An executive restructure and subsequent attempt to amend the agreement between the two companies has fallen through.
ASX-listed medical data and tech company HeraMed has terminated its partnership with US-based Fembridge, effective immediately, after both parties were unable to agree on revised commercial terms.
The partnership, announced just three months ago, sought to develop a maternity care solution prior to HeraMED’s recent restructure.
Under the agreement, HeraMED had provided Fembridge with a broad exclusivity over the US market and agreed to initially pay FemBridge US$40,000 per calendar month for provision of business development, sales, and marketing services.
Subsequently, on 10 May 2024, HeraMED announced a four-point strategic plan and restructure.
HeraMED’s new executive team sought to amend the terms of the Fembridge partnership, in particular the exclusivity over the US market and the performance measures tied to the monthly retainer in order to improve the commerciality of the agreement and ensure mutual benefit.
“Unfortunately, the two parties were unable to agree new terms, so the agreement has been terminated,” said the company announcement.
“HeraMED remains committed to delivering innovative healthcare solutions that improve patient outcomes and enhance the quality of care,” said CEO Anoushka Gungadin.
“While the termination of the partnership with Fembridge is disappointing, the company is determined to continue to execute is commercialisation strategy with strategic partners who share its vision and can provide the necessary support to drive the adoption of HeraCARE.
“We need to ensure we execute commercial agreements that align with the strategic objectives of HeraMED and can provide maximum value to shareholders.”
