AdvanSource Biomaterials has entered into a multi-year supply agreement with a multi-national medical device company, for the supply of specialised hydrophilic polymer resins and solutions, designed to meet the key characteristics required to optimize device performance.
The multi-year supply agreement, having an initial term of five years, includes an annual usage fee per each commercial end-product that incorporates polymers and at the end the agreement automatically renews for additional one year periods if not earlier terminated by either party.
AdvanSource said that the hydrophilic polymers are being positioned for use across multiple product lines by the customer.
AdvanSource Sales and Marketing vice president Khristine Carroll said that the development agreement entered with the multi-national medical device company, was a significant step in their vertical integration strategy.
“We believe that advancing the relationship from product development to the supply of commercial polymers, specifically designed to meet the specific requirements of our customer, validates our strategy to leverage our biomaterials technology and capabilities in partnership with developers and manufacturers of medical devices,” Carroll said.
“This agreement is important as it not only provides a recurring annual usage fee for each and every medical device product introduced to the market by our customer, but it also provides for us to manufacture and supply our polymer products to this customer, which should be an additional catalyst in growing our product sales and improving our margins.”