Lexington, KY – February 3, 2011 – MedPro Safety Products, Inc. (OTCBB: MPSP), a leading developer of transformational technologies that enable safer medication delivery and blood collection, today reported several corporate developments, including its receipt of the first royalty revenue from its Tube-Touch® blood collection device. The Tube-Touch® patented technology offers healthcare professionals the safety of a blood sample collection product with a truly passive needlestick prevention feature. MedPro has entered into an exclusive agreement with a premier international manufacturer and marketer of phlebotomy and pre-analytic products that plans to launch the Tube-Touch® into global markets later this month. Under the exclusive agreement, the manufacturing partner has agreed to pay royalties on minimum product volumes for a six-year period.
In addition, MedPro reported today that the Company has provided the first production samples of its passive safety winged blood collection set for human use to its manufacturing and marketing partner. MedPro received 510(k) market clearance from the U.S. Food and Drug Administration for the device in November 2010. Commonly referred to as a “butterfly” collection device, this is the first collection set with a passive safety feature that activates through normal occupational use, without an extra procedural step. The needle becomes fully encapsulated as it is removed from the patient, preventing any external exposure of the contaminated sharp, thus reducing the risk of a needlestick injury. The first samples were produced for MedPro by Precision Medical Products (PMP). MedPro’s manufacturing and marketing partner has committed to high volume production with a guarantee of royalties on minimum volumes payable to MedPro over a six-year period.
“After we successfully strengthened our financial position last year and received $23 million in net proceeds from the sale of senior secured notes to institutional investors, we have been focused on executing our strategic plan to build growth and shareholder value,” said W. Craig Turner, Chairman and CEO of MedPro Safety Products. “Since the financing, we have expanded internal and external resources. This will allow us to support the development of our proprietary product portfolio, including a unique, fully passive prefilled safety system and fillable safety syringe. We continue to work closely with our supplier partner Helvoet Pharma toward commencing development of components for our prefilled safety system and fillable safety syringes. MedPro plans to deliver initial evaluation units of its fully passive prefilled safety system later this month.”
“We believe that the products currently under development, when brought to market, will enable MedPro to address new market opportunities beyond our current suite of phlebotomy products,” continued Mr. Turner. In addition to products currently under development, MedPro is evaluating a fully passive safety intravenous catheter and a fully passive insulin injector safety needle system. “We also believe that the insulin injector safety needle system can address a significant need in the diabetic care market, particularly in hospitals where pens have traditionally not been allowed due to safety concerns for hospital staff,” said Mr. Turner.
In addition, MedPro will be moving its corporate headquarters to new, more efficient facilities in mid-March. The facility is being designed to foster product incubation development in a collaborative environment. “As our operational momentum builds, we will be initiating an effort to educate investors on the investment opportunity represented in MedPro shares through a series of meetings beginning later this month. Our presentation used at those meetings will be filed with the Securities and Exchange Commission. We’re very optimistic about the opportunities that lie ahead for the company and are focus on maximizing their potential for our shareholders,” Mr. Turner concluded.
About MedPro Safety Products, Inc.
Headquartered in Lexington, Kentucky, MedPro Safety Products, Inc. is a leading developer of safer medication delivery and blood collection systems. The Company licenses, develops and manufactures transformational technologies marketed through its global medical device partners. MedPro’s products address multiple product categories within the medication delivery (injection and infusion) and blood collection (blood collection sets and blood tube holders) markets. Unlike competitive products currently available on the market, MedPro’s products incorporate safety features that operate without user activation, and therefore require little or no clinician training to use. The total global market opportunity for safer medication delivery and blood collection products is believed to be more than $6 billion. For additional information, please refer to the ‘Investor Relations’ link on the Company’s website (http://www.medprosafety.com).
Safe Harbor Statement
This release includes forward-looking statements based upon current expectations of the management of MedPro Safety Products, Inc. that involve risks and uncertainties, such as plans, objectives, expectations and intentions. Actual results and the timing of events could differ materially from those anticipated in these forward- looking statements as a result of a number of factors, including our ability to identify and acquire medical safety device safety technologies with product development potential; our ability to successfully develop and bring products to market, including obtaining regulatory approvals; our ability to successfully increase sales of our products; our ability to obtain additional financing on satisfactory terms; our ability to attract and retain qualified employees; and governmental regulation associated with the medical safety products industry. Words such as "anticipate," "estimate," "plan," "continuing," "ongoing," "expect," "believe," "intend," "may," "will," "should," "could," and similar expressions are used to identify forward-looking statements. We refer you to the more detailed discussion of risks and uncertainties under "Risk Factors" in our Annual Report on Form 10-K and our other reports on file with the Securities and Exchange Commission.
Doug Sherk/Jenifer Kirtland