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Be the first with the news that moves the market- Voyageur Pharmaceuticals (TSXV:VM) has dissolved its ImagingX joint venture with Chief Medical Supply
- The companies previously each owned a 50 per cent stake in the venture
- ImagingX was formed to become the lowest cost producer of barium contrast suspension products in North America and Europe
- Separate manufacturing agreements will now allow Voyageur to expand its business to other parts of the world
- Voyageur Pharmaceuticals (VM) is currently trading steadily at 7.5 cents, with a market cap of $5.35 million
Voyageur Pharmaceuticals (TSXV:VM) has dissolved its ImagingX joint venture with Chief Medical Supply.
The companies signed the joint venture agreement in January 2019. Each company held a 50 per cent stake in ImagingX, which was formed to become the lowest cost producer of barium contrast suspension products in North America and Europe.
Barium sulfate suspension is a contrast agent used during X-rays.
Under the terms of the agreement, Voyageur was responsible for the supply of USP barium sulfate to ImagingX. Chief Medical Supply would then produce the barium contrast products at its manufacturing facilities.
With the dissolution of the joint venture, Voyageur is now free to move its initiatives forward with other manufacturing agreements. The company says that this will allow it to expand in other markets and control all aspects of the business.
Brent Willis, CEO of Voyageur Pharmaceuticals, said that the termination of the joint venture will not have an effect on the company’s manufacturing capacity.
“Voyageur now has the ability find the most competitive manufacturing jurisdiction worldwide.
“Because of our stated from the earth to the bottle business model, this full integration strategy allows us freedom to find the lowest cost manufacturing here and abroad to maximise our profitability, in every operational jurisdiction,” he said.
Voyageur Pharmaceuticals has undergone significant change over the last 12 months.
Most notably was the appointment of Willis as CEO in July 2019. A founder of the company, he replaced John Ricci, who served four years in the role.
The company also changed its name in October 2019 from Voyageur Minerals to its current Voyageur Pharmaceuticals.
Voyageur Pharmaceuticals (VM) is currently trading steadily at 7.5 cents, as of 12:38pm EST.
