
NuGen Medical Devices Inc.
Investor Relations Contact:
Kin Communications Inc.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains forward-looking information which is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ from those projected in the forward-looking statements. Forward looking statements in this press release include the Company's 2022 objectives of securing additional distribution and sales agreements, making submissions for regulatory approvals and capitalizing on additional market opportunities. These forward-looking statements are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. The forward-looking information contained herein is given as of the date hereof and the Company assumes no responsibility to update or revise such information to reflect new events or circumstances, except as required by law.
SOURCE: NuGen Medical Devices