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Add Care pharmacies, Dr. Scholl's and many more coming.
Smart Insole?
THANKSGIVING LETTER FROM THE CHAIRMAN
November 26th, 2020
Dear Shareholders,
It has been a few months since I wrote a Chairman’s letter laying out our new OEM strategy that we implemented just about a year ago. The purpose of this letter is to document some of our accomplishments over the last 12 months and to share with you some of the major events that have occurred, or we believe will be occurring in the early part of 2021.
Sales
Soon after the management reorganization, our sales team got on the phones to re-establish relationships with firms that the Company had talked to over the last few years. After a few false starts, the team re-engaged with three firms with interest of selling our medical devices into the domestic OTC market. The first was Scott Specialty. This firm was in the process of developing specialty wraps for DonJoy. Scott placed their first order in August and we anticipate that the final units associated with this initial order will be delivered by early December. (DonJoy is already selling units online and we are told they will be placing units in brick and mortar outlets next month.) We are anticipating a new order from Scott just after the new year.
Two other firms have also placed orders to sell our device in the domestic OTC market. However, they have yet to distribute their products into retail and thus we are not able to identify them. With this noted, both will be receiving delivery of units in December and thus we anticipate booking sales to these customers in fourth quarter 2020. (These two customers anticipate selling into their retail markets in first quarter 2021.)
Internationally, we landed a contract with Adcock, a large firm in South Africa. Adcock is now in the process of registering the product and first sales to them should occur in early 2021. In addition, now that we have re-acquired our CE mark, we are able to reopen communications with our international distributors. We anticipate (or have already received) new orders from Romania, Italy, Australia, Sweden, the UK, and Spain. These sales should be booked in 4th quarter 2020 or 1st quarter 2021. In addition, one of our major domestic customers has been talking to us about also acquiring distribution internationally. These talks will probably continue into 2021.
Finally, we are in the early stages of selling into the medical professional channel with our RecoveryRx product. The plan is to use a 300+ salesforce of independent reps. This salesforce is being set up by Medi-Launch, a firm that has expertise in forming medical salesforce teams and launching new medical products. We have already signed up over 275 salespeople who have distributed more than 1500 samples to surgeons and other medical professionals. These samples allow the medical professionals evaluate our product for post-surgical pain and wound care, the claim associated with our non-OTC 510 (k). A few sales have already been booked and ultimately, we believe this channel of distribution could account for as much as 15% of our total sales volume.
Although I suspect most of you are primarily interested in the above information on sales (and ultimately profits) I would briefly like to mention the support activities that have occurred over this time period to make all these sales happen.
Modifying the product design and building up production capability. One of our customers wanted major design changes to our 720 hour device. This required extensive internal design changes to the device and modifications of the manufacturing processes. In addition this customer wanted to completely redesign the packaging. Coordinating all these changes resulted in extensive communications with the customer’s design team (and their top management) as well as nightly calls to our overseas manufacturer. There were surprisingly few bumps in the road and we are well on the way to fulfill their order. Importantly, this experience has greatly enhanced our core capabilities in product design and manufacturing.
Regulatory issues
We started off the year with significant regulatory issues. The regulatory team worked tirelessly with the firm, NEMCO, to get re-certified. It was a long battle, but we received notification in early November. This certification was critical as it allows us to again sell internationally.
I wish this was the only regulatory issue that we faced this year. We also need to get another certification, called MDSAP. This certification will allow us to sell in Canada and Australia among other countries. The short story is that we are well positioned to complete all the audits needed for certification by late January 2021. In the process we have developed a totally new inventory tracking system needed to augment our quality control processes. Development of this system has been a total team effort.
Other issues—Salesforce sales, Rebranding and R&D
Three other efforts that are currently in progress deserve mention. The first involves developing systems to handle sales through our new salesforce network and new marketing and training materials to support this salesforce. The training materials have been developed and are being used in numerous training zoom meetings, where we educate the independent sales reps on how to present the information concerning our device.
This new emphasis on selling our Rx product has also led us to revise our branding strategy so as to better differentiate the RecoveryRx device from the ActiPatch device. This rebranding is particularly important because the sales prices for these two devices are quite different. Our current plan is to discontinue North American sales under the brand name of ActiPatch by the end of the year. OTC sales in North America will be under the brand names of our marketing partners- essentially a license and supply agreement. We will retain the ActiPatch brand for units embedded into an appliance and sold under the appliance manufacturer’s brand name as “Powered by ActiPatch.”
Last, but not the least, we have made good progress with our R&D efforts. We started basic research to ascertain how our device affects brain waves. This project could open up the doors to solving numerous other diseases/ailments. We have also received notification that our neck study paper has been accepted for publication. The results reported in this paper not only show efficacy of the device over NSAID’s but also strong evidence supporting our claim that our device works via central sensitization. This latter finding is very useful when talking to medical professionals, since they want to know the “mechanism of action”, i.e., why our device works.
Summary
In summary, it has been a busy and productive year. The Company is moving in the right direction. Numerous new systems have been developed to support our new OEM strategy. Our core capabilities of R&D and expertise in designing and manufacturing Pulsed Short Wave Therapy devices have increased. The forecast for the next year has us above breakeven sales. Meeting these projections will not be easy, but it is doable. I am sure there will be some bumps, but the BIEL team will rise to the challenge and come out stronger. Thank you for your continued support, have a great Thanksgiving and stay safe.
Richard Staelin, Ph.D.
Chairman of the Board
I am from India. My guess is that atleast10-20% people can afford Actipatch. Given a good advertisement with a Superstar explaining the benefits over regular pain killers, it can go places.
Thanks for reminding. Yes, as said in that post they are delivering the promises they made. Well I can see that.
