Israel's D. Medical Industries ($DMED) is shedding jobs, cutting salaries and restructuring in order to better focus on marketing its proprietary insulin pumps.
Blaming "challenging marketing conditions," company CEO Efri Argaman said in a statement that the restructuring will allow it to boost marketing efforts for its Spring Zone insulin pump, which has CE mark approval in Europe, and the company's Spring Universal Infusion Set, which is armed with regulatory approvals in the U.S., Canada and Europe. Both are sold through subsidiaries.
"We plan to focus on marketing the company's technology in a way that will maximize its value," he said.
The goal here is to "significantly reduce" operating expenses for the company, to a cash burn rate of about $700,000 to $800,000 per month, according to the announcement. About 26 people worked for D. Medical at the time of its announcement, a spokesperson told FierceDrugDelivery via email, with cuts anticipated to hit administration, finance and, ironically, marketing. D. Medical already outsources manufacturing, the spokesperson noted. And the CEO, chairman, chief financial officer and COO will all take pay cuts.
D. Medical describes its technology as "durable and semi-disposable insulin pumps" that use a proprietary spring-based delivery technology to continuously dose insulin into a patient. The spring is designed to be cost-effective compared to traditional motor and gear train tech, according to the company.
- here's the release