Nuo Therapeutics Announces Exclusive Private Label Distribution Agreement with Smith+Nephew

Rhea-AI Summary

Nuo Therapeutics has secured an exclusive private label distribution agreement with Smith+Nephew for the U.S. wound care market. Under this partnership, Smith+Nephew will market Nuo's Aurix System under their own brand name, CENTRIO Platelet-Rich Plasma System.

Key aspects of the agreement include:

• Five-year initial term
• Upfront distribution fee for Nuo
• Minimum purchase commitments at agreed pricing
• Potential reimbursement coverage milestone payments

Nuo will maintain manufacturing responsibilities and continue selling their Aurix brand separately, subject to customer overlap conditions. This strategic partnership leverages Smith+Nephew's market-leading position in advanced wound care to expand the adoption of autologous PRP technology for treating chronic wounds.

Positive

• Secured exclusive distribution agreement with major medical technology company Smith+Nephew
• Received upfront distribution fee from Smith+Nephew
• Guaranteed minimum purchase commitments at agreed transfer pricing
• Potential additional revenue from reimbursement coverage milestone payments
• 5-year initial term agreement provides stable long-term partnership
• Maintains manufacturing control and continues Aurix brand sales separately

Negative

• Dependent on Smith+Nephew's market performance for CENTRIO success
• Customer overlap conditions may limit Aurix direct sales potential
• Specific financial terms and minimum purchase commitments not disclosed

HOUSTON, April 29, 2025 (GLOBE NEWSWIRE) -- Nuo Therapeutics, Inc. (OTCQB: AURX) (“Nuo”), a commercial stage medical device company pioneering leading-edge biodynamic therapies by focusing on emerging opportunities in the evolving healthcare landscape, announced it has entered into an exclusive private label distribution agreement (“Agreement”) with global medical technology company Smith+Nephew (LSE:SN, NYSE:SNN). Under the Agreement, Smith+Nephew will market and sell CENTRIO Platelet-Rich Plasma System, their own branded version of Nuo’s underlying Aurix^® System to the United States wound care market. Nuo will continue to be responsible for manufacturing the product.   The Aurix product brand sold separately by Nuo will remain in the market under Nuo’s full control and will be fully available commercially subject to certain customer overlap conditions more fully addressed in the Agreement.  

“This exclusive private label distribution agreement with Smith+Nephew is a significant development for Nuo,” commented David Jorden, Nuo’s Chief Executive and Financial Officer. “We could not envision a better participant in the advanced wound care market to work with collaboratively to develop the platelet-rich plasma (PRP) market, as we believe the most important beneficiary will be patients suffering the many consequences of non-healing chronic wounds. We firmly believe Smith+Nephew’s market leading position and significant market access and development resources offer the opportunity for broader awareness and adoption of autologous PRP. We are truly honored that Smith+Nephew’s review of the available PRP products resulted in their decision to seek distribution rights to the underlying Aurix technology.”

“Smith+Nephew looks forward to providing CENTRIO PRP technology later this year to our customers, and the patients they care for, as we look to expand treatment options and advance the continuum of wound care,” said Vincent Fath, Senior Vice President and General Manager, US Advanced Wound Management. “We are pleased to be working in collaboration with Nuo as our supply partner for this exciting opportunity.”

“The path Nuo has followed since the establishment of mandated coverage for PRP in the management of chronic wounds with the 2021 National Coverage Decision has successfully brought us this point,” concluded Jorden. “We have much still to accomplish and while the market environment for advanced wound care therapies will continue to evolve, the dedicated Nuo team is eager for the opportunity. We look forward to sharing future developments and progress as we work to position Nuo for long term success.”

In exchange for Smith+Nephew’s exclusive distribution rights for CENTRIO over the initial term of five years, Nuo has received an upfront distribution fee, and will be entitled to certain minimum purchase commitments at agreed transfer pricing. Nuo will also be eligible to receive certain reimbursement coverage milestone payments subject to successful achievement of additional reimbursement coverage conditions. Additional information concerning the distribution agreement can be found in Nuo’s Annual Report on Form 10-K, filed with the Securities and Exchange Commission on April 1, 2025.

About Nuo Therapeutics

Nuo Therapeutics, Inc. is a commercial stage medical device company pioneering leading-edge biodynamic therapies by focusing on emerging opportunities in the evolving healthcare landscape. Nuo’s Aurix System is a biodynamic hematogel that harnesses a patient’s innate regenerative abilities for the management of a variety of wounds.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements. These forward-looking statements include but are not limited to statements regarding Nuo’s receipt of distribution and reimbursement fees and minimum purchase commitments. Forward-looking statements may include statements that are predictive in nature and depend upon or refer to future events or conditions, and may include words such as “believes,” “plans,” “anticipates,” “projects,” “estimates,” “expects,” “intends,” “strategy,” “future,” “opportunity,” “may,” “will,” “should,” “could,” “potential,” or similar expressions. You are cautioned not to unduly rely on forward-looking statements. Forward-looking statements are based on current expectations, assumptions, and information available to Nuo’s management and are subject to known and unknown risks, uncertainties and other factors which may cause actual results to differ materially from the forward-looking statements. These risks, uncertainties, and factors are discussed under "Risk Factors" and elsewhere in Nuo’s public filings with the U.S. Securities and Exchange Commission from time to time, including Nuo’s annual report on Form 10-K, quarterly reports on Form 10-Q, and current reports on Form 8-K. You are advised to carefully consider these various risks, uncertainties, and other factors. Nuo expressly disclaims any intent or obligation to update or revise publicly these forward-looking statements except as required by law.  

Contact:
David Jorden
djorden@nuot.com

FAQ

What is the Smith+Nephew and AURX distribution agreement worth?

The agreement includes an upfront distribution fee, minimum purchase commitments at agreed pricing, and potential reimbursement coverage milestone payments. Specific financial terms were not disclosed in the press release.

How long is the distribution agreement between Smith+Nephew and Nuo Therapeutics (AURX)?

The exclusive private label distribution agreement has an initial term of five years, during which Smith+Nephew will market CENTRIO PRP System in the US wound care market.

Will Nuo Therapeutics (AURX) continue selling Aurix System after the Smith+Nephew deal?

Yes, Nuo Therapeutics will continue selling the Aurix product brand separately in the market under their full control, subject to certain customer overlap conditions specified in the agreement.

What is Smith+Nephew's CENTRIO PRP System?

CENTRIO PRP System is Smith+Nephew's branded version of Nuo Therapeutics' Aurix System, which will be manufactured by Nuo and distributed exclusively by Smith+Nephew in the US wound care market.

When will Smith+Nephew launch CENTRIO PRP System?

According to the press release, Smith+Nephew plans to provide CENTRIO PRP technology to their customers later in 2025.