Avita Medical has struck a deal with China’s largest healthcare group to distribute its “spray on skin” products for the treatment of burns, other wounds and skin defects.
State owned Sinopharm, through its subsidiary MedTech, has been granted sole distribution rights for the products across China, Avita said.
China has 3.4 million burns patients and 1.4 million people afflicted by vitiligo, a condition characterised by portions of the skin losing their pigment.
“Sinopharm MedTech have a proven track record of building up strong recurrent sales of medical devices, and we greatly look forward to supporting their efforts in growing the China market,” Avita chief executive Adam Kelliher said.
“Avita has already done a lot of the hard work in China and now is the time to build on this and work with a strong partner to address the clear need for our regenerative medicine products.”
Avita’s “ReCell” medical device enables clinicians to rapidly create a suspension of cells and wound-healing factors derived from a patient’s own skin that are needed to regenerate natural, healthy skin.
The suspension, which is sprayed on to the patient’s wound, can be used to restart healing in unresponsive wounds, to repair burns using less donor skin, and to restore pigmentation.
The company has been in China for five years, with a presence in several leading hospitals in Beijing, Shanghai and Guangzhou, focusing on plastic surgery and repigmentation.
Sinopharm, the first Chinese pharmaceutical firm to make the Fortune Global 500 list, has wide reach, Avita said, with offices in all of China’s main cities and representatives in 31 provinces and regions.
Achieving strong distribution in China is a key part of Avita’s global sales strategy.
Avita shares gained 0.6 cents to 10.5 cents.