OTC Markets Group (OTCM): Tell us about Profound Medical.
Arun Menawat: At Profound, we see a world where patients no longer need to choose between living well and living long, or between undergoing clinically effective procedures and returning quickly to their normal lives. By leveraging MR-guidance and ultrasound to deliver incision-free, safe, personalized, precise, fast and cost-effective therapeutic solutions, Profound intends to change the standard of care in the treatment of cancerous and benign diseased tissue.
Our technology is based on a powerful platform which is based on the combination of real-time Magnetic Resonance (MR) guidance as the imaging platform and ultrasound as the energy source for delivering non-invasive ablative technology to clinicians. These key technology pillars, linked with intelligent software and robotics, have the potential to fulfill various unmet needs of patients and clinicians in many anatomies and disease states.
Profound is commercializing a novel technology, TULSA-PRO®, which combines real-time Magnetic Resonance Imaging with transurethral, robotically-driven therapeutic ultrasound and closed-loop thermal feedback control that is designed to provide precise ablation of the prostate while simultaneously protecting critical surrounding anatomy from potential side effects. TULSA-PRO® is CE Marked and Profound is sponsoring a multicenter, prospective FDA-registered clinical trial, TACT.
Profound also recently entered into a definitive agreement to expand the existing collaboration between the two companies and acquire Royal Philips' Sonalleve MR-HIFU business. Sonalleve MR-HIFU is an innovative therapeutic platform that combines real-time MR imaging and thermometry with thermal ultrasound to enable precise and incision-free ablation of diseased tissue. Sonalleve MR-HIFU is CE marked and has historically been marketed by Philips primarily for non-invasive ablation of uterine fibroids. MR-HIFU, as a technology, has also been shown to have clinical application in other medical conditions, including non-invasive ablation of abdominal cancers, hyperthermia for cancer therapy and palliative pain treatment of bone metastases.
OTCM: What were recent major accomplishments for the company?
Mr. Menawat: 2017 has been a transformative year in Profound's history, building on the momentum we established in 2016.
Q1 2017 was the first quarter that the company recorded revenue.
On June 30th, we announced the aforementioned definitive agreement with Philips to expand our collaboration and acquire the SONALLEVE MR-HIFU business, establishing Profound as a market leader in MR-Ultrasound therapy.
OTCM: How does Profound Medical differentiate itself from its competitors and what is your growth strategy for 2017?
Mr. Menawat: Via the Philips agreement, Profound will become the only company to provide a therapeutics platform that provides the precision of real-time MR imaging combined with the safety and ablation power of directional (inside-out) and focused (outside-in) ultrasound technology for the incision-free ablation of diseased tissue.
Profound is currently conducting a pilot commercial launch of TULSA-PRO® in key European and other CE mark jurisdictions.
The strategic acquisition of SONALLEVE, a more commercially mature product, will further accelerate our revenue generation in the second half of the year. It will have a transformative impact on our reach and influence. The increased relevance and influence in hospitals will enable us to capture synergy opportunities and drive further clinical adoption of our technologies.
OTCM: Profound Medical joined OTCQX this year. How do you plan to use OTCQX as part of your U.S. IR program?
Mr. Menawat: The United States is a key target market for the TULSA-PRO® system and many of our shareholders are U.S.-based. Trading on OTCQX is a natural evolution for Profound, which should increase our visibility and complement our efforts to broaden our U.S. shareholder base.
OTCM: What else do you want U.S. investors to know about Profound Medical?
Mr. Menawat: Once completed, the SONALLEVE acquisition will establish Profound as a market leader in MR-Ultrasound Ablation. The transaction also represents an opportunity for Profound to immediately transition from a development-stage to a growth-stage company. Philips will also be a minority shareholder of Profound.
Click to close.