Integration of new ECG monitoring devices with GEMS™ Home will expand access to SMART Monitoring ECG reporting services
TORONTO, ONTARIO – CardioComm Solutions, Inc. (TSX VENTURE:EKG) (“CardioComm Solutions” or the “Company”), a global medical provider of consumer heart monitoring and medical electrocardiogram (“ECG”) software solutions, today announced that it has entered a licensing agreement with China based Bejing Choice Electronic Co., Ltd (“BCET”). BCET is the original equipment manufacturer (“OEM”) for the HeartCheck™ ECG devices and maintains a sales force for the promotion of their own branded ECG devices that are sold internationally.
Under the agreement, CardioComm Solutions will recognize BCET as an authorized representative of CardioComm Solutions for the promotion and licensing of GEMS™ Home based software to BCET customers who have purchased, or will purchase, certain BCET handheld devices. The MD100B and MD100E models are the first BCET devices to work with the GEMS™ Home software with options to add additional devices over the term of the agreement. BCET is restricted from selling devices that compete with the Company’s HeartCheck™ ECG PEN. The agreement applies worldwide, except for China, which is expected to be managed at a future date under a separate agreeement. The agreement will automatically renew annually following an initial three year term and will be subject to minimum BCET sales performance requirements.
BCET will now commence the co-marketing and use of GEMS™ Home, promoting it as an added value to enhance use of their devices. BCET has established sales channels through a distributor and 200 person sales force that covers almost 90 countries, expanding access to the CardioComm Solutions SMART Monitoring ECG service globally.
CardioComm Solutions is expected to benefit from expanded revenue opportunities realized from:
1) A per BCET device royalty payment for access to GEMS™ Home based on 5% of the net sale value of the first 5,000 devices sold, 3% on the next 15,000 devices sold and 2% on sales above 20,000 devices sold.
2) A $10 USD GEMS™ Home activation fee charged to any BCET device owners who purchased a device prior 2015.
3) A GEMS™ Home Rx annual licensing fee of $500 USD per download.
4) SMART Monitoring ECG reading requests through GEMS™ Home at a rate of$12.50 USD for each physician ECG interpretation and $4.99 USD for each technican ECG triage.
BCET will benefit from a 10% commission paid from GEMS™ Home Rx annual licensing and net profits from the fee-based SMART Monitoring ECG service.
GEMS™ Home is a Windows-based software program that is available as a downloaded program from the CardioComm Solutions HeartCheck™ website at no cost with the purchase of a HeartCheck™ ECG device. GEMS™ Home Rx is a physician version of GEMS™ Home that utilizes the ECG viewing and reporting capabilities of the hospital-based CardioComm Solutions’ GEMS™ WIN software. GEMS™ Home Rx is part of the Company’s GEMS™ WIN line of products which is FDA cleared and Health Canada approved and is designed to work only with handheld ECG monitors such as the approved BCET and the Company’s own HeartCheck™ ECG branded devices. Access to the SMART Monitoring service will be managed through the use of unique authentication codes paired to BCET device serial numbers issued by CardioComm Solutions for pre-paid activations.
This licensing agreement confirms the Company’s efforts to develop an expanded global marketing and sales strategy through strategic partnerships and the addition of new ECG monitoring devices to its software and services technologies.
To learn more about the CardioComm Solutions’ products please see the Company’s websites www.theheartcheck.com and www.cardiocommsolutions.com or contact the Company at [email protected].
