$1.9 million grant generates global distribution deal for ultrasound device maker

A South Australian manufacturer of ultrasound devices has announced a global distribution partnership with a Japanese company, two years after receiving a $1.9 million government grant.

Signostics was founded in Adelaide in 2005 with the aim of becoming the world leader in fast and affordable point-of-care ultrasound medical devices.

After opening its sales and marketing office in Palo Alto, California, the company launched its first product, Signos RT, into the veterinarian market in 2009.

It then gained regulatory approvals to enter the human medical device market in Australia, the United States and Europe.

Signos RT features patented technology to provide a completely portable, lightweight, handheld ultrasound device for point-of-care use by medical personnel in a number of clinical settings.

The company has unveiled its new Signos RT model, which builds on the technology of the original device by giving users the ability to view ultrasound images in real time.

According to Signostics chairman Raymond Spencer, the development of Signos RT was made possible by a $1.9 million grant from Commercialisation Australia, awarded in 2011.

Spencer says Signostics is now on the verge of becoming a worldwide leader in the medical device market – a far cry from its humble beginnings.

Signostics anticipates Signos RT will attract widespread interest from medical practitioners, healthcare professionals and veterinarians globally.

“The next-generation Signos RT has the potential to change the future of medicine and allow physicians to see more and do more anywhere at any time,” Spencer says.

The personal ultrasound market is estimated to be worth around $3 billion globally.

In what is a major coup for the company, Signostics has announced a global distribution partnership with Konica Minolta Medical & Graphic, Inc, which manufactures and sells consumables and equipment for healthcare systems. Its head office is in Tokyo.

Signostics chief executive Warren Ortmann says Konica Minolta will sell Signostics’ devices exclusively through Japan, China, India and the United States.

“Under the agreement, Signostics will manufacture the Signos RT with the help of our partner suppliers and deliver it exclusively to Konica Minolta,” he says.

“Under their brand, Sonimage P3, [Konica Minolta Medical & Graphic, Inc will] promote and sell via their existing supply channels in both the human and veterinary markets.

“An OEM partnership of this kind will greatly assist our growth and be a real game-changer for Signostics in terms of distribution and international sales.

“We have also received enormous interest from potential distribution partners throughout Europe, South East Asia and our own Australian market.”

According to Atsushi Kodama, president and chief executive of Konica Minolta Medical & Graphic, Inc, the “revolutionary” product will have a “significant impact” across global markets.

Meanwhile, Tom Kenyon, South Australian Minister for Manufacturing, Innovation and Trade, has congratulated Signostics on its achievement, describing it as a “big win” for South Australia.

“The main component of this new ultrasound device [is] to be manufactured right here in Adelaide,” Kenyon said in a statement.