If you are wondering what happened today--------now you know, a very significant press release that has certainly 'de-risked' Covalon. It is still quite early for believers to get a position based on the latest press releases.
Covalon Signs Distribution Agreement with Medline
Medline Industries Inc. is one of the largest Medical Product Distributors in the USA
Covalon’s products now available to thousands of health care institutions throughout Medline’s network
Covalon Technologies Ltd. (the "Company" or "Covalon") (TSXV: COV), an advanced medical technologies company, today announced that it has signed a distribution agreement with Medline Industries Inc. (“Medline”), the largest privately held medical distributor in the United States, whereby Medline will be distributing Covalon-branded products, including IV Clear™, SurgiClear™, and ColActive® Plus product lines into its extensive United States customer base.
“Hospital and clinic demand for IV Clear and SurgiClear has largely been the driver behind this opportunity with Medline,” said Brian Pedlar, Covalon’s Chief Executive Officer. “We expect to see increased sales of our products through this channel in the United States, and fully expect to grow our customer base of leading cancer treatment centers, pediatric hospitals, and wound care clinics because of our products’ improved availability.”
Products distributed by Medline can be found in most hospitals, extended-care facilities, surgery centers, physician offices, home care dealers, home health agencies, and retail outlets in the United States. Medline leads the market in more than a dozen major medical product categories, including skin care, operating room kits, surgical trays, and advanced wound care. As a result, many of the departments within healthcare institutions already have purchasing relationships with Medline which allows for a seamless procurement process for purchasing Covalon’s products.
“Our new distribution relationship with Medline significantly expands the reach of our products within the United States market,” said John R. Hands, Executive Vice President at Covalon. “Medline’s position of strength in categories that complement our products makes for an obvious fit, and we are very excited about the growth potential that this opportunity represents. We have been steadily building on the awareness and distribution capabilities of our products within the US market and we intend to take full advantage of Medline’s specialized distribution programs to connect with their hospital, surgery center, nursing home, and home health agency customers.”
Covalon offers infection management and advanced wound management dressings for both acute and chronic wounds, and is the only provider of a dual antimicrobial silicone adhesive technology used in its IV Clear and SurgiClear brands. Both of these product lines offer superior efficacy in helping to prevent infections and medical adhesive skin injuries, while providing total insertion or incision site visibility to the healthcare provider.
