|Press release by Inverness
Released on Thursday October 19, 1:30 pm Eastern Time
Inverness Medical Technology,
Inc. Licenses Exclusive Worldwide Rights to Micro Electro-Mechanical
Systems (MEMS) Technology for Wearable Insulin Pumps
WALTHAM, Mass., Oct. 19 /PRNewswire/
-- Inverness Medical Technology, Inc. (Amex: IMA) and Debiotech
S.A., a privately owned Swiss company, today announced that they
have entered into an agreement pursuant to which Debiotech will
develop an externally-worn insulin pump using Debiotech's patented
micro electro-mechanical systems (MEMS) technology. Under the agreement,
Inverness will have the exclusive worldwide right to manufacture
and distribute the product.
The agreement requires Inverness to
pay $10 million to Debiotech by year- end 2000 for these rights.
Inverness will pay a royalty ranging from 6.5% to 10% of sales depending
upon various factors. In addition, Inverness has the option to acquire
exclusive worldwide rights for an implantable insulin pump utilizing
the Debiotech MEMS technology. The agreement calls for Debiotech
to develop an insulin pump significantly smaller than those most
widely used today, with the capability to deliver doses of insulin
in increments as small as 150 nanoliters and to track precisely
the volume of insulin delivered.
Ron Zwanziger, CEO of Inverness stated,
"This agreement provides us with an advanced technology that is
expected to enhance our efforts to provide products that offer a
comprehensive and integrated approach to the self - management of
Debiotech S.A., based in Lausanne,
Switzerland, specializes in the development of innovative medical
Inverness Medical Technology, Inc.
develops, manufactures, and markets innovative products focused
primarily on diabetes self-management. The Company's proprietary
glucose monitoring systems are marketed worldwide by LifeScan, a
Johnson & Johnson company. Inverness also markets other diabetes
products as well as a line of women's health products to consumers
through its own established retail distribution networks including
Wal-Mart, CVS and Walgreens. Inverness Medical Technology, Inc.'s
manufacturing facilities are located in Inverness, Scotland; Galway,
Ireland; and Yavne, Israel. European headquarters are located in
Munich, Germany and U.S. headquarters are located in Waltham, Massachusetts.
This press release contains forward-looking
statements, including statements about the funding of the proposed
licensing and development arrangements, the development of a proposed
insulin pump and its features and the market acceptance of the proposed
insulin pump. Actual results may materially differ due to numerous
factors, including without limitation technological difficulties
encountered in the development process and Inverness Medical Technology's
ability to manufacture sufficient quantities of the insulin pump,
to obtain necessary regulatory approvals and successfully to commercialize
Inverness Medical Technology, Inc.
will release third quarter earnings on October 25, 2000 and will
host a conference call beginning at 9:30a.m. (Eastern Time) on that
date to discuss these results. As part of the conference call, Inverness
will also discuss this announcement regarding the Company's agreement
with Debiotech S.A.
If you would like to participate in
this conference call, please dial 800-275-3210 (U.S. and Canada)
or 973-628-6885 (International). Callers are advised to dial 10
minutes before the start of the call is scheduled to begin. A replay
of the conference call will be available through October 27th by
calling 877-375-1352 (U.S. and Canada) or 402-220-1374 (International).
A live webcast (and an on-demand replay)
of the conference call will be available online at www.invernessmedical.com
For more information about Inverness
Medical Technology, Inc., please visit our website at www.invernessmedical.com.
Press releases are also available via fax by calling toll-free (888)