Getinge and TSO3 ends exclusive distribution agreement on low temperature sterilization
Getinge and TSO3 have mutually decided not to renew the exclusive distribution agreement between the two companies, which was initiated in 2015. The agreement ends on August 1, 2018. The impact on the income statement for 2018 is expected to be – 126,4 MSEK mainly related to write-off, and this will be reported as IAC (Items Affecting Comparability). The cash flow for the period will be positively impacted by 70,7 MSEK due to sell-back of inventory to TSO3.
Getinge and TSO3 entered into an agreement in 2015, where Getinge aquired exclusive global distribution rights to the STERIZONE VP4 Sterilizer. Due to an overall slower market development than expected both companies have jointly decided it would be equally beneficial not to continue with the current distribution set-up.
Getinge continues to believe in the future of low temperature sterilization technology and will primarily focus on the development of the company’s own product, Stericool, offering a wide portfolio of sterilizers and a complete range of consumables for markets outside North America.
The Stericool sterilizers are Getinge's technologically advanced and affordable solution for low temperature sterilization. Stericool sterilizers employ patented technologies to deliver rapid and safe sterilization for delicate, heat-sensitive, and moisture-sensitive instruments.
Getinge and TSO3 will continue to maintain a collaborative working relationship in North America, which will enable Getinge to offer the Sterizone VP4 when low temperature sterilization is requested by a customer as part of total infection control solution.
Media contact:
Lars Mattsson, Head of Investor Relations
Phone: +46 (0)10 335 0043
E-mail: lars.mattsson@getinge.com
Jeanette Hedén Carlsson, Executive Vice President Communications & Brand Management
Phone: +46 (0)10 335 1003
Email: Jeanette.hedencarlsson@getinge.com
This information is information that Getinge AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 14:00 CET on August 1st, 2018.
About Getinge
Getinge is a global provider of innovative solutions for operating rooms, intensive-care units, sterilization departments and for life science companies and institutions. Based on our first-hand experience and close partnerships with clinical experts, healthcare professionals and medtech specialists, we are improving the everyday life for people, today and tomorrow.
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