NeuroOne Medical Technologies has announced the execution of an amendment to its existing distribution agreement with Zimmer Biomet—an update that will provide Zimmer Biomet with certain exclusive rights to distribute NeuroOne’s OneRF ablation system for use in the brain.
NeuroOne will receive an upfront payment of US$3 million with the potential to earn an additional milestone payment if certain performance criteria are achieved. The company expects that this agreement will generate meaningful revenue and drive improved profitability, according to a recent press release.
The OneRF ablation system is claimed by NeuroOne to be the only US Food and Drug Administration (FDA)-cleared radiofrequency ablation system for both diagnostic and therapeutic use.
The system has been used in a number of ablation cases since its limited launch in April. Cases were reported as being successful, having used the same device to identify the brain tissue triggering seizure activity and ablate the targeted tissue to reduce or eliminate brain-related seizure activity. In addition, the technology has the potential to reduce hospital stays, numbers of surgeries and adverse events while offering temperature control to enhance patient safety. NeuroOne states that OneRF devices are initially placed in the operating room and, to date, all the ablations have been performed at the patient’s bedside—saving additional operating costs while allowing the patient to be diagnosed and treated in one hospitalisation instead of multiple visits.
“The expanded agreement with Zimmer Biomet to include distribution of our OneRF ablation system is a significant catalyst for the company,” said Dave Rosa, president and chief executive officer of NeuroOne. “We are confident that the partnership will allow NeuroOne to leverage Zimmer Biomet’s leadership position in robotic technology and extensive distribution channel, both in the USA and abroad. As the world’s first FDA-cleared system for both diagnostic and therapeutic procedures, our ablation system provides clear advantages over existing competitive electrode technologies. We look forward to continuing to expand the indications for use in the future.”
“We are excited to expand the relationship with NeuroOne to include the OneRF ablation system, which builds on our existing agreement to distribute NeuroOne’s cortical and sEEG [stereoelectroencephalography] diagnostic electrode technology, and we look forward to launching this product in the near future,” added Brian Hatcher, president of SET and CMFT at Zimmer Biomet.
