BSD Medical announced today that the company has signed an exclusive, long-term, multi-million dollar distribution agreement with Terumo Europe, a wholly owned subsidiary of Terumo Corporation, for the MicroThermX Microwave Ablation System.
This agreement therefore creates an ideal product synergy with BSD’s MicroThermXproduct line and enables Terumo Europe NV to offer interventional oncologists a complete and compelling solution for the treatment of cancerous tumours.
Under the terms of the distribution agreement, Terumo Europe will have the exclusive right to market MicroThermXin 100 countries in Europe, Western Asia, and Northern Africa. The potential market size for MicroThermXin these countries is estimated to be in excess of $1 billion in annual sales, according to the company. This agreement validates the large market opportunity for MicroThermX ablation products and is expected to drive market adoption for the MicroThermXas a leading ablation therapy system. Strategically, MicroThermX will benefit from Terumo Europe’s extensive market reach, focus on interventional oncology, and well-established relationships with key interventional oncology opinion leaders throughout Europe, according to a company release.
“Our distribution agreement with Terumo Europe is the result of a collaborative effort between BSD Medical and Terumo. Importantly, it represents one of the most significant milestones in BSD’s corporate history,” said Harold Wolcott, BSD president and CEO. “Revenues from our agreement with Terumo Europe should commence by the end of the third quarter of our fiscal year 2013 and are expected to make a substantial contribution to our overall revenue over the next few years. Longer term, we expect this agreement will make a strong contribution toward our objective of achieving profitability.”