Toronto, Ontario--(Newsfile Corp. - January 19, 2024) - NuGen Medical Devices Inc. (TSXV: NGMD) (the "Company" or "NuGen") a leading developer of needle-free devices to administer therapeutics subcutaneously, is pleased to report that its distribution partner in Mexico, Science-Link Trading SAPI de CV ("Science-Link") has expanded their distribution network to now include Argentina, Chile, Costa Rica and Peru. Science-Link is now also partnering with a large family-owned laboratory and clinic conglomerate ("Conglomerate Medical") which is expected to see Science-Link expand its operations into big box retail pharmacies in Mexico. Mexico is a large diabetes market globally with an estimated 1 in 6 adults now living with diabetes[1].
Science-Link is now placing additional orders of InsuJet for Mexico for 500 units of the Company's needle-free InsuJet injection device for March 2024 and an order for 1,000 units for April 2024 to begin fulfilling increased demand.
In June 2023 NuGen received its first bulk purchase order from Science-Link for 500 units and consumables of InsuJet. This order was paid for in full and shipped in November 2023, when InsuJet received approval from the Mexican Government to be sold as a medical device. NuGen's agreement with Science-Link targets the sale of approximately 5,000 units and consumables of InsuJet in 2024.
With the expansion of Science-Link to additional countries and its alliance with Conglomerate Medical, NuGen expects to exceed the target of 5,000 needle-free injectors and consumables in 2024 contemplated in its agreement with Science-Link. The Company estimates a 3 ½ year lifetime value of $1,350,000[2] for the sale of the 1,500 units of InsuJet to Science-Link, the value of the first delivery being $220,000 for Q1, 2024. The Company expects a gross margin of 72%.
Conglomerate Medical is a family-run business with a network of over 150 clinics and 1,500 medical consultants providing diagnostics and medical evaluation services to patients throughout Mexico.
The alliance between Science-Link and Conglomerate Medical is expected to result in the opening of 10 new specialty clinics in Mexico with physicians and sales staff specializing in diabetes which will serve as a platform for the sale of InsuJet devices and consumables and is expected to increase the product's exposure in the Mexican market.
"We are delighted to report the sales progress, the big box opportunity and the expansion of the distribution network into Argentina, Chile, Costa Rica, and Peru of our partner Science-Link," commented Ian Heynen, CEO of NuGen. "Another great win for us and a true indication of demand and commitment for InsuJet in South America as we move into 2024 with Science-Link. This is just the first of many commercial sales wins in 2024. I am looking forward to reporting further commercial successes in each of our business verticals, B2B, B2C and our very exciting bio similar space."
"The market demand for InsuJet in Mexico and Latin America is incredibly strong and we are delighted to be the distribution partner for NuGen," commented Juan Carlos Feregrino, CEO of Science-Link "In a very short time our team was trained by NuGen to sell and market the InsuJet and we placed and received our first order. Now, in 2024 we are ready for much larger opportunities in Mexico and Latin America as we look to improve life and the delivery of care for many who suffer with the daily burden of needles in the management of their diabetes. InsuJet delivers freedom to many who suffer bruising from routine injections and offers hope to those who fear needles and suffer needle phobia but still require daily injections - it's a very real problem of very large proportions and at Science-Link are thrilled to be there to help."
Mexico Diabetic Market:
In 2021, the estimated adult diabetic population grew to 14 million patients - a rise of 10% in the last 2 years. Diabetes-related health expenditure in Mexico has reached USD $20 billion, putting it in the top ten countries or territories with the highest total health expenditure[3].
It is estimated that 1 in 6 adults are now living with diabetes[4].
About Science-Link
Science-Link is dedicated to bringing disruptive technologies to the market. Science-Link was founded by experienced professionals with over 60 years of combined expertise in the health, wellness and agribusiness sectors. Its mission is to become the leading company in Mexico for the commercialization and distribution of new health and wellness disruptive technologies within the next 5 years. Science-Link utilizes a network of sub-distributors with the purpose of effectively penetrating and positioning InsuJet in all 32 States of Mexico, covering both traditional and modern channels. Additionally, Science-Link is implementing digital funnels to accelerate awareness and generate qualified leads for its potential customers, further supporting its distribution efforts.
About NuGen
NuGen is a specialty medical device Company that is marketing and selling its next-generation InsuJet needle-free injection system designed to improve the lives of millions of diabetics. InsuJet is approved for sale in 42 countries around the world.
For further information, please visit:
Websites: www.insujet.com and www.nugenmd.com
Instagram: @NuGenMD
Twitter: @NuGenMD
LinkedIn: https://www.linkedin.com/company/nugenmd/
For further information, please contact:
Tony Di Benedetto
Executive Chairman
(416) 791-9399
tony@nugenmd.com
Richard Buzbuzian
President
(647) 501-3290
richard@nugenmd.com
To arrange a media interview with NuGen, please contact:
Morna Gorman
(416) 553-1732
morna@nugenmd.com
Notice Regarding Forward-Looking Information:
Neither TSXV nor its Regulation Services Provider (as that term is defined in policies of the TSXV) accept responsibility for the adequacy or accuracy of this release.
This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking statements") within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as "expects", or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "budget", "scheduled", "forecasts", "estimates", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. These forward-looking statements are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. The forward-looking information contained herein is given as of the date hereof and the Company assumes no responsibility to update or revise such information to reflect new events or circumstances, except as required by law.
[1]https://www.idf.org/index.php?option=com_attachments&task=download&id=2645:WDD2021_MEXICO_PR_Final.
[2] For each InsuJet device sold, the lifetime value per unit including consumables to be purchased over the span of approximately 3.5 years is approximately CDN $900.
[3]https://www.idf.org/index.php?option=com_attachments&task=download&id=2645:WDD2021_MEXICO_PR_Final.
[4]https://www.idf.org/index.php?option=com_attachments&task=download&id=2645:WDD2021_MEXICO_PR_Final.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/194879
SOURCE: NuGen Medical Devices Inc.
