Minneapolis, US and Shenzhen, PRC, July 28, 2014 - (ACN Newswire) - Medtronic (NYSE:MDT) and Lifetech Scientific Corporation (HKSE:1302) today announced an expansion of their strategic alliance to include jointly produced Lifetech pacemakers manufactured in and for China.
Under the expanded agreement, Lifetech will develop a portfolio of pacemaker and cardiac lead products and establish pacemaker-manufacturing capabilities at its facility in Shenzhen, China. As the world's leading medical device company, Medtronic will provide certain technology, training and support as Lifetech enters the Chinese pacing market. In return, Medtronic will have the opportunity to partner with Lifetech on commercialization of the Lifetech portfolio of pacemakers and leads, once approved and pursuant to applicable statutory requirements.
"In the absence of a local viable solution to treat the many patients in need of this therapy, this new agreement provides an unprecedented opportunity to serve the local market with locally produced products while leveraging the quality and expertise of the global leader in medical devices, and simultaneously boosting China's medtech capabilities," said Xie Yuehui, Chairman of Lifetech.
While China's population is significantly larger than that of the United States, the rate of heart arrhythmias is similar in the two countries. However, in the U.S., the pacemaker implant rate is 1,000 per one million people, but in China, that rate falls to approximately 31 out of one million people, highlighting the need for increased access to this life saving and life enhancing technology.
"We are delighted to partner with Lifetech in this new venture to bring lifesaving technology to Chinese patients, said Omar Ishrak, Medtronic Chairman and Chief Executive Officer. "We expect these pacemakers to serve the local market and to meet the healthcare needs of significantly more Chinese patients."
This strategic alliance, which the companies originally entered into in 2012, advances patient care in China by bringing together the resources and technologies of Medtronic with the local market expertise, brand recognition and growth potential of Lifetech, to reach patients and clinicians who previously have been unreachable by either company alone. Under the terms of the original agreement, Medtronic purchased a 19.0 percent equity interest in Lifetech, and received the right of first negotiation to distribute current and future Lifetech products as well as the opportunity to acquire additional ownership in Lifetech.
About MedtronicMedtronic, Inc. (http://www.medtronic.com/), headquartered in Minneapolis, is the global leader in medical technology - alleviating pain, restoring health, and extending life for millions of people around the world.
About Lifetech Scientific Corporation
Lifetech Scientific Corporation ( http://www.lifetechmed.com/ ) is a public company listed on the Hong Kong Stock Exchange dedicated to researching, developing, manufacturing and marketing advanced minimally invasive interventional medical devices for cardiovascular and peripheral vascular diseases and disorders, with a global reach and subsidiaries in China (including Hongkong), Netherlands, India, Russia, Slovakia, and France. As a leading medical device company in China with roots in healthcare going back 15 years, Lifetech has built up a strong worldwide sales network, offering a broad range of products to over 70 countries across Asia, Europe, South America, North America and Africa.
This press release contains forward-looking statements that involve risks and uncertainties. Such forward-looking statements include expectations regarding benefits to Lifetech and Medtronic resulting from the strategic alliance. The statements in this release are based upon current expectations and are subject to certain risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements, including risks related to the implementation of the strategic alliance agreements, risks associated with whether or not Medtronic acquires additional ownership in Lifetech, difficulties and delays inherent in the development, manufacturing, marketing and sale of medical products, government regulation, general economic conditions and other risks and uncertainties set forth in Medtronic's periodic reports on file with the U.S. Securities and Exchange Commission, including, but not limited to, Medtronic's Annual Report on Form 10-K for the fiscal year ended April 26, 2013 and Lifetech's filings with the Stock Exchange of Hong Kong Limited. Both Medtronic and Lifetech disclaim any obligation to update or revise statements contained in this release based on new information, future events or otherwise.
Source: Lifetech Scientific Corporation
Contact:
Winston Wu, Medtronic Public Relations, +86-10-53227176 Jeff Warren, Medtronic Investor Relations, +1-763-505-2696 Lawson Liu, Lifetech Investor Relations, +86 755 8602 8988
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