Timothy Blair Presents iChor Vascular at LSI USA '24

Timothy Blair  0:03  
Tim. My name is Tim Blair. I'm the CEO of iChor vascular and co founder. Appreciate this opportunity to share our I Corps story. What do we do? We're in the mechanical thrombectomy space. We are a technology that restores flow into the lower extremities, and we're coming after clot removal or reperfusion of the lower extremities with a very simplified approach, right? We've come out with simple mechanics, elegant designs that kind of fit today's workflows, just by way of a little bit of history. You know? We if we look back into the early 2000s right? We moved away from cracking chests, we moved away from a lot of the pharmacological choices that we do for coronary disease, and we moved rapidly into endovascular techniques. And we saw the same happen in the neuro space. Right. For decades, we were using lytics or drugs to treat stroke, and in 2015 right, we rapidly moved towards mechanical options, to the point where, you know, there's very little lytics even used today in the brain. And so I say this as a backdrop, because this is the same trend we're starting to see in the peripheral vascular system. Right? Today's gold standards being lytics and surgical therapies, we're starting to see that trend move towards mechanical choices for lower extremity disease. So this is the problem, right? This is an understudied market. Today's gold standards, like I said, are lytic therapies or Drano, and 40% of those patients aren't candidates for lytics, right? And so what do we do with a lot of those? We're still doing a lot of surgical cut downs, a lot of surgical thrombectomy Fogarty procedures still being done today, here in the US and today's mechanical choices that are on the market. Yes, we're starting to move the needle, but they're still less than than perfect designs. And so essentially, we took a different approach. We took an approach to say, Can we really, can we look at that surgical thrombectomy procedure, and can we replicate those elements in vascular surgery that work really well, excuse me, really well, and can we just make them percutaneous? These are obvious mechanisms of action that we've been doing for the better part of 60 years. And all we've really done, and this is a conversation we have with all of our vascular partners, is, is we're replicating that proven mechanism of action, and we're just making it percutaneous for you. And so we're addressing a lot of the issues, right? It's a non surgical approach. It's a non drug approach. We're arresting flow, so we're avoiding a lot of these distal, embolic issues that commonly occur with endovascular procedures. And we're addressing some of the issues with some of today's technologies, which are things like trade offs of, yes, we remove clot, but Right? We leave scarring, we leave vessel damage, right? And so we're addressing some of the shortcomings of some of the current technologies today. It's a three part system, right? It's a it's a sheath that goes into your body. Doesn't matter if it's the arterial seven French or the 14 French Venus device, we arrest flow, and then telescoping inside of that is a basket, catheter basket that opens and closes. And now we're replicating tunneling through the clot that same Fogarty procedure we use in a surgical cut down. We get good wall opposition, we open up that balloon, and we bring all of that clot back to the basket. And so for our interventional or our vascular partners, we always maintain sheath and wire access, and that allows a physician to just keep making passes. We'll make three, four, sometimes five passes. We'll do it very quickly. But because we've got that wire access, we get good reperfusion very quickly. And here you can see the balloon working. There in the middle, you see no flow. On the left, you see the working mechanism of action, bringing clots sweeping the vessel. And obviously, after a few sweeps, this is what we we hope to to achieve. Couple slides on the market, big market, big market opportunity. This is bigger than the stroke space. You've got a big arterial market. And I think the takeaway here is very simple. It's dominated by pharmaceuticals and and surgical options, right? Mechanical tools or catheter based interventions, are really a very small percentage of a very big tam both on the arterial and the Venus market. And this is the trend, right? This is the this is kind of where we're at today. Roughly a quarter of the market is using, you know, catheter based types of tools, but there's a huge opportunity, and this is where the trend is going, right? The economics are too powerful, right? Physicians make money. Hospitals make money doing these procedures, delivering Linux and occupying and bogging down ICUs. It's a loser for the hospitals. At the end of the day, the economics are really in favor of mechanical options. So like I said, we've got a 14 French device. It's on the market. We just got approval last quarter, so we're starting to do procedures. And we've got our seven French sister product, which, which we've already done procedures on it with a former kind of first gen technology, but we've made improvements, and we're bringing the second gen device to market, probably. In June. It's currently submitted with the FDA. And so the go to market strategy is very simple. You know, we're starting to move into our limited market release with the 14 and kind of greasing the skids for the seven French in that process. Couple takeaways, this is high margin potential, right? Obviously, very attractive ASPs. We've got cogs below 1000 bucks with the event, you