SOUTH EASTON, Mass., Nov. 26, 2012 /PRNewswire/ — Pressure BioSciences, Inc. (PBIO) (“PBI” or the “Company”) and Constant Systems Ltd (“CS”) today announced they have entered into a two-way, strategic marketing, selling, and distribution agreement (the “Agreement”). Under the terms of the Agreement, PBI has been awarded non-exclusive rights to market, sell, and distribute CS’s unique, high-pressure cell disruption equipment and consumables in the United States, Canada, and Mexico. Concomitantly, CS has been awarded the rights to market, sell, and distribute PBI’s patented pressure cycling technology (“PCT”) based instruments and consumables in England, Scotland, Wales, Ireland, Spain, Portugal, Italy, Norway, Sweden, Finland, Denmark, and Singapore. CS currently has strong sales and distribution channels in all twelve of these countries; PBI, on the other hand, has none. The Agreement is in effect until December 31, 2013; however, PBI and CS expect to extend the Agreement prior to its termination.
Mr. Richard Mallabar, CEO of UK-based Constant Systems, said: “to date, throughout our sales network we have successfully installed close to 900 of our cell disruption units into more than 40 countries worldwide. To help us continue this trend of successful selling, and to increase our market share in North America, we have partnered with PBI. Their reputation, experience, and expertise in high pressure, market knowledge, installed base of over 200 PCT instruments in approximately 150 N. American labs, and their U.S. location, gives us confidence that together we will be highly successful in placing multiple cell disruption instruments in the U.S., Canada, and Mexico.”
The initial Agreement focuses on cooperative marketing, selling, and distribution. The companies expect to co-market their products through shared booths at trade shows, joint email campaigns, combined advertisements and webcasts, and other means of gaining visibility for the two related, pressure-based product lines. They also plan to make sales calls together, when appropriate. The companies have also begun discussions on the possibility of expanding the current Agreement to include cooperative research, development, and manufacturing in the near future.
Mr. Richard T. Schumacher, President and CEO of US-based PBI, commented: “the two product lines complement each other exceedingly well. While both the CS and PBI technologies are based on high pressure, each product line has fundamental scientific capabilities that the other does not have. PBI’s PCT Platform uses certain patented pressure mechanisms to achieve small-scale, molecular level effects. CS’s technology uses different, proprietary pressure mechanisms for larger-scale, non-molecular level processing. In a number of routine laboratory applications, such as protein extraction, both effects can be critical to success. Therefore, for protein extraction and a number of other important scientific applications, we believe laboratories will benefit by using the CS and PBI products, either separately or together. This is a wonderful synergy of two well-respected, growing, and complementary product lines.”
Dr. Nate Lawrence, Vice President of Sales and Marketing at PBI, said: “we believe this is the beginning of a long-lasting and mutually-beneficial relationship. CS, with their experience and expertise in high pressure products, proven sales and marketing reach, and expansive and diverse life sciences customer base outside of the US, is the perfect partner to help drive the installed base of PBI products internationally. Concomitantly, we believe our access to multiple North American laboratories in academia, government, biotech, and pharma, makes us the ideal partner for CS. We further believe that our reputation and proven capabilities in the high pressure field will allow us to increase awareness of the CS cell disruption products quickly and efficiently. Finally, we believe that one of the earliest, most measurable results of this strategic partnership will be significantly increased revenue for both companies in 2013, and beyond.”
About Pressure BioSciences, Inc.
Pressure BioSciences, Inc. (“PBI”) (PBIO) is focused on the development, marketing, and sale of proprietary laboratory instrumentation and associated consumables based on Pressure Cycling Technology (“PCT”). PCT is a patented, enabling technology platform with multiple applications in the estimated $6 billion life sciences sample preparation market. PCT uses cycles of hydrostatic pressure between ambient and ultra-high levels to control bio-molecular interactions. PBI currently focuses its efforts on the development and sale of PCT-enhanced sample preparation systems (instruments and consumables) for mass spectrometry, biomarker discovery, bio-therapeutics characterization, vaccine development, soil and plant biology, forensics, histology, and counter-bioterror applications.
About Constant Systems, Ltd.
Constant Systems, Ltd (“CS”) is a British company that has been providing niche biomedical products and services to a global client base since 1989. CS designs, develops, and manufactures high pressure cell disruption equipment required by life sciences laboratories worldwide, particularly disruption systems for the extraction of proteins. Our equipment provides a constant and controlled cell disruptive environment, giving our clients superior, constant and reproducible results whatever the application. CS has nearly 900 machines installed in over 40 countries worldwide.
Constant Systems is part of the Score Group plc, an international engineering business based in Peterhead, Scotland. Score Group provides clients with a worldwide, around-the-clock range of engineering solutions for valve sales and service, turbines, aerospace components, and cell disruption equipment. Score Group employs over 1400 staff, and has annual sales that exceed $130 million.
Statements contained in this press release regarding the Company’s intentions, hopes, beliefs, expectations, or predictions of the future are “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, without limitation, statements regarding the anticipated benefits from the strategic partnership with Constant Systems, the likelihood that it will lead to significantly increased sales in 2013 and beyond, and the continued growth from the sale of PCT and cell disruption systems generally; that both the CS and PBI technologies complement each other exceedingly well; that in a number of laboratory applications, including protein extraction, both the CS and PBI technology effects can be critical to success, and that laboratories can benefit by using both technologies, either separately or together; and the size of the life sciences sample preparation market. These statements are based upon the Company’s current expectations, forecasts, and assumptions that are subject to risks, uncertainties, and other factors that could cause actual outcomes and results to differ materially from those indicated by these forward-looking statements. These risks, uncertainties, and other factors include, but are not limited to: possible difficulties or delays in the implementation of the Company’s strategies that may adversely affect the Company’s continued commercialization of its PCT-based product line; changes in customer’s needs and technological innovations; the Company’s and CS’s sales forces may not be successful in selling the Company’s and/or CS’s product lines because scientists may not perceive the advantages of these products over other sample preparation methods; and if actual operating costs are higher than anticipated, or revenues from product sales are less than anticipated, the Company may need additional capital sooner than anticipated. Further, given the uncertainty in the capital markets and the current status of the Company’s product development and commercialization activities, there can be no assurance that the Company will secure the additional capital necessary to fund its operations beyond December 2012 on acceptable terms, if at all. Additional risks and uncertainties that could cause actual results to differ materially from those indicated by these forward-looking statements are discussed under the heading “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2011, and other reports filed by the Company from time to time with the SEC. The Company undertakes no obligation to update any of the information included in this release, except as otherwise required by law.
PBI filed a registration statement (including a prospectus) with the SEC for an offering to which this communication may relate. Before you invest, you should read the prospectus in that registration statement for the offering and other documents PBI has filed with the SEC for more complete information about PBI and the offering. You may get these documents for free by visiting EDGAR on the SEC Web site at www.sec.gov. Alternatively, PBI can arrange to send you the prospectus, when available, upon request.
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