Notice of material contract change
MedaPhor Group plc (AIM: MED), the global provider of advanced ultrasound skills training simulators for medical professionals, announces that the American Board of Obstetrics and Gynecology (ABOG) has served notice on the Company to terminate its contract with MedaPhor.
The directors believe that MedaPhor’s business relationship with ABOG is a good one and can be resurrected.
The ABOG has apprised MedaPhor that, if the patent infringement action which was announced by the Company on 27 April 2016 is resolved in a manner that is satisfactory to the ABOG, and there are no other threats to MedaPhor’s ability to market, sell and support its ScanTrainer and related technology, the ABOG would certainly welcome the opportunity to again do business with MedaPhor. The ABOG also indicated that nothing it has done or indicated should be construed as (i) any modification to the Notice of Termination which it has communicated to MedaPhor or (ii) any agreement to modify the Notice of Termination.
As stated previously, the directors believe that the patent infringement action is without merit and the Company is currently challenging the plaintiff’s standing to bring the action, vigorously defending its non-infringement position, as well as preparing to challenge in court the validity of the patent in question. The priority for the Group clearly remains to prevail on this patent infringement action and resurrect the ABOG relationship. The Company will update the market on progress made in this regard as appropriate.