Allied Healthcare Group’s (ASX: AHZ) subsidiary Celxcel has improved the commercial prospects of its ADAPT®-Tissue Engineering Process (TEP) with the successful granting of a patent covering the technology in Singapore.
Celxcel chief executive officer Bob Atwill said, “The Celxcel technology has a robust patent position around our current platform technology (ADAPT®-TEP) and we continue to pursue filings to cover our future portfolio of products.”
ADAPT®-TEP is a technology platform which has been used across a number of tissue types for use in cardiovascular, pelvic floor reconstructions and hernia repair applications.
Celxcel is also evaluating how the process can be used in orthopaedics and as a biological scaffold to grow and deliver stem cells.
The company has received patents in a number of key jurisdictions already including Australia, New Zealand and China.
Celxcel also has a number of patent applications in the pipeline in other key jurisdictions, including the U.S., Europe, Japan, Israel and Canada.
Highlighting the substantial progress Celxcel is making with its ADAPT®-TEP technology, the company successfully implanted its cardiovascular patch CardioCel® during a double valve leaflet reconstruction earlier this month.
Importantly, normal valve function was regained after these reconstructions and all animals survived the open-heart surgical procedures without any adverse effects or immediate complications.
Allied Healthcare Group managing director Lee Rodne told Proactive Investors previously that in the U.S. alone, the cardiovascular tissue space generates around US$700 million in revenues and is growing.
“We don’t need to capture all of that market share to have significant revenue,” he said.
The successful valve reconstruction demonstrates the wider applications of its ADAPT®-TEP technology.
“This technology has the potential to change the way paediatric surgeons approach individualised reconstructions of deformed or damaged heart valves using our technology,” Rodne said.
“Positive results will also open up further commercial discussions on the potential applications for CardioCel®.”
Allied Healthcare’s Growth
Allied Healthcare is on the cusp of building a global healthcare company. The company has expanding revenues, with the objective to increase this to $20-30 million within two to three years via organic growth and acquisitions.
The regenerative medicine market is currently around $3 billion and growing. Allied Healthcare has the upper hand, because at present there is no similar product available to surgeons on the market.
The initial application for the CardioCel® patch is congenital heart disease. About eight in 1,000 children are born with the disease and around half of them have surgery. This presents an extensive global market potential for the technology.
Celxcel is targeting the filing for approval of CardioCel® in various markets and the initial market launch in 2012-13.