CorMedix Announces Collaboration for DefenCath Promotion to the VA and Other Federal Facilities
Rhea-AI Summary
CorMedix (Nasdaq: CRMD), a biopharmaceutical company, has announced a collaboration with WSI PBG, a subsidiary of Golden State Medical Supply, to promote DefenCath® to healthcare providers in facilities operated by the Department of Veterans Affairs (VA) and other federal facilities.
This partnership aims to enhance access to critical therapies for approximately 40,000 veterans living with end-stage renal disease (ESRD) and other beneficiaries of federal programs. WSI PBG will leverage its expertise in navigating VA and federal facilities, including access, procurement processes, and regulations, to meet the unique needs of these healthcare systems.
CorMedix and WSI PBG are committed to improving health outcomes by providing increased access to DefenCath for patients at VA and other federal facilities. Joe Todisco, CEO of CorMedix, expressed excitement about the collaboration, citing WSI PBG's deep understanding of the federal healthcare landscape as a key factor in enhancing access to DefenCath and ensuring equitable care for veterans and other federal healthcare beneficiaries.
Positive
- Collaboration with WSI PBG to promote DefenCath to VA and federal facilities.
- Enhanced access to critical therapies for approximately 40,000 veterans with ESRD.
- Leveraging WSI PBG's expertise in VA and federal healthcare systems.
Negative
- None.
Insights
This strategic collaboration marks a pivotal expansion into the federal healthcare market for DefenCath. The VA system represents a significant untapped market with approximately 40,000 veterans with ESRD. The partnership with WSI PBG is particularly strategic as federal healthcare facilities often have complex procurement processes that require specialized expertise to navigate effectively.
The VA market alone could represent a substantial revenue opportunity. With ESRD patients typically requiring regular dialysis treatments and considering DefenCath's potential use in preventing catheter-related bloodstream infections, this could translate to a meaningful recurring revenue stream. WSI PBG's established relationships and understanding of federal procurement processes could significantly accelerate DefenCath's adoption rate within these systems, potentially reducing the typical 12-18 month sales cycle in federal institutions.
For investors, this represents a calculated move to penetrate a reliable, government-backed market segment. Federal contracts typically offer stable, long-term revenue potential with predictable payment terms - a valuable characteristic for a commercial-stage biotech company. The collaboration also provides CorMedix with a cost-effective way to access this market without building an internal federal sales infrastructure.
The timing of this collaboration aligns well with current federal healthcare priorities focusing on preventive care and infection control in high-risk populations. The VA system's mandate to provide comprehensive care to veterans makes DefenCath's infection prevention capabilities particularly relevant, especially given the higher infection risks in dialysis patients.
The partnership with WSI PBG, a subsidiary of Golden State Medical Supply, is particularly noteworthy as they have established distribution channels and compliance frameworks within federal healthcare systems. This relationship could potentially expedite DefenCath's inclusion in federal formularies and streamline the procurement process. The federal market's emphasis on evidence-based medicine and cost-effectiveness in procurement decisions suggests that DefenCath's clinical data will be important in securing substantial market share.
BERKELEY HEIGHTS, N.J., Jan. 21, 2025 (GLOBE NEWSWIRE) -- CorMedix Inc. (Nasdaq: CRMD), a biopharmaceutical company focused on developing and commercializing therapeutic products for life-threatening diseases and conditions, today announces it has engaged with WSI PBG, a subsidiary of Golden State Medical Supply, to promote DefenCath® to healthcare providers in facilities operated by the Department of Veterans Affairs (VA) and other federal facilities. This collaboration aims to enhance access to critical therapies for the estimated 40,000 veterans living with end-stage renal disease (ESRD) and other beneficiaries of federal programs.
This engagement leverages WSI PBG's proven expertise in navigating the VA and other federal facilities, including access, procurement processes, and regulations, to meet the unique needs of federal healthcare systems. With a shared commitment to improving health outcomes, CorMedix and WSI PBG will work together to provide patients at the VA and other federal facilities with increased access to DefenCath.
Joe Todisco, CorMedix CEO, commented, “We are excited to announce our collaboration with such an established and successful government sales organization fully dedicated to the VA and federal facilities. Their deep understanding of the federal healthcare landscape will help us increase access to DefenCath and ensure equitable care for our country’s veterans and others who benefit from the federal healthcare system.”
About CorMedix
CorMedix Inc. is a biopharmaceutical company focused on developing and commercializing therapeutic products for the prevention and treatment of life-threatening conditions and diseases. The Company is focused on commercializing its lead product DefenCath® (taurolidine and heparin) which was approved by the FDA on November 15, 2023. CorMedix commercially launched DefenCath in inpatient settings in April 2024 and in outpatient settings in July 2024. CorMedix is commencing clinical studies in adult Total Parenteral Nutrition (TPN) patients and pediatric hemodialysis (HD) patient populations in 2025 and also intends to develop DefenCath as a catheter lock solution for use in other therapeutic areas. For more information visit: www.cormedix.com.
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, that are subject to risks and uncertainties. Forward-looking statements are often identified by the use of words such as, but not limited to, “anticipate,” “believe,” “can,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “will,” “plan,” “project,” “seek,” “should,” “target,” “will,” “would,” and similar expressions or variations intended to identify forward-looking statements. All statements, other than statements of historical facts, regarding management’s expectations, beliefs, goals, plans or CorMedix’s prospects should be considered forward-looking statements. Readers are cautioned that actual results may differ materially from projections or estimates due to a variety of important factors, and readers are directed to the Risk Factors identified in CorMedix’s filings with the SEC, including its Annual Report on Form 10-K and its Quarterly Reports on Form 10-Q, copies of which are available free of charge at the SEC’s website at www.sec.gov or upon request from CorMedix. CorMedix may not actually achieve the goals or plans described in its forward-looking statements, and such forward-looking statements speak only as of the date of this press release. Investors should not place undue reliance on these statements. CorMedix assumes no obligation and does not intend to update these forward-looking statements, except as required by law.
Investor Contact:
Dan Ferry
Managing Director
LifeSci Advisors
daniel@lifesciadvisors.com
(617) 430-7576
FAQ
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