Statement re. Press Comment
25 September 2003 - 9:05AM
UK Regulatory
RNS Number:1605Q
Medisys PLC
25 September 2003
For Immediate Release 25 September 2003
Medisys PLC
("Medisys" or "the Group")
Statement Re: Press Comment
Medisys notes this morning's press comment relating to the launch of its Futura
Safety Syringe and, in particular, the comments attributed to Keith
Butler-Wheelhouse, Chief Executive of Smiths Group plc ("Smiths"), the Group's
strategic marketing partner.
On 2 July 2003, Medisys announced that the Futura Syringe had met the
specifications for the product as detailed in the Co-Marketing Agreement entered
into by Smiths and Medisys in March 2002. The specifications were tested by
Smiths against an agreed Quality Test Protocol ("QTP"), with the results
demonstrating that the Futura Safety Syringe exceeded the contract
specifications. Following the successful completion of Smiths QTP and certain
other criteria, a milestone payment of US$1,950,000 became due and payable under
the terms of the Co-Marketing Agreement. Medisys has invoiced Smiths for this
sum but has yet to receive payment.
Successful completion of the Smiths' QTP process also required the parties to
move into the launch phase for the product. Smiths commenced distribution of
the product to selected clinical sites with a view to obtaining user feedback on
the product from a third party clinical studies team prior to full market
launch.
Initial clinical data was discussed by both parties at a meeting on 29 July
2003. Since some of this data was inconsistent with the results seen in the
QTP, the parties agreed that Medisys should undertake further analysis. Senior
executives of Medisys and Smiths held a further meeting on 19 September 2003.
At this meeting it was agreed that the clinical evaluation should continue until
late October 2003 to allow time for a full set of data to be collated and
analysed. It was also agreed that a final decision on the implications of all
the clinical data would be taken at this point.
In light of the agreement reached between the two parties at the meeting on 19
September Medisys is very surprised by the comments attributed to Mr
Butler-Wheelhouse and is seeking urgent clarification from Smiths of its
intentions with regard to the Futura Safety Syringe.
Shareholders will be notified of the outcome of those discussions as soon as
possible.
- Ends -
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