Intellego enters into collaboration with a US company for the sterilization industry, to a minimum value of approximately USD 60 million over 5 years
Intellego has entered into a collaboration with a US company active in the healthcare sterilization industry. The US company has been using Intellego’s products for some time and they buy Intellego’s UV dosimeters to verify sterilization levels. Intellego grants the exclusive sales and marketing rights for the US market for the specific dosimeter product, and the market right is tied to minimum volumes totaling approximately USD 60 million.
The US company is a global company active in the UV industry which Intellego has had a collaboration with for several years. The US company is, among other things, active in the sterilization industry which in many countries is regulated in the way that a color indicator needs to be applied in every sterilization run. The product that the US company is launching is a sterilization device that uses a semiconductor-based solution, UV-C radiation and IR LEDs, to generate germicidal radiation. This can be used e.g. to sterilize surgical instruments, which is a market that is worth approximately 10 billion USD/year.
The deal is contingent on market approval from regulatory agencies and other standard conditions, including product quality. The parties do not foresee any significant regulatory obstacles, as the sterilization product has a low-risk classification. Intellego will invest in the market together with the US company during the time period up until market launch and afterwards in sales and marketing efforts. This will be financed from Intellego's operating cashflow. The volumes will be achieved over a five-year period, with volumes increasing progressively over time. The sales launch is projected to occur in early 2026 with connected deliveries and payments starting at that time.