New exclusive UK distribution agreements secured

Surgical Innovations Group plc (AIM: SUN), the designer, manufacturer and distributor of innovative technology for minimally invasive surgery, announces it has agreed two new UK distribution contracts. The first is a five-year exclusive contract with Microline Surgical Inc ("Microline"), Boston, USA, and the second is a three-year exclusive arrangement with Peters Surgical (Peters), based in Paris, France.

The new agreement with Microline continues a relationship which started in 2007 with Elemental distributing the Microline portfolio of products in the UK. The new contract continues the distribution of Microline products by Elemental for a further five years and, at the current run rate, will be worth an estimated £9m in sales over the period of the contract. In 2021, the relationship with Microline was expanded under a separate five-year contract lasting into H1 2026, for the distribution of Surgical Innovations' YelloPort access devices in the USA via Microline's local direct sales team.

Elemental's agreement with Peters has an estimated sales value in excess of £1.5m over the contract period. It was announced in March 2024 that Advanced Medical Solutions plc (AMS), with whom Surgical Innovations has a trading relationship dating back to 2014, has entered into an agreement for the proposed acquisition of Peters Surgical. SI designed, and continues to manufacture, AMS's Fix8 laparoscopic glue device for the fixation of hernia mesh.

David Marsh, CEO of Surgical Innovations Group plc, said: "The renewal of both these agreements is a clear demonstration of the confidence that suppliers have in our UK Elemental sales team. The strength of these relationships is further underpinned through Microline and Peters' existing agreements to distribute Surgical Innovations branded products in the USA and India respectively."