Change of Adviser

RNS Number : 5911J

Deltex Medical Group PLC

28 April 2022

 

28 April 2022

Deltex Medical Group plc

("Deltex Medical" or the "Company")

Change of Adviser

Deltex Medical Group plc (AIM: DEMG), the global leader in oesophageal Doppler monitoring, is pleased to announce the appointment of Allenby Capital Limited as the Company's nominated adviser and joint broker with immediate effect.

As detailed below, the appointment of Allenby Capital Limited has been undertaken ahead of the completion of its full due diligence as it would not have been possible for this to have been finalised ahead of the loss of Arden Partners plc's nominated adviser status, given the extremely short timeframe from the announcement that Arden Partners plc would no longer be able to provide nominated adviser services (being 11 April 2022). This situation is the same as that for other AIM companies to which Arden Partners plc was acting as nominated adviser.

Further details on the appointment of Allenby Capital Limited

Further to the announcements by Arden Partners plc on 11 and 14 April 2022 regarding the loss of its nominated adviser status upon the completion of its recommended takeover, the Company has appointed Allenby Capital Limited as its nominated adviser. Given the timing of the completion of the recommended takeover of Arden Partners plc, London Stock Exchange plc has agreed that subject to initial due diligence being undertaken, Allenby Capital Limited has until 5pm on 27 July 2022 to complete its full due diligence.

There can be no guarantee on the outcome of the full due diligence and its impact on Allenby Capital Limited's decision to continue to act as nominated adviser. Accordingly, in such circumstances there is a risk that if Allenby Capital Limited does not continue to act as nominated adviser following completion of its full due diligence and the Company has not found an alternative nominated adviser, the Company's AIM securities may be suspended pursuant to AIM Rule 1. If, within one month of that suspension, the Company has failed to appoint a replacement nominated adviser, the admission of its AIM securities will be cancelled.

Notwithstanding the extension of time provided in respect of completing full due diligence obligations at engagement, Allenby Capital Limited will continue to be subject to all the ongoing nominated adviser responsibilities under the AIM Rules for Nominated Advisers.

For further information, please contact:

Deltex Medical Group plc	01243 774 837
Nigel Keen, Chairman	[e-mail]
Andy Mears, Chief Executive
Natalie Wettler, Group Finance Director

Nominated Adviser and Joint Broker Allenby Capital Limited	020 3328 5656
Jeremy Porter David Worlidge Vivek Bhardwaj	[e-mail]
Joint Broker
Turner Pope Investments (TPI) Ltd	020 3657 0050
Andy Thacker James Pope	[e-mail]

Notes for Editors

Deltex Medical's technology

Deltex Medical's TrueVue System uses proprietary haemodynamic monitoring technology to assist clinicians to improve outcomes for patients as well as increase throughput and capacity for hospitals.

Deltex Medical has invested over the long term to build a unique body of peer-reviewed, published evidence from a substantial number of trials carried out around the world. These studies demonstrate statistically significant improvements in clinical outcomes providing benefits both to patients and to the hospital systems by increasing patient throughput and expanding hospital capacity.

The Group's flagship, world-leading, ultrasound-based oesophageal Doppler monitoring ("ODM") is supported by 24 randomised controlled trials conducted on anaesthetised patients. As a result, the primary application for ODM is focussed on guiding therapy for patients undergoing elective surgery.

During 2021, Deltex Medical's engineers and scientists carried out successful research in conjunction with the UK's National Physical Laboratory ("NPL"), which has enabled the Group's 'gold standard' ODM technology to be extended and developed so that it can be used completely non-invasively.  This will significantly expand the application of Deltex Medical's technology to non-sedated patients. This new technological enhancement will substantially increase the addressable market for the Group's haemodynamic monitoring technologies and is complementary to the long-established ODM evidence base.

Our new non-invasive technology has potential applications for use in a number of healthcare settings, including:

· Accident & Emergency for the rapid triage of patients, including the detection and diagnosis of sepsis, an important capability for patients presenting with COVID-19 symptoms;

· In general wards to help facilitate a real-time, data-driven treatment regime for patients whose condition might deteriorate rapidly; and

· In critical care units to allow regular monitoring of patients post-surgery who are no longer sedated or intubated.

One of the key opportunities for the Group in 2022 is positioning this new, non-invasive technology for use throughout the hospital. Our haemodynamic monitoring technologies provide clinicians with beat-to-beat real-time information on a patient's circulating blood volume and heart function. This information is critical to enable clinicians to optimise both fluid and drug delivery to patients.

Our business model is to drive the recurring revenues associated with the sale of single-use disposable ODM probes which are used in the TrueVue System and to complement these revenues with a new incremental revenue stream to be derived from our new non-invasive technology.

Both the existing single-use ODM probe and the new, non-invasive device connect to the same, next generation monitor which is due for launch in 2022.  Monitors are sold or, due to hospitals' often protracted procurement times for capital items, loaned in order to encourage faster adoption of our technology.

Deltex Medical's customers

The principal users of our products are currently anaesthetists working in a hospital's operating theatre and intensivists working in ICUs. This customer profile will change as our new non-invasive technology is adopted by the market. In the UK we sell directly to the NHS. In the USA we sell directly to more than 30 major hospitals that appreciate the value of our evidence-based approach to haemodynamic management. We also sell through distributors in more than 40 countries in the European Union, Asia and the Americas.

Deltex Medical's objective

  To see the adoption of our next generation TrueVue System, comprising both minimally invasive and non-invasive technologies, as the standard of care in haemodynamic monitoring for all patients from new-born to adult, awake or anaesthetised, across all hospital settings globally.

Visit us online for further information at www.deltexmedical.com

 

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