Compumedics to Acquire European Based Alpha Trace (Dr. Grossegger & DRBAL GmbH)
Compumedics Limited (ASX: CMP) (“Compumedics” or “Company”) wishes to advise that it has acquired an initial 50% shareholding in Dr. Grossegger & DRBAL GmbH, which has been renamed Compumedics Alpha Trace GmbH (Alpha Trace).
Based in Vienna, Austria, Alpha Trace has successfully sold through its founder Dieter Grossegger, its range of neurological equipment in Southern Germany, Austria, and Switzerland for more than 40 years. Compumedics has acquired an initial 50% interest in Alpha Trace for €250,000, as the Company believes it will provide the two following significant benefits; Firstly, it will strengthen the selling infrastructure in this part of Europe as Alpha Trace, being part of the transaction, will have access to Compumedics’ existing range of products for sale into the region. The second being that Alpha Trace currently has an EMG device that is complementary to Compumedics’ existing neuro-diagnostic product range, a neuro-muscular diagnostic technology, that our neurodiagnostic customers often request and one that Compumedics has not had up until this point. With this device/technology Compumedics will be able to sell globally through its existing international sales channels. Compumedics expects that both these benefits will contribute up to €2m ($3m) in additional annual revenues within 18 months of the initial acquisition of the 50% shareholding in Alpha Trace. Alpha Trace currently has 5 employees and turns over approximately €500,000 pa.
Acquisition of Dr. Grossegger & DRBAL GmbH (Alpha Trace)
- Background: Compumedics Europe GmbH, based in Germany, being a wholly owned subsidiary of Compumedics Limited, acquires a 50% shareholding in Dr. Grossegger & DRBAL GmbH on 1st September 2022 for €250,000 (in equivalent Compumedics’ product) and it is renamed Compumedics Alpha Trace GmbH and is based in Austria
- Compumedics and Alpha Trace (Dieter Grossegger) will work together as equal owners of Alpha Trace for up to 3 years from the initial partial acquisition, subject to the terms and conditions of the mutually agreed to Shareholders Agreement
- Compumedics shall have exclusive rights to sell Alpha Trace’s existing EMG technology globally, subject to regulatory approvals where required
- Alpha Trace will have distribution rights to sell Compumedics existing range of sleep and neuro-diagnostics products, excluding MEG, into Southern Germany, Austria, and Switzerland
- Compumedics can during the three-year period, post the initial acquisition, purchase the remaining 50% shareholding in Alpha Trace for €150,000 cash, or at the end of the three-year term may purchase the remaining 50% of the shares in Alpha Trace for €150,000 plus a, to be agreed, share of the profits over the three-year period
The Alpha Trace transaction fulfills two of Compumedics current stated growth objectives, to grow our European business and the other to grow our neuro-diagnostic business.
About Compumedics Limited
Compumedics Limited [ASX: CMP] is a medical device company involved in the development, manufacture and commercialisation of diagnostics technology for the sleep, brain and ultrasonic blood-flow monitoring applications. The Company owns US based Neuroscan and Germany based DWL Elektronishe GmbH. In conjunction with these two subsidiaries, Compumedics has a broad international reach, including the Americas, Australia and Asia Pacific, Europe and the Middle East.
Executive Chairman Dr. David Burton founded Compumedics in 1987. In the same year the Company successfully designed and installed the first Australian, fully computerised sleep clinic at Epworth Hospital in Melbourne. Following this early success, Compumedics focused on the development of products that sold into the growing international sleep clinic and home monitoring markets.
Compumedics listed on the Australian Securities Exchange in 2000. Over the years, Compumedics has received numerous awards, including Australia’s Exporter of the Year, and has been recognised as a Top 100 Innovator by both German and Australian governments.
For further information please contact:
Dr David Burton
Executive Chairman, CEO
Phone: + 61 3 8420 7300
Fax: +61 3 8420 7399
Phone: + 61 3 8420 7300
Fax: +61 3 8420 7399
Bourse Communications Pty Ltd
T: +61 3 9510 8309, M: 0408 670 706
Authorised for lodgement by Compumedics Limited’s Board of Directors