Titan Medical (CVE:TMD) said today that it inked a deal with the principal developer of its Sport robot-assisted surgery platform to re-start the program after its halt earlier this year due to a financial shortfall.
Toronto-based Titan, which ousted longtime CEO John Hargrove earlier this week, put the Sport program on hold in mid-August after Ximedica suspended development until Titan could cover its bills. Adding insult to injury, a planned $16.0 million equity investment from Shanghai JuGu Equity Investment Fund, originally slated to close June 30 and extended to August 15, failed to materialize.
But after Titan raised nearly $7.9 million (C$10.25 million) last month with an overnight offering, the Sport program is back on track for human factors and usability testing with the Providence, R.I.-based product development firm.
“Ximedica is a valued partner and this agreement enables us to resume the development of the Sport surgical system,” interim CEO John Barker said in prepared remarks. “This agreement and the decisions by the board of directors earlier this week demonstrate the committed effort of our company to advance Sport surgical system.”
“We believe theSport surgical system represents a significant technology and everyone at Ximedica is proud to be associated with its continued development,” added Ximedica president & CEO Randall Barko. “Our development team is re-engaging and our objective is to deliver on Titan’s milestones.”
In August, Titan said it extended negotiations with a Chinese distributor, after a prior, 3-month add-on expired August 19. The robot-assisted surgery company is in talks with Longtai Medical over the exclusive rights to its Sport platform in the Asia-Pacific region.