Video Transcription
Mark Vrancken Peeters 00:03
Um, ladies and gentlemen, I would first like to thank LSI Europe for the opportunity to present our goal here. And our goal is simple. We want to ban open chest coronary bypass surgery. I'm a former vascular surgeon. Our CMO and founder of the company is a cardiac surgeon, and we feel very bad when patients are operated on in a very traumatic way, have long recovery times, and lots of complications when there is a perfect alternative. So the alternative is initiated by our coronary vessel connector, the ArcticON, so we are a startup company. We are raising 2 million euros to get to design freeze in the next two years.
Mark Vrancken Peeters 01:00
You've thrown me under the bus. That is actually what patients will tell their doctor when they are operated on in the traditional way, the open chest way. And this is in sharp contrast to what the patients will tell you when they are operated on with a keyhole method. They will ask their doctors when they can go home after one day. So that's quite a difference. In the traditional practice, the breastbone and rib cage are split open, and patients are put on external life support, even to survive the procedure. So the benefits of keyhole are obvious because none of these traumatic setbacks are in play, and I can guarantee you, the hospital stay is shortened by a week, and recovery time is shortened by more than three months. So easy, then you would say, let's operate all the patients in this new keyhole method. Well, we like to have our medical advisory board members explain the situation because only 3% of surgeons can master suturing in tiny blood vessels in the confined space that the keyhole has provided. So to bring this life-saving opportunity to the rest of the cardiac community, we need an automated suturing device.
Mark Vrancken Peeters 02:25
We are very happy that the University Medical Center in Utrecht has spun out 25 years of vessel connector technology into OctoVascular. We have made a lease and license agreement, and we are very happy with all the knowledge and patents that are within our reach now. The brothers Paul and Willem Seiker, together with the Department of Medical Technology of Utrecht, have developed the ArcticON to its current shape, and that is vessel connectors and a delivery system. In the next video, you will see that the ArcticON is smart, self-aligning, and very easy to use. So the live-free system is introduced into the graft blood vessel. The deployment consists of aligning the vessel wall and crimping the connector onto the wall with anvils. This process is then repeated with the coronary artery, so you have introduction, aligning, and then crimping. Now that the two vessel connectors can be joined, the connection is completed, resulting in a leakage-free vascular continuity.
Mark Vrancken Peeters 03:57
So compared to the competition, the ArcticON excels, especially when it comes to patency rate, versatility, robot readiness, and usability. The data from the Seaport are from clinical trials, and the data from Elana heart bypass and ArcticON are from big studies. Our studies are published in Circulation Research. In conclusion, the ArcticON is superior in all areas that are essential for decision-makers. The Seaport, by the way, has been discontinued; it's no longer available on the market. It was mainly because of complexity in its use, but also it was very pricey, and the ArcticON is relatively cheap because it has a reloadable design and it has low manufacturing costs. The ArcticON will be sold for about 2,500 euros per procedure, while the Seaport, our nearest competitor, cost 5,000 euros per procedure. With this proposition, we can generate over 80 percent margin for the company. But it is not only the ArcticON that is relatively cheap; it's also the keyhole procedure itself that is cost-effective. By using the ArcticON in this setting, you will eliminate the need for patients to go to the intensive care unit. You will reduce hospital stay by another seven days, and this weighs favorably against the extra cost of using a robot. So the result is overall a cost reduction of over 5,000 euros for the hospital, the main decision-maker. I probably don't have to tell you that the market is huge. There are over 800,000 bypasses per year performed worldwide. And so with a selling price of 2,500 euros, you have a total market of 2 billion annually. We will generate revenue of 350 million euros per year when we service 25% of the market in Europe and the United States, and we have a comparable case, the heart stabilizer system that enables off-pump bypass surgery, and it achieved a market penetration of 25% seven years after market introduction. We have a great executive team, lots of experience. So Willem and Paul Seiker are the inventors of the ArcticON. Willem is a professor in cardiac surgery at the department, and Paul is an established engineer. I'm a former vascular surgeon, and I have 12 years of experience in building cardiovascular meta companies and innovations. So you're looking over 50 years of combined experience. We are supported by seasoned entrepreneurs and scientists, all with a great track record in bringing innovations to life, such as Shark Deckers, Sapiens, Medtronic, and led onward to an IPO. Peter Koppeten is Chief Medical Officer at Medtronic, and Paul Greenman is the co-inventor of the heart stabilizing system that was eventually sold to Medtronic. This is our project plan for the next five years. As I said, we need 2 million euros to get to design freeze in the next two years. The obvious other milestones, of course, include achieving quality certification. And once we have transferred design to manufacturing, we will execute our clinical development plan, which includes another big survival study, first-in-human trial, and a pivotal trial with, I think, around 150 patients. We expect to acquire market approval by the end of 2029. Our ambitious plans come at an expense, and there needs to be funding. So again, we need another 2 million to get to design freeze on top of the 900k that we have already raised so far. We need, in total, 19 million to get to market approval, at which stage it's very likely that we will be acquired by an exit partner with the capability to distribute the ArcticON worldwide. So if you feel connected and you think we are on the right path with our goal, then please contact me, and I can provide you with more information. Thank you very much.
