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Medical technology & services

Fertility specialist Concepta primed and ready for next stage of its development

While the focus currently is on helping couples conceive, the company is running a hospital evaluation in China to extend the use of myLotus to early pregnancy monitoring

Adam Reynolds, chairman of the fertility specialist Concepta PLC (LON:CPT), said he expects the Chinese launch and CE marking in Europe of its lead product, myLotus, to occur in the first half of next year.

The certification of its Doncaster plant, meanwhile, is expected to be complete by the end of 2017.

The three landmarks will prime the business for commercial success.

READ: Concepta marks first myLotus shipment into China

The update was provided alongside interim results which charted a period in which the company signed its first Chinese distributor – ThinkBrio Medical Technology – and land a £225,000 sales order in the People’s Republic.

As might be expected of a business at this formative stage of its commercial journey, Concepta was loss-making. The shortfall was around £1mln for the six months to June 30. More importantly it was sitting of cash of just over £1.2mln as at that date.

Reynolds told investors while the focus currently is on helping couples conceive, it is running a hospital evaluation in China to extend the use of the myLotus to early pregnancy monitoring.

“Depending on the results, the potential application of the product would be utilised by up to 18mln births per year in China and would increase our opportunities to add this product to every market we launch into,” the chairman said.

“Additionally, it would create an additional earnings stream for the group, and the benefits would be demonstrated during the 2018 financial year.”

WATCH: First myLotus sales order 'the key milestone' so far for Concepta - CEO Erik Henau

Reynolds admitted it hadn’t been plain sailing for the business, which listed on AIM last July, although he was upbeat on prospects.

“The transition from a start-up to a fully operational company is always a challenging one,” he said.

“However, despite delays to the initial launch of our myLotus product, I believe that we have made positive progress over the period, laying the foundations required for ongoing rapid growth and, in turn, a successful myLotus product launch and penetration into the Chinese and European markets by the end of this year and 2018 respectively.”

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