WESTBURY, N.Y., April 16, 2014 /PRNewswire/ -- Vasomedical, Inc. ("Vasomedical") (OTC BB: VASO), a diversified medical technology company specializing in the design, manufacture and sale of medical devices, including EECP® Therapy systems, the gold standard of ECP therapy, today announced that it has entered into an agreement with Chongqing PSK-Health Sci-Tech Development Co., Ltd. ("PSK") of Chongqing, China, a leading manufacturer of ECP therapy systems in China, to form a joint venture company, VSK Medical Limited ("VSK"), for the global marketing and sale of EECP and ECP therapy systems.
The agreement provides for Vasomedical and PSK to appoint the joint venture company as the exclusive distributor to market, distribute and sell EECP and ECP therapy products globally, except for the United States and China. In this regard, the agreement provides for PSK to be the exclusive distributor of Vasomedical's EECP therapy systems in China and for Vasomedical to be the exclusive distributor of PSK's ECP therapy systems in the United States, subject to certain conditions.
"Chongqing PSK in the last several years has been actively revitalizing the Chinese market for external counterpulsation treatment and has become a serious competitor in the international market," stated Dr. Jun Ma, President and CEO of Vasomedical, Inc. "This cooperative venture with PSK will enable the partners to better serve the global external counterpulsation market by offering tiered products to meet various demands for the therapy. It should also allow us to substantially reduce the risks and expenses associated with our international plan for EECP therapy.
"Our global strategy is designed to bring the combined resources of both companies to the marketing and clinical development of external counterpulsation therapy. The ultimate goal is to broaden the reach of this powerful technology so that more patients worldwide may enjoy its benefits," concluded Dr. Ma.
Vasomedical, Inc. is a diversified medical technology company specializing in the manufacture and sale of medical devices and in the domestic sale of diagnostic imaging products. The Company's main proprietary products are EECP® Therapy systems, the gold standard of ECP treatment. The Company operates through three wholly owned subsidiaries: Vasomedical Solutions, Vasomedical Global and VasoHealthcare. Vasomedical Solutions manages and coordinates the design, manufacture and sales of EECP® Therapy systems, and other medical equipment operations; Vasomedical Global operates the Company's China-based subsidiaries; and VasoHealthcare is the operating subsidiary for the exclusive sales representation of GE Healthcare diagnostic imaging products in certain markets. Additional information is available on the Company's website at www.vasomedical.com
About Chongqing PSK-Health
Chongqing PSK-Health Sci-tech Development Co., Ltd. ("PSK"), based in Chongqing, China and with over 200 employees around the country, has been dedicated to the research, development and manufacturing of ECP (External Counterpulsation) systems for more than 10 years. The research and development team of PSK is considered one of the strongest in the ECP field. The company has supported independent research and cooperation with universities in China for the future of ECP technology. PSK products are produced in compliance with ISO9001 and ISO13485 quality standards and have received CFDA and US FDA clearance as well as CE certification.
Except for historical information contained in this release, the matters discussed are forward-looking statements that involve risks and uncertainties. When used in this release, words such as "anticipates", "believes", "could", "estimates", "expects", "may", "plans", "potential" and "intends" and similar expressions, as they relate to the Company or its management, identify forward-looking statements. Such forward-looking statements are based on the beliefs of the Company's management, as well as assumptions made by and information currently available to the Company's management. Among the factors that could cause actual results to differ materially are the following: the effect of business and economic conditions; the effect of the dramatic changes taking place in the healthcare environment; the impact of competitive procedures and products and their pricing; medical insurance reimbursement policies; unexpected manufacturing or supplier problems; unforeseen difficulties and delays in the conduct of clinical trials and other product development programs; the actions of regulatory authorities and third-party payers in the United States and overseas; uncertainties about the acceptance of a novel therapeutic modality by the medical community; continuation of the GEHC agreement; and the risk factors reported from time to time in the Company's SEC reports. The Company undertakes no obligation to update forward-looking statements as a result of future events or developments.
KCSA Strategic Communications
SOURCE Vasomedical, Inc.