Deltex Medical seeking to raise 2.5m pounds through share issue

AIM-listed Deltex Medical, the maker of a technological device which can monitor blood flow during and after operations, has announced a placing of more than 13m shares so as to raise 2.5m pounds.

AIM-listed Deltex Medical, the maker of a technological device which can monitor blood flow during and after operations, has announced a placing of more than 13m shares so as to raise 2.5m pounds.

The 13,157,895 new ordinary shares of one pence each are being placed by Arden Partners on behalf of Deltex at a price of 19p.

The proceeds of the placing are to be used to fund Deltex's second phase collaboration project with Premier Inc, a performance improvement alliance of more than 2,700 US hospitals and 90,000 other sites.

The programme aims to result in the implementation of CardioQ-ODM - its highly sensitive blood flow measuring device - in up to five US hospitals and will involve the payment of fees to Premier.

The programme will additionally give Deltex access to Premier's patient outcome and hospital cost data as well as Premier's clinical change management and quality improvement expertise.

The company estimated that the total additional costs of implementing CardioQ-ODM into three Premier alliance hospitals would be approximately £1.3m which would be spread over two years.

Nigel Keen, Chairman of Deltex Medical Group, commented: "This research collaboration is an exciting development for the company following on from the Duke University Medical Centre study where the CardioQ-ODM formed a core part of the enhanced recovery programme. We believe that Premier's alliance of 2,700 U.S hospitals could be the launch pad for a substantial increase in penetration of the US market by CardioQ-ODM".

NICE: £1,100 cost-saving per patient when device usedIn March 2011, the National Institute for Health and Clinical Excellence issued medical guidance on the device stating that the cost-saving per patient when Deltex' CardioQ-ODM was used instead of a central venous catheter in the peri-operative period was about £1,100 based on a 7.5-day hospital stay.

The guidance further stated: "There is a reduction in post-operative complications, use of central venous catheters and in-hospital stay compared with or without invasive cardiovascular monitoring."

MF

Recommended

The MoneyWeek Podcast: picking stocks is fun, but you need to do your homework
Investment strategy

The MoneyWeek Podcast: picking stocks is fun, but you need to do your homework

John Stepek talks to Steve Clapham, investor, analyst and author of The Smart Money Method, about the dangers in picking individual stocks and why you…
8 Apr 2021
BP looks set to return more money to shareholders as it beats expectations
Energy stocks

BP looks set to return more money to shareholders as it beats expectations

Oil major BP is to embark on a share buyback programme after significantly reducing its debts. Saloni Sardana looks at what it means for your portfoli…
6 Apr 2021
Deliveroo has hit the market – but it’s not getting the warmest welcome
UK stockmarkets

Deliveroo has hit the market – but it’s not getting the warmest welcome

Food delivery company Deliveroo made its debut on the stockmarket this morning. But with the share price sliding by 30% straight away, it’s not made t…
31 Mar 2021
Three stocks to buy now that will come back stronger after Covid-19
Share tips

Three stocks to buy now that will come back stronger after Covid-19

Professional investor Ed Wielechowski of Odyssean Capital, chooses three compelling stocks that should thrive in a post-pandemic world.
29 Mar 2021

Most Popular

“Joke” cryptocurrency dogecoin goes to the moon. What’s going on?
Bitcoin

“Joke” cryptocurrency dogecoin goes to the moon. What’s going on?

Dogecoin – a cryptocurrency created as a joke – has risen by more than 9,000% this year alone. Saloni Sardana looks at how something that began as an …
19 Apr 2021
Lab-grown meat: how “moo’s law” will drive innovation
Soft commodities

Lab-grown meat: how “moo’s law” will drive innovation

Jim Mellon and Anthony Chow, co-founders of Aim-listed Agronomics, explain why they believe that “cellular agriculture” will benefit from massive long…
16 Apr 2021
The bitcoin bubble will burst: here’s how to play it
Bitcoin

The bitcoin bubble will burst: here’s how to play it

The cryptocurrency’s price has soared far beyond its fundamentals, says Matthew Partridge. Here, he looks at how to short bitcoin.
12 Apr 2021