know, the ability to take this below 400 in time. So really good margin potential in a very big space. No capital equipment required with our with our kit, IP is strong. We've got issued IP in the United States, Canada and Europe, continuing to expand our geographical IP platform. And I think the most important thing about our, you know, protecting our marketed products, it's really the methods by which you do these procedures. And so part of our, part of our patent portfolio, is really around the methods. In other words, we didn't want people being able to piece mail things that we do in our kit, and to be able to do what we what we do with the I Corps devices. So how do you win? You know, I love simplicity. I come out of the marketing space. To me, ease of use, Trump's price. Trump's just about everything. These are easy to use technologies that fit with their physician workflows. And so we like to position ourselves docs, as you know, this is kind of a first line therapy, right? We go in, we remove the clot, and it really lends itself well to follow on stenting, follow on balloon angioplasty. And so it really lends itself to kind of be a first line therapy. That's because it's easy to use. It's all packaged in a single kit, and they can use those other procedures that are commonly associated with this thrombectomy procedure. So as we go into the real world. We're going to be very focused on data, right? We have post market data plans to be collected on the first 60 and first 100 patients, and that'll lead us into a bigger post market registry. And these are the endpoints that we'll be focused on. This is a great platform technology. You know, we're going to be focused on the seven and the 14, French which is arterial and Venus used today, but we've already built prototypes for our ij access. We're building prototypes for the dialysis treatments, and we've also got the plans to build the ancillaries or follow on technologies that can be used with with the ICORE seven and the 14. So we're not in full commercialization. We are limited market release. We're covering mostly the Midwest and the Southeast has been our focus. So we are hiring salespeople. We've got a strong distributor in place that's also our fulfillment and our warehouse, and does all of our Billings and collections as well. These are groups we've worked with in the past, and so it's a hybrid model, right? We're being very pragmatic as we as part of the limited market release, with the intentions of going bigger in time. So what's our current task? We just finished up a convertible note of 3 million. We've got a series a 5 million that's being led by Queen City angels and syndicated with gophers Florida community health as well as a new fund. We've got four of the 5 million in so we're looking to close this round out in the next couple of months, $18 million pre money valuation. We've got a 1x preference, 8% dividend and a 3x redemption clause at the fifth year. So pretty attractive terms and the use of proceeds for us, are really going towards a lot of the sales and marketing efforts. So we've got some iterative designs we definitely want to do as we start learning what's going on in the real world. And these are the inflection points. You know, we're very focused on getting these first 60 patients done in this quarter. So we're moving into q2 like I said, we're already doing procedures, and we're greasing the skids for the seven and aiming for 1000 patients by the end of the year. We think these are huge milestones for us that are very attractive to industry buyers. So we are working with our investment bankers. We've just started that process. We're having some nice conversations with some of the strategics as we continue to de risk what we're doing, and we think there's some viable term sheets in the near future for what we do. These are just some examples of some recent comps in the space. So pretty attractive. These are a lot of these acquisitions are pre revenue companies that were acquired. Some of them are early revenue. And we're kind of entering, you know, that phase as we speak, the team. You know, all I can say about the team is a lot of Been there, done that, 2030, years of experience in our respective disciplines, in the med tech space. We know the space well, and it's lent to great partnerships, right? We're a little less traditional in some of our development approaches, but very pragmatic, very efficient. We don't make a lot of mistakes and and we're continuing to do that through the commercial stages. We're also led by a great group of scientific advisors, so we've partnered with what I think are some of the best in class, vascular surgeons and interventional radiologists. We're working on a few more guys to come on to our advisory board here in the next couple of months. We.

Guys to work with. We've known them forever. They're part of our development or commercial process, and these are also guys that are influential in industry, right? We kind of like that. They have chief medical officer roles, and they have podium presence, and they run some of the bigger congresses out there. In summary, you know, it's built on simplicity. We love ease of use. We think we're working with really well. We know we're working with proven mechanisms of actions that work. We've just made it versatile and economical. Big space. We've got, you know, 510, K clearances on one device. Should have our second device here soon, and we're a great fit with a lot of strategic buyers. So look forward to talking to anybody who's interested to help us round out this. Raise. Appreciate the opportunity you.