13 October 2021
Avingtrans Plc
("Avingtrans", the "Company", or the "Group")
Avingtrans completes minority £2.5m investment in emerging medtech leader, Adaptix
Avingtrans PLC (AIM: AVG), which designs, manufactures and supplies critical components, modules, systems and associated services to the energy, medical and industrial sectors, is pleased to announce its £2.5m participation in a £12.9m fund raise by emerging medtech leader, Adaptix Ltd ("Adaptix"), based in Oxford, UK.
Adaptix's focus is on transforming radiology, by allowing low-cost, low-dose 3D portable imaging. It has developed a number of novel technologies and imaging approaches in relation to Digital Tomosynthesis ("DT"). At the core of Adaptix's technology is the 'Flat Panel X-ray Source' (FPS) which consists of a monoblock containing an array of individually controlled X-ray emitters combined with a high-voltage power supply.
In its latest round of funding, Adaptix is raising up to a total of £12.9m of new funds, including £2.5m in cash from Avingtrans. In return for the investment, Avingtrans will own approximately 5.9% of the total issued share capital of Adaptix, post the closing of the fund raise.
Avingtrans, through its majority owned-subsidiary Magnetica ("MNA"), intends to collaborate with Adaptix, to develop a disruptive business offering. This offering will bring together low-cost 3D imaging in the form of MNA's Cryogen-free MRI and Adaptix's DT, to allow fusing of the image data, giving enhanced low-cost diagnostic capability, initially for orthopaedic imaging. The target markets include some 28,000 US sites focused on minor injuries (urgent care) and private orthopaedic practices (private practices and ambulatory surgical centres).
The purpose of the collaboration is to create a broader offering to customers than is delivered by each business alone and ultimately to bring together low-cost 3D MRI, X-ray and potentially ultrasound, in a solution which can address a significant proportion of all medical and veterinary imaging procedures.
In the year to 31 March 2020, Adaptix made a loss after tax of £0.8m.
Steve McQuillan, CEO of Avingtrans, commented: "We are excited by the prospect of Magnetica working with the team at Adaptix, to our mutual benefit. As fellow travellers on parallel disruptive medical imaging paths, we believe that working together will deliver cost and market synergies for both businesses to enhance potential shareholder value, through better quality and flexible multi-modal imaging, enhancing the end customer experience."
Mark Evans, CEO of Adaptix, said: "Our vision is to offer multi-modal 3D imaging to under-served medical markets in major economies focused on extremity imaging, which will be driven by a 'Pay-per-Study' business model. Our competitive advantage will be facilitated by: the low cost of the equipment, protected and enabled by proprietary technology; equipment that does not need high-cost rooms and installation; and portability that enables equipment to be cheaply redeployed and therefore, facilitates new service models. We believe that by working with Avingtrans and Magnetica, we will be able to deliver a unique proposition to the medical imaging market."
Enquiries:
| Avingtrans plc | 01354 692391 |
| Roger McDowell, Chairman Steve McQuillan, Chief Executive Officer Stephen King, Chief Financial Officer |
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| Singer Capital Markets (Nominated Adviser and broker) | 020 7496 3000 |
| Shaun Dobson/Alex Bond (Corporate Finance) Rachel Hayes (Corporate Broking)
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| IFC Advisory Ltd
Graham Herring Tim Metcalfe Zach Cohen
| 020 3934 6630 |
About Avingtrans plc
Avingtrans designs, manufactures and supplies original equipment, systems and associated aftermarket services to the energy, medical and industrial markets worldwide.
Business units:
| Hayward Tyler - Luton & East Kilbride, UK and USA, China and India Specialises in the design, manufacture and servicing of performance-critical motors and pumps for challenging environments.
Energy Steel, Inc - Rochester Hills, Michigan, USA Provider of custom fabrications for the nuclear industry, specialising in: OEM parts obsolescence; custom fabrications; engineering design solutions; product refurbishment; on-site technical support.
Stainless Metalcraft Ltd - Chatteris, UK and Chengdu, China Provider of safety-critical equipment for the energy, medical, science and research communities, worldwide, specialising in precision pressure and vacuum vessels and associated fabrications, sub-assemblies and systems.
Booth Industries - Bolton, UK Designs, manufactures, installs and services doors and walls which can be tailored to be: blast &explosion proof; fireproof; acoustically shielded; high security/safety; or combinations of the above
Ormandy Group, Bradford, UK Design, manufacturers and servicing of off-site plant, heat exchangers and other HVAC (heating, ventilation and air conditioning) products
Composite Products Ltd - Buckingham, UK Centre for composite technology, parts and assemblies, serving customers in industrial markets.
Magnetica Ltd - Brisbane, Australia Magnetica Limited specialises in the development of next generation MRI technologies, including dedicated extremity MRI systems and MRI system components. Magnetica has successfully built and tested a compact, integrated 3 Tesla orthopaedic MRI system, demonstrating clinical-quality imaging. Commercialisation of this system (and others) is on-going. Magnetica's structure now includes two other business units:
Scientific Magnetics - Abingdon, UK Designs and manufactures superconducting magnet systems and associated cryogenics for a variety of markets including MRI and provides services for Nuclear Magnetic Resonance instruments.
Tecmag Inc, Houston, USA Designs, manufactures and installs instrumentation, including consoles, system upgrades, and probes, mainly for Magnetic Resonance Imaging (MRI) and Nuclear Magnetic Resonance (NMR) systems.
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About Adaptix:
Adaptix is transforming radiology by bringing to market an addressable Flat Panel X-ray Source (FPS) with a multitude of individually addressable emitters with integrated power supply (known as a 'monoblock') - essentially we are 'digitizing' the source to complete the digitization of the imaging system. Our patent-protected technology enables fast 3D imaging from a stationary source at a significantly lower dose than CT.
Adaptix was founded by experts in radiation production, medical devices and bringing technology out of the lab and into the clinic. Our team includes hardware, software, business, project and product leaders backed by internationally recognised experts
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