COMPUMEDICS CHINA JV UPDATE

Compumedics Limited (ASX: CMP) (“Compumedics” or “Company”) wishes to advise shareholders that the contract negotiations in relation to its Somfit technology with leading China-based health-check organisation, Meinian Onehealth Healthcare Holdings Co., Ltd. (‘Health 100’), which were first announced in May 2018, have stalled due to key issues remaining unresolved.  These include the protection of key Compumedics shareholder interests around the scope of intellectual property (“IP”) rights in the Joint Venture (“JV”) and their subsequent control and protection.

These issues, including commercial conflicts of interest with a third party introduced to the JV discussions, arose and/or were introduced at a late stage in the negotiation and completion process and resolutions have not been expeditiously forthcoming.

Whilst senior Health 100 executives have confirmed that they are still keen to proceed with a Somfit trade deal despite the complexities of the proposed investment transaction, Compumedics is no longer able to commit to a conclusion date with regard a finalised JV with Health 100.   Therefore Compumedics will be broadening its focus on other trade and investment opportunities for the Somfit technology in China and other key international markets.

 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 Executive Director
Phone: + 61 3 8420 7300
Fax: +61 3 8420 7399

David Lawson
Chief Financial Officer
Phone: + 61 3 8420 7300
Fax: +61 3 8420 7399

Investor Relations, Media & PR enquires:

Rod North
Managing Director
Bourse Communications Pty Ltd                                                 
Phone: +61 3 9510 8309
Mobile: 0408 670 706

Richard Allen
Oxygen Financial PR
Ph: + 61 3 9915 6341
Mob: 0403 493 049