CVR