Milestone Scientific announced that through its minority owned subsidiary, Milestone Medical, exclusive licensee of Milestone Scientific's epidural and intra-articular instruments, it has entered into a distribution agreement with Milestone China for its intra-articular instrument to be used in the treatment of osteoarthritis.
Milestone China will oversee sales and distribution of the instrument in China and other parts of Asia. Under the agreement, Milestone China has agreed to certain minimum purchases annually following CFDA marketing clearance as a condition of the distribution agreement.
Year one minimum purchase is 300 instruments; year two is 600 instruments and year three is 800 instruments. CFDA marketing clearance can be sought only following FDA marketing clearance in the US. Although companies have no control over the regulatory process, Milestone currently believes it will have approval by the end of the second quarter of 2015.
Milestone China is a joint venture between Milestone Scientific and a team headed by a senior healthcare executive from China. The focus of Milestone China is to supply and distribute medical and dental instruments, and disposables to China and other Asian markets.
Lidong Zhang, Chief Executive Officer of Milestone China, previously held senior executive positions with leading healthcare distribution companies in China, including President of China National Medicines Corporation, Ltd. (CNMC), a billion dollar distributor of medical products in China.
Lidong Zhang, Chief Executive Officer of Milestone China, commented, "Adding this unique precision instrument to our product portfolio to enhance the treatment options and comfort level of those suffering from osteoarthritis and other joint pain is very gratifying."