Therma Bright Signs LOI For U.S. Distribution Network Expansion For Venowave With DME Authority
Rhea-AI Summary
Therma Bright (TBRIF) has signed a letter of intent with DME Authority for a Venowave distribution program in the US. The agreement outlines plans to establish at least three Premier Distributor Partner contracts, each requiring a minimum $2,000,000 inventory purchase, totaling $6,000,000 in Venowave VW5 devices during H1 2025. An equal inventory purchase commitment is required for H2 2025.
DME Authority will acquire remaining Venowave VW5 inventory from Therma Bright in Q1 2025. The distribution program aims to expand patient access across various healthcare channels. The initiative leverages Venowave's permanent HCPCS code E0683 for Medicare reimbursement. The LOI remains non-binding until a final contract is signed.
Positive
- Secured distribution agreement potentially worth $12,000,000 in inventory purchases for 2025
- Established Medicare reimbursement pathway through permanent HCPCS code E0683
- Multiple distribution partners being negotiated (3 out of 10 qualified partners)
- DME Authority to purchase remaining inventory in Q1 2025
Negative
- LOI is non-binding, final contract not yet signed
- Revenue generation dependent on future contract execution in Q1-Q2 2025
News Market Reaction
On the day this news was published, TBRIF gained 17.68%, reflecting a significant positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Initiative Includes Milestone-Based Inventory Purchase Commitments During Q1 and Q2, 2025
Toronto, Ontario--(Newsfile Corp. - December 18, 2024) - Therma Bright Inc. (TSXV: THRM) (OTCQB: TBRIF) (FSE: JNX) ("Therma" or the "Company"), a developer and investment partner specializing in advanced diagnostic and medical device technologies, is pleased to announce the Company has signed a letter of intent (LOI) for a Venowave distribution program with DME Authority based in Nashville, TN.
Through this distribution program, DME Authority will collaborate with multiple tenured and qualified network partners to establish no less than three (3) comprehensive U.S. distribution agreements. As outlined in the LOI, these 'Premier Distributor Partner' contracts require a minimum foundational inventory purchase of
The Premier Distributor Partners will be established during the first quarter of 2025 with plans to aggressively expand patients' access to Venowave across several healthcare channels serving multiple medical and surgical specialties within the U.S. healthcare market.
Therma Bright has granted DME Authority the exclusive authority to secure long-term agreements with its partners, and will not circumvent DME in any way with these partners. Therma Bright will collaborate closely with DME Authority and its partners to support their success and ensure market expansion goals are achieved.
"Given the pent-up demand, we're eager to engage with our national distribution network through our preferred partnerships approach," shared Erick Gosse, CEO of DME Authority. "Until now, providers lacked a mobile mechanical compression solution for the U.S. Medicare population, leaving a significant void for an effective treatment option. Retooling our 2021 strategy to focus on securing Venowave's permanent HCPCS code E0683 was critical, and the timing couldn't be better. Extensive reimbursement testing across multiple medical specialties and procedures has outperformed expectations in every category. Our Medicare patients are extremely happy with Venowave and relieved to finally have access to this much-needed therapeutic device."
"This agreement reflects the growing enthusiasm around Venowave VW5 in the U.S. market," added Rob Fia, CEO of Therma Bright. "With timely reimbursements and positive clinical outcomes, we're committed to supporting DME Authority's partners as they expand distribution and enhance patient care."
The Therma Bright-DME LOI is non-binding until all parties enter into a final contract agreement.
About Venowave VW5
The Venowave VW5 is a compact, battery-operated peristaltic pump designed to diminish post-op pain & swelling and enhance blood circulation while harnessing the multitude of advantages that come with increased venous blood flow by
Shares For Debt
Therma Bright announces that further to its press release of November 11, 2024, it has now issued an aggregate of 8,495,042 common shares at a deemed price of
Outside The Box Capital
In other news, the Company announces that it has entered into a marketing and consulting agreement (the "OTBC Agreement") with an arm's length marketing firm, Outside The Box Capital Inc. ("OTBC") of Oakville, Ontario, to provide marketing consulting and investor relations services, including marketing services through social media channels and online media distribution.
In connection with the OTBC Agreement, for a term of 6 months starting on Dec 16 2024, the Company will pay OTBC a cash fee of
The Company's engagement with OTBC is another step in its efforts to enhance communication with the current investor community and expand visibility to a greater audience. OTBC specializes in various social media platforms and will be able to facilitate greater awareness and widespread dissemination of the Company's news.
Board of Director Changes
Therma Bright announces the resignation of Board member Spencer Huh. The Company would like to thank Spencer for his service. In an effort to align more to our growing operations in the U.S. with Venowave's Medicare and Medicaid HCPCS code and distribution network, along with our sales and marketing initiatives under development with our various investment partner products, that include Inretio's PREVA®, AI4LYF digital cough and InStatin, the Company welcomes Alex Saringer to its Board.
Alex brings a great deal of business and operational knowledge in the U.S. market around the medical device space. His experience includes being part of the original team that developed and designed the Venowave VW5 solution, which has proven invaluable to Therma Bright as it pursued the permanent Medicare and Medicaid HCPCS code. His career spans 15 years of medical device design, development and commercialization in the U.S., as well as extensive knowledge of offshore device manufacturing.
About DME Authority, LLC
DME Authority partners with a select network of top-tier medical distributors and healthcare providers to deliver outcome-driven solutions that set new standards for patient care. By aligning with forward-thinking organizations, we bring innovative sales and distribution strategies to life, backed by comprehensive billing expertise and strategic funding programs. Our unique approach ensures our partners achieve unmatched success while transforming healthcare delivery across the U.S. Visit: www.dmeauthority.com
About Therma Bright Inc.
Therma Bright develops and partners on cutting-edge diagnostic and medical device technologies that address key healthcare challenges. Therma Bright Inc. trades on the (TSXV: THRM) (OTCQB: TBRIF) (FSE: JNX). Visit: www.thermabright.com.
Therma Bright Inc.
Rob Fia, CEO
rfia@thermabright.com
FORWARD-LOOKING STATEMENTS
Certain statements in this news release constitute "forward-looking" statements. These statements relate to future events such as future sales of Venowave and related technology as described in the news release. All such statements involve substantial known and unknown risks, uncertainties and other factors which may cause the actual results to vary from those expressed or implied by such forward-looking statements. Forward-looking statements involve significant risks and uncertainties, they should not be read as guarantees of future performance or results, and they will not necessarily be accurate indications of whether such results will be achieved. Actual results could differ materially from those anticipated due to several factors and risks. Although the forward-looking statements contained in this news release are based upon what management of the Company believes are reasonable assumptions on the date of this news release, the Company cannot assure investors that actual results will be consistent with these forward-looking statements. The forward-looking statements contained in this press release are made as of the date hereof and the Company disclaims any intention or obligation to update or revise any forward-looking statements whether because of new information, future events or otherwise, except as required under applicable securities regulations.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/234255
FAQ
What is the total value of the Venowave distribution agreement for TBRIF in 2025?
When will TBRIF's distribution partners begin purchasing Venowave inventory?
What is the minimum purchase commitment for each Premier Distributor Partner under TBRIF's agreement?
How many distribution partners is DME Authority negotiating with for TBRIF's Venowave?
What is the Medicare reimbursement code for TBRIF's Venowave device?
