Company Overview
American HealthCare Capital is pleased to present an exclusive opportunity to invest in an innovative medical company that has created an eco-friendly, one-time-use, urological device made with sustainable resources.
Industry Problem
15% of urine samples collected were contaminated during an observed 10-year period.
It can be difficult to collect the best specimen due to age (a 3-year-old or a 72-year-old) or unique challenges such as pregnant or obese bellies, dexterity issues, disabilities, or injuries.
High use of plastic waste is not eco-friendly.
Innovative/Eco-Friendly Solution
This device is the first ever paper-based “guided design” to collect a urine sample easily, neatly, and efficiently to ensure the best urine specimen is provided on the initial try. The device utilizes a urine collection cup of any size. It is a cleaner, greener, more dependable way to go with the single-use biodegradable paper and dramatically reduces Healthcare Waste. This represents a 97.6% reduction in plastic by weight and a decrease in total material weight of 65%. The lighter weight dramatically reduces per-unit supply chain costs and improves environmental impact.
Business Model
The business will end its pre-revenue stage at the end of 2024, with its product launch in Q1 2025. Contract manufacturing has been engaged, and sales distribution is in progress for its Class 1, patent-protected, innovative device. Organizational infrastructure is being built out and managed along with an initial domestic sales pipeline for growth. The Company has also engaged one of the largest national buying groups. The preferred sales channel for this product will be national medical supply distributors, as well as medical diagnostic labs, hospitals, ambulatory surgical centers, and medical providers. The Company forecasts $11.9 million in revenues in five years with an EBITDA of $4.4 million (34%).
Market Overview
The global urinalysis market size was valued at USD $2.14 billion in 2022 and is anticipated to expand at a compound annual growth rate (CAGR) of 4.0% from 2023 to 2030. The market is witnessing growth due to factors including the rising incidence of diseases such as Urinary Tract Infections (UTIs), diabetes, and kidney diseases.
Asking Price
The Company’s founders are looking for a strategic or financial partner to add value through its connections, financial strength, and resources to grow the Company to the next level. Therefore, the founders will consider a majority equity investment while remaining with the Company to implement the growth opportunities.
The Price is to Be Determined with or without an Earnout Going Forward.
