CytoSorbents Corporation (CTSO)

[techxen]

FMC has exclusive distribution rights

Under the terms of the original agreement which was signed at the end of 2014, Fresenius Medical Care has exclusive rights to distribute CytoSorb for critical care applications in France, Poland, Sweden, Denmark, Norway, and Finland. At the beginning of 2017 the two companies expanded the terms of their partnership and added a co-marketing agreement for the CytoSorb blood adsorber in countries where the therapy is available. According to the 3-year agreement, CytoSorbents extended Fresenius’ exclusive distributorship of the device for critical care applications in France, Poland, Sweden, Denmark, Finland and Norway through 2019. In these countries, Fresenius will develop a CytoSorb CRRT kit that will include its compatible blood tubing set and it must meet minimum quarterly orders and payments. The co-marketing agreement mandates that the 2 companies will jointly market CytoSorb and Frensenius’ compatible blood tubing sets to FMC’s critical care customer base in the countries where Cytosorb is actively commercialized. Fresenius will be responsible for identifying new CytoSorb sales opportunities and will make customer introductions with CytoSorbents and its distributors. The companies said that they anticipate the co-marketing program will begin in the 2nd half of this year.

The exclusivity is intended to protect FMC from other distribution agreements for those countries. I have not seen anything that would indicate Cytosorbents desires to expand their direct sales footprint beyond the five countries they are currently focused on - Germany (Austria, Switzerland, Belgium, Luxembourg).