Chordate Medical’s CEO: “We are building step by step”
Chordate’s Q1 report shows higher sales and a reduced operating loss compared to the same period last year. The company has also focused on increasing awareness of the migraine treatment Ozilia among investors and the life science industry at various conferences. BioStock contacted CEO Anders Weilandt to find out more.
Chordate Medical has developed and CE-marked Ozilia, a medical device treatment for chronic migraine and chronic rhinitis. The treatment is currently being introduced in several selected markets to show market potential and build proof-of-concept for a potential exit. In addition, the company works with product registrations in China, Saudi Arabia, the UAE and the US.
According to the Q1 report, net turnover amounted to SEK 0.25 million in January-March 2024, which is double as much previous year. However, sales are still at a low level, according to CEO Anders Weilandt’s report presentation. Cash flow improved from SEK -8.4 million last year to SEK -5.9 million in the first quarter.
Increases awareness among potential investors and buyers
During the spring, the company has focused on identifying potential buyers for the company and reaching out to more investors by participating in partnering and investor conferences focused on life sciences in Switzerland, Amsterdam, London, and Oslo.
Watch BioStock’s interview with CEO Anders Weilandt from Swiss Nordic Bio 2024 in March here. BioStock also interviewed the company’s board member Caroline Brandberg about her participation at Feminvest’s event FEARLESS in Oslo in April – read the article here.
– As Ozilia reaches higher levels of acceptance and success on our focus markets, we are working to increase knowledge about the Company and Ozilia among potential investors and buyers of the Company. This is part of the Company’s overarching strategy and thus something we will continue to work with even during the rest of the year, says CEO Anders Weilandt.
Other important milestones
During the quarter, the first patients were also treated with Ozilia in Germany at two private clinics. The company’s ambition for the German market is to eventually establish insurance reimbursement for the treatment, which is considered an important first step in further scaling up sales.
During the spring, Chordate Medical has also received US and European patent approvals for Ozilia. The company currently has 79 patents distributed between 32 countries and 9 patent families related to different aspects of the company’s treatment techniques.
– Each newly granted patent is positive since the Company’s intellectual property rights enable exclusivity on the market, which is a pillar of the ownership value the Company is building, says CEO Anders Weilandt
In addition to the patent portfolio, Chordate Medical has strengthened its cash position through a rights issue that raised approximately SEK 23 million before issue costs.
CEO comments
BioStock contacted Anders Weilandt to learn more about the company’s position and ambitions.
What are the biggest differences between Q1 this year and the same period last year? How does your current position differ from back then?
– We have made progress since we started building proof-of-concept in the market after the summer. It is a long-term effort that takes time – but we are building step by step. Revenues from repetitive sales are starting to show, albeit at low levels.
You focus on bringing institutional investors into the company. Why could this be advantageous at this stage?
– The company and our anchor investors, who have supported the company very well so far, would benefit from some relief. Institutional owners can be an advantage as we approach the final steps in the strategy – it provides stability and adds expertise.
What are your biggest challenges going forward and how do you plan to overcome them?
– Introducing completely new medical technology is always challenging; it requires patience and perseverance. To achieve this, we must be adaptive and flexible and make the necessary changes along the way towards our goal.
Where will Chordate be in two years, if the company has not been acquired by then?
– It is not entirely unlikely that we will have reached a positive cash flow at the operational level by then. This would mean that we own our own planning and would be less dependent on external capital. In other words – provide a certain degree of freedom. But there is still a way to go, and as previously communicated, this is not a strategic goal in itself.
The content of BioStock’s news and analyses is independent but the work of BioStock is to a certain degree financed by life science companies. The above article concerns a company from which BioStock has received financing.