Kelly also replied about Ibex and St johns interest:
"Ibex and St. John's are not accruing interest for 2020. MAY do the same in 2021. The goal is profitability. Whatever it takes."
Kelly Replied in FB page:
"4th quarter has already exceeded 3rd quarter. I will have to check the #s to see if we exceeded all 3 quarters...I don't think we have yet, but we are on track to do it. "
What are the numbers of Q1,2,3 please. Let's give an idea about the sales for the newbies.
Correction. 6 weeks sales is more than 3 quarters together.
One more tweet update from Keith Nalepka about the sales till date in Q4:
With so many positive things happening, 4th qtr sales, after 6 weeks, exceed total 3 quarter sales. OEM plan executing. RecoveryRx ahead of plan, international growth through key partners. Making strides towards 2021 profitability. #teamBIEL #brickbybrick @BielCorp
It's on Facebook.
Kelly on Financials from BIEL shareholders page " just heard from Brian..he is working on them and thinks he will have them to me later today."
A new tweet from Keith. Best is yet to come.
Great unsolicited piece!! We have all worked hard this last year in challenging times to deliver on what was promised! This is our time, well positioned, buckle up! Best is yet to come. #brickbybrick #teamBIEL #loadingthebases
https://t.co/yIUJsbwLGH
What's the count now? Hope your 20 million worked?
Waiting for your post and review. It's been a while. We have bad whales and it will take some time to sink in as the nation is still busy with US Presidential. But meanwhile BIEL is closing all the deals. Good for us with this ORM approach
Will see Smart Insole and Recovery RX deals also soon according to the Chairman's letter from August. Hope all these years wait will end soon. All longs should be happy. Our wait should be a worthwhile.
What is the relation between Scott Specialities, DonJoy? Same or both different companies?
How is your Monday prediction going on? Oops
I saw that. And nothing strange like you mentioned. And then let me hear more about that Monday like what will be sequence of things.
Don't mind thanking twice, thrice etc. What do you think will happen after what you said?
Well tried. Better luck next time.
Ohh I see. Thanks for the useful info.
Well then your 7 point formula seems to be working and company is right in direction as you suggested. And the next thing should be lift off. Whether it's you or we suggest is for company well being and our well being
True, investors doing investigation, guessing things based on available information is nothing wrong and it is possible. Blaming company for everything is not right, their silence is their choice until disclosed.
Check Bioelectronics new tweet on orders. They received a huge order of the printed Actipatch packaging box to fill in the Actipatches to complete the orders.
Well I was mentioning about incidents not about brands or any kind of opinions. Leaks in this digital world is as common as we see
Hope you say the same for Apple Iphones, Samsung Galaxy's, Microsoft Surfaces, Google Pixels blah blah blah. And yes as per your logic all the above companies also fail to keep their products secrecy.
Going by your logic. Every year leaks happen with new iphone, samsung galaxy and etc etc. It's not an easy task to maintain secrecy in present digital world. And that doesn't mean companies should come out and say "Yes, the leak is real" or "Ok! Anyways it gets leaked, let me disclose it beforehand". Even though it's real or fake the companies will remain silent and it's correct way, remember NDA's. It is enthusiasm of the people to find out things they are interested in. It's ok to know.
FDA approved junk?
E-waste, U-waste is not an issue. It's ur perceptive, Fact is FDA cleared the product and it is going to climb new highs soon.
The recent PR outlines the most awaited strategy including the deals. I myself gave last chance to stay in this stock until I see that 180 day goal (though it was late due to pandemic). Now I have better timeline to wait and see if the PR comes to fruition or rots. If not I will just move away and not rant here, I have to search for other prospective companies. I am aware I am investing in Penny stocks (nothing but a lottery).
Very much satisfied with the updates/outline made by the company and new Chairman. Now need to see it all happen. It's soon and very soon. Meanwhile the dogs continue to bark.
1. 3 OEM companies for Actipatch with 1,20,000 units initial order
2. A commercial firm with 400 independent sales persons for Recovery RX sales.
3. 2 new big international players and Mundi Pharma.
Nice. Deals are here as expected with cash deposits and initial orders. We should see this climbing up step by step in coming months and into skies.
Please advise, are we going to get another PR on Monday or Tuesday other than that we saw today dated 15th about Dr. Staelin appointed as Chairman of Directors.
My suggestion to KW sometime back,
The below can be done on a Company level or on a personal level:
Here it is: You can start by testing how it works rather than doing whole and regretting. I am taking the 35 billion shares as example as I don't know actual figure.
1. Start by buying back or surrendering say 5 billion shares to try with. 5 billion shares at current SP costs 4 million at current SP of 0.0008.
2. Say, with this great and positive step from company the share price increase to 0.0015 (i.e an increase by 0.0007), so the remaining 30 billion shares value will increase by 21 million (i.e 30 billion x 0.0007)
See, by surrendering a trial 4 million worth of stock the company get a good return, have positive investor confidence, get big new investors into the stock, win back all longs and many many more.
3. Couple it with a deal PR then sky will be the limit.
4. Repeat the step if that works then it will take us to big boards with all deals and positive share price.
As a CPA I think you are better with numbers than me, and it is mutually beneficial.
My guess of Party 2 is the middlemen that every pharma have to access the big guys by small companies and Party 3 is the actual company.
Myself still staying for 3 reasons.
- Waiting for Kelly to announce first deal
- If KN doesn't believe he wouldn't stayed back
- Sree is still here, we both from same country, so some belief.
She blocked all shareholders from her personal account and also barred from viewing her tweets too.
I guess he was very much convinced with the progress BIEL is making and the deals lined up. You might have known something by making a visit to BIEL or by calling the CEO. Common guys pick up the phone and call Kelly if you have any questions.
It matters for me