Senzime outlicenses ExSpiron in the Chinese market
Uppsala, June 19, 2023. Senzime AB (publ), a leader in the field of peri- and post-operative patient monitoring solutions, has today entered into an exclusive license agreement with the Chinese company CoreSpiron (Henan) Co Ltd. The agreement grants CoreSpiron up to 10 years of manufacturing and sales rights for Senzime's ExSpiron system in the Chinese market. Royalty income to Senzime is estimated to exceed SEK 50 million during the contract period.
CoreSpiron is a medical technology company headquartered in Zhengzhou, China. Through the license agreement, CoreSpiron is granted the exclusive right to manufacture, market and sell the ExSpiron system under its own brand on the Chinese market. Within the scope of the agreement, Senzime will program key components with source code and deliver to CoreSpiron on an ongoing basis during the term of the license agreement. Senzime retains ownership of all patent rights as well as the right to continued commercialization and possible out-licensing of ExSpiron in all other markets outside of China.
CoreSpiron will pay Senzime a fixed royalty based on programmed key components and units sold in the Chinese market for a period of five years, with an option to extend for another five years. Royalty income to Senzime is estimated to amount to more than SEK 50 million during the contract period. The first guaranteed royalty payments will take place in 2023 and amount to approximately 1,0 million SEK.
"With this agreement, Senzime shows that we can capitalize in different ways on the product portfolio we acquired in 2022. The license agreement complements our own rollout of the ExSpiron system, and it also gives us insights and access into the Chinese market, which we deem to be valuable for our other product offerings in the long term as well," commented Philip Siberg, CEO of Senzime.
ExSpiron is part of the product portfolio of Respiratory Motion Inc., which Senzime acquired in 2022. The product is based on clinical research and innovations by cardiothoracic surgeon Dr. Jenny Freeman.