Kromek Group enters multi-year agreements with Siemens Healthineers
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LONDON: Kromek Group plc (AIM: KMK), a leader in radiation and bio-detection technology, announced multi-year agreements with Siemens Medical Solutions USA, Inc. (“Siemens Healthineers”).
These agreements encompass know-how and IP use rights on a non-exclusive basis, furnace transfer, and related services under an Enablement Agreement and Patent Licensing Agreement, alongside the supply of CZT-based detector tiles for SPECT applications.
Under the Enablement Agreement, Kromek will receive $37.5 million over four years, starting with a $25 million installment this financial year. The Supply Agreement is expected to significantly boost Advanced Imaging revenue from the second year.
Kromek will transfer 15 furnaces to Siemens Healthineers and provide all necessary IP and services for CZT-based SPECT detector production. The Group retains the right to use its know-how and IP for other OEMs. Kromek will also supply Siemens with CZT-based detector tiles over the four-year period.
CEO Arnab Basu expressed enthusiasm for the agreements, noting their alignment with Kromek’s commitment to innovation in healthcare technology. The initial payment will support delivery milestones, reduce debt, and strengthen the balance sheet, with anticipated profits surpassing market expectations.
Kromek remains positioned to explore further collaborations, maintaining its leadership in CZT production for SPECT and CT markets.