SAN DIEGO, June 29, 2022 (GLOBE NEWSWIRE) -- Salona Global Medical Device Corporation (“Salona Global,” “SGMD,” or the “Company”) (TSXV:SGMD) announced today it has expanded its product line with an agreement to distribute the Hyperice™ suite of products. Additionally, Salona Global also announced receipt of its first orders of 600 units for the recently launched Mio-Guard® premium reusable electrode based on the acquisition of intellectual property (“IP”) previously announced on April 14, 2022.
The Hyperice product line includes products that provide high frequency hand-held massage technology to relieve muscle pain, tension, and soreness from patients recovering from injuries. The Hyperice products add to Mio-Guard’s existing product line, further expanding the offerings to athletic trainers and physical therapy clinics that improve patient recovery outcomes, while also improving the financial performance of the clinic. SGMD is now offering over a dozen new Hyperice products ranging from $50 to $500 to its growing list of customers.
Salona Global also announced it has received the first sales orders for products generated from the IP portfolio acquisition announced in April and closed in late May. Upon acquiring the IP, the design of the new products was initiated, a production line was built, and the sales team secured its first sales order with delivery expected July 2022. The process, which took less than two months, was an important step for the Company to understand how quickly it can generate revenue from an acquired IP. The electrode margins are consistent with Salona Global's existing supply chain business.
“I am proud of the way the Salona Global team worked seamlessly to acquire, design, test, and bring to market new products in less than two months. This is exactly the advantage of vertical integration that has been a key to our strategy. We believe we can replicate this success many times,” said Les Cross, Chairman of the Board.
Mio-Guard currently works with over 30 sales representatives to distribute over 400 products to athletic trainers and physical therapists in over 30 states. The global medical electrode market size is projected to reach over USD $1.7B by 2028.1
To kick-off these new product offerings, representatives from Salona Global’s Mio-Guard are attending the National Athletic Trainers’ Association Convention now through July 1, 2022 at the Pennsylvania Convention Center in Philadelphia
“We continue to find methods to drive revenue growth by expanding the products we offer to patients, athletic trainers, and physical therapists, bringing more momentum to our newly listed and growing company,” said Les Cross. “We continue to expand our sales distribution footprint with these most recent products. We expect to generate revenues from these new products in the current quarter. Our ability to expand our product lines rapidly also makes us a better distribution partner. We expect to execute more distribution agreements as we grow both our customer list and sales channels. We continue to make progress finalizing due diligence and moving to a binding agreement on the acquisitions we recently announced.”
Salona Global is a vertically integrated, acquisition-focused medical device company serving the global injury and surgery recovery (known as recovery science) market. Learn more about Salona Global at https://www.salonaglobal.com. Sign up at http://tinyurl.com/salonaglobalnewsletter for updates on Salona Global delivered directly to your inbox.
For more information please contact:
Les Cross
Chairman of the Board and Interim Chief Executive Officer
Tel: 1 (800) 760-6826
Email: Info@Salonaglobal.com
Additional Information
There can be no assurance that any potential acquisitions will be completed as proposed or at all and no definitive agreements for recently announced potential acquisitions have been executed. Completion of any acquisition and any related financing will be subject to applicable director, shareholder and regulatory (including the TSX Venture Exchange) approvals.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Certain statements contained in this press release constitute "forward-looking information" within the meaning of the Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. These statements can be identified by the use of forward-looking terminology such as “expect” “believe”, “estimate”, "may", "would", "could", "should", "potential", "will", "seek", "intend", "plan", and "anticipate", and similar expressions as they relate to the Company, including: the Company believing it can replicate its success many times; the Company expecting to generate revenues from these new products in the current quarter; the Company expecting to execute more distribution agreements as it grows its customer list and sales channels; and the Company moving to a binding agreement on the acquisitions recently announced. All statements other than statements of historical fact may be forward-looking information. Such statements reflect the Company's current views and intentions with respect to future events, and current information available to the Company, and are subject to certain risks, uncertainties and assumptions, including, without limitation: past success is no indication of future performance, future performance is dependent upon supply chain availability, and other factors beyond the Company’s direct control; and the Company being satisfied with its due diligence and successfully negotiating and executing one or more definitive agreement. The Company cautions that the forward-looking statements contained herein are qualified by important factors that could cause actual results to differ materially from those reflected by such statements. Such factors include but are not limited to the general business and economic conditions in the regions in which the Company operates; the ability of the Company to execute on key priorities, including the successful completion of acquisitions, business retention, and strategic plans and to attract, develop and retain key executives; difficulty integrating newly acquired businesses; the ability to implement business strategies and pursue business opportunities; disruptions in or attacks (including cyber-attacks) on the Company’s information technology, internet, network access or other voice or data communications systems or services; the evolution of various types of fraud or other criminal behavior to which the Company is exposed; the failure of third parties to comply with their obligations to the Company or its affiliates; the impact of new and changes to, or application of, current laws and regulations; granting of permits and licenses in a highly regulated business; the overall difficult litigation environment, including in the United States; increased competition; changes in foreign currency rates; increased funding costs and market volatility due to market illiquidity and competition for funding; the availability of funds and resources to pursue operations; critical accounting estimates and changes to accounting standards, policies, and methods used by the Company; the occurrence of natural and unnatural catastrophic events and claims resulting from such events; and risks related to COVID-19 including various recommendations, orders and measures of governmental authorities to try to limit the pandemic, including travel restrictions, border closures, non-essential business closures, quarantines, self-isolations, shelters-in-place and social distancing, disruptions to markets, economic activity, financing, supply chains and sales channels, and a deterioration of general economic conditions including a possible national or global recession; as well as those risk factors discussed or referred to in the Company’s disclosure documents filed with United States Securities and Exchange Commission and available at www.sec.gov, and with the securities regulatory authorities in certain provinces of Canada and available at www.sedar.com. Should any factor affect the Company in an unexpected manner, or should assumptions underlying the forward-looking information prove incorrect, the actual results or events may differ materially from the results or events predicted. Any such forward-looking information is expressly qualified in its entirety by this cautionary statement. Moreover, the Company does not assume responsibility for the accuracy or completeness of such forward-looking information. The forward-looking information included in the investor call is made as of the date of the investor call and the Company undertakes no obligation to publicly update or revise any forward-looking information, other than as required by applicable law.
1 According to a recent study by Brandessence Market Research.
