Bionik Eyes $4.9 Billion Global Neurorehabilitation Devices Market with New Strategic Direction
Robotics and neurological recovery solutions company Bionik Laboratories (OTCPINK: BKNL), has unveiled a new strategic approach to rehabilitating stroke survivors and others with functional and mobility challenges while delivering long-term value for investors.
Every 40 seconds, someone in the United States has a stroke, and it is a leading cause of serious long-term disability. Rehabilitation therapy following a stroke can be a lengthy process, often requiring a patient to perform countless repetitions of movements to increase neuroplasticity.
Bionik’s InMotion robotic devices are designed to enhance the effects of a conventional therapy session, enabling patients to complete up to 1,000 clinician-guided repetitions of key motions. The company’s devices are already installed at 450 locations worldwide, including more than 300 in the United States.
For newly appointed President and CEO, Richard Russo, it’s only the beginning for Bionik as it works to deliver specialized neurological care facilities across the country and provide proven outcomes to patients. We spoke to Mr. Russo to find out more.
Q: Bionik’s robotic devices play an important role in patients’ physical rehabilitation following a stroke. How will your national roll out of neuro-recovery care centers help accelerate this mission?
A: Bionik’s robotic devices are currently installed in hospitals and rehabilitation centers around the world. Part of our commercial strategy is focused on expansion to new global markets, and ongoing marketing to hospital administrators worldwide, who continue to see the value our devices offer to clinicians and patients.
A second, vital part of our strategy is making Bionik’s devices more accessible to patients through a care model that goes beyond the boundaries of insurance. Our Bionik-branded neuro-care centers will become the vehicle to providing exponential data inputs to our machine-learning algorithms and will broaden our reach to new patient populations, allowing us to fulfill our mission of helping patients lead fuller and more independent lives.
Q: Separate from Bionik’s mission, your focus is on building long-term value for shareholders. How will your new strategy support this?
A: Our goal is to establish Bionik as the stroke recovery expert through a national network of Bionik owned and operated neuro-care centers. Our rehabilitation center in Clermont, FL. Is an example of us leveraging our capital to acquire a revenue generating, cash-flow positive, and profitable rehabilitation center. The center has an existing roster of patients and a large patient referral base. We are confident this and future acquisitions will strengthen and diversify Bionik’s revenue streams, adding long-term value for our investors.
Q: Bionik recently completed its first rehabilitation center acquisition. Is the center now established as a Bionik-branded neuro-care recovery center? Are you assessing additional acquisition targets?
A: We were delighted to finalize the acquisition of our Clermont, FL. Center. This center has our technology in place and we are in the process of rebranding the facility to a specialized neuro-recovery center. The center will provide treatment to patients with stroke, brain and spinal cord injuries, in addition to its historic treatment offerings.
We are also actively pursuing additional acquisition targets and we are in advanced discussions with a number of leading, profitable local centers with strong patient rosters. We look forward to updating the market as soon as more information is available.
Financing for our initial acquisition was secured from an existing investor, demonstrating strong belief in our national rollout strategy.
Q: The global neurorehabilitation devices market alone is projected to reach an impressive $4.9 billion by 2028. How is Bionik addressing this market?
A: Bionik’s InMotion systems are the gold standard for robotic upper extremity rehabilitation. Today’s InMotion Robots are a fourth generation of a design first developed at Massachusetts Institute of Technology (MIT) in 1989 and the subject of more than 200 peer-reviewed studies.
We believe firmly in the potential of early and intensive interventions to deliver the best outcomes for patients with stroke or neurotrauma, and we believe Bionik’s state of the art technology will allow us to continue tapping into the neurorehabilitation devices market to deliver increasing long-term value to shareholders.