Bioservo is proposed to enter into liquidation
Today, Bioservo Technologies (BIOS), a company within wearable grip-strengthening systems for people in need of extra strength and endurance, announces that the board of directors will propose to the shareholders that the company enters into voluntary liquidation.
Despite significant interest in Bioservo’s technology from companies in the industrial segment and numerous evaluation projects, the sales of Ironhand® have not met expectations, and the willingness to invest in the company's technology in the near future is deemed low. In the Life Science sector, the sales of Carbonhand® have increased satisfactorily in Sweden, Germany, and Norway, i.e. the markets where Carbonhand has been available previously. However, sales have not taken off in new markets where reimbursement systems are not yet in place, and the sales volumes for Carbonhand remain at such low levels that they do not compensate for the lack of sales of Ironhand within the industrial segment.
As announced on 12 October 2023, the company has for some time evaluated several alternatives, including the sale of parts or the entire company, capital contribution or other partnership possibilities. The company has also engaged an external financial advisor to assist in the process. This work has been going on for some time, and the board must now unfortunately conclude that it has not produced satisfactory results.
Inquiries with major shareholders have also indicated that the interest in injecting necessary capital is low. The upcoming unit option TO3 is also deemed unable to generate sufficient funding.
Given the above, the board sees no alternative but to propose a winding-up of the Company's operations in an orderly manner, which can be achieved through liquidation. The board and management will, however, continue their efforts to find alternatives to continue the business.
Notice to an extraordinary shareholders’ meeting with a complete proposal for liquidation will be published separately.
"There is still a strong belief in the technology and the potential within the Life Science segment, and we are working intensively to find a solution that enables us to continue providing and advancing Carbonhand for patients with impaired hand function," says Petter Bäckgren, CEO at Bioservo.
For more information, please contact
Petter Bäckgren, CEO, Bioservo Technologies AB
Phone: +468 21 17 10
petter.backgren@bioservo.com
Mikael Wester, Marketing Director, Bioservo Technologies AB
Phone: +468 21 17 10
mikael.wester@bioservo.com
This information is such that Bioservo Technologies AB (publ) is obliged to publish in accordance with EU Regulation on Market Abuse (MAR). The information was submitted for publication through the agency of above contact persons for publication on 27 November 2023 at 8.30 (CET).
About Bioservo Technologies
Bioservo Technologies AB (publ) is a world leading company in wearable muscle strengthening systems for people in need of extra strength and endurance. All our innovative products and systems are designed to keep people strong, healthy and efficient. The company has a unique global position within soft exoskeleton technology for the hand, both for industrial applications to improve the health for workers and to improve quality of life for people with reduced muscle strength. Bioservo Technologies was founded in 2006 in collaboration between researchers at the Royal Institute of Technology and a doctor at Karolinska University Hospital. Bioservo Technologies is a Swedish public limited company with headquarters in Kista north of Stockholm.
FNCA Sweden AB is the company’s Certified Adviser on Nasdaq First North Growth Market.
For more information, please visit www.bioservo.com