Empower Clinics Inc. (CSE:EPW, OTCQB:EPWCF) has announced an agreement to develop a program for research and clinical trials services with a Dallas, Texas-based medical center.
Under the deal, Empower subsidiary EPW Curesearch LLC (EPWC) will provide pharmaceutical research and clinical trial services, centralized project coordination and operations management, as well as access to technology and systems to support the services, and the provision of a sponsor contract for clinical trials services.
Additionally, EPWC has signed an agreement with a leading physician who will act as the Principal Investigator (PI) supporting the provision of the services of the first site in Dallas.
The company described this first PI agreement as a “major milestone” and said it expects further PI signings in the near future.
"The evolution of our research and clinical trials development in Dallas has led us to create a dynamic and beneficial relationship with the medical group, that instantly provides efficiency and a variable cost model, ideal for the launch of our first research site,” said Steven McAuley, Empower chairman and CEO in a statement.
"We are focused on generating positive cash flow within our divisions and having our first Site Management Organization site with experienced PIs under contract, is a massive advancement of our business model,” he continued.
Empower highlighted a new report by MarketsandMarkets which estimates that the market for contract research organisation (CRO) services will be worth $76.6 billion in terms of revenue this year and is set to grow to $127.3 billion by 2028, driven by growing pharmaceutical, biotechnology and medical device R&D pipelines and technological advancements in the clinical trials process.
As a result of the growth generated by the new agreements, "we anticipate new revenue in 2023, we expect additional PIs to join our investigator roster, and we anticipate accessing revenue and cash flow far greater than our company has previously experienced", McAuley concluded.
Empower is an integrated healthcare company with multi-disciplinary clinics, a Canadian medical device company and has launched its first clinical research site becoming a Site Management Organization (SMO) in Dallas, Texas.
Contact the author at jon.hopkins@proactiveinvestors.com