– Neurolite has a complete grasp of the entire neurology market, with well-established relationships with a large portion of all relevant customers, says Chordate’s CEO Anders Weilandt.
Chordate Medical has developed Ozilia, a medtech treatment for migraine and rhinitis. The company has focused on establishing primarily the migraine treatment in a number of key markets in the EU and the Middle East. The goal is to build proof-of-concept in order to make an exit, i.e. sell the company to a larger player that can carry out a large-scale market establishment of Ozilia.
Adding Switzerland as a focus market
Chordate Medical has now chosen to add Switzerland to the list of selected markets. According to the company, Ozilia has already generated interest and several leads in the country.
Like several other of Chordate’s focus markets, Switzerland has a well-developed private healthcare sector and a relatively short process for obtaining a reimbursement code, according to Chordate Medical’s CEO Anders Weilandt:
– Obtaining a reimbursement code that allow patient insurance to cover the cost of Ozilia treatment, which we have previously achieved in Saudi Arabia and partially in Italy, is a key factor for us. Similar to Germany, Switzerland is characterized by a manageable decision-making processes and a relatively short path to reimbursement code for insurance payment.
Agreement with Neurolite
The company has signed an agreement with Neurolite as distributor and regulatory representative in Switzerland and Liechtenstein. The company was founded in 2011 and specializes in delivering medical technology solutions in neurology to hospitals and private clinics in both countries. The distributor has several treatments in its portfolio for neurostimulation, but none based on mechanical vibrations like Ozilia.
CEO discusses opportunities in Switzerland
BioStock contacted CEO Anders Weilandt to learn more about the go-to-market plans in Switzerland and the agreement with Neurolite.
Why did you choose Neurolite as a partner for the market initiative in Switzerland?
– The main reason was that Neurolite is entirely focused on neurology and has built up both knowledge in the field and an excellent network in the market over many years. Additionally, Neurolite is our regulatory representative, which we need since Switzerland is not part of the EU.
Why is Switzerland an attractive market?
– Partly because headache/migraine care is well-developed, similar to Germany, and partly because the distribution between private and public healthcare is advantageous for us. The decision-making processes are decentralized and relatively quick compared to many other markets. Since we are building proof-of-concept, deep market penetration is more important than broad market penetration. Initially, we want to attract a smaller number of highly engaged clinics, rather than many with lower engagement.
What does Neurolite’s network and customer list look like in the country?
– The company has a complete grasp of the entire neurology market, with well-established relationships with a large portion of all relevant customers.
How does Ozilia differ from Neurolite’s current product offerings in neurology?
– Ozilia is unique with its mechanical stimulation, but the company has other products in the neurostimulation and diagnostics segment that are suitable in a product portfolio where Ozilia fits well.
You have also announced that the market introduction efforts in the UK arebeing phased out. Could you tell us a bit about the background around that decision?
– We decided to invest in the UK based on the study activities and academic contacts we are still active with. Despite previous experience and the general industry view that the market is difficult to penetrate, we still wanted to give it a try. As always, one must evaluate the effect of investments in a market, which we have done now. The conclusion was that we currently do not see sufficient opportunities for progress – hence, the logical decision was to redirect our resources to markets with better conditions.
Are there any lessons from the UK that you take with you to the market introduction in other countries?
– We are constantly learning in all markets. What might be specific from the UK is primarily understanding how much freedom healthcare and doctors have to develop their operations, or in other words, how top-down controlled the operations are. It seems that the barriers for healthcare development and the introduction of new methods and technology are higher in markets with a dominantly politically controlled public healthcare system. From our perspective, it is better to focus where decisions about development steps are decentralized to the level that will actually implement them.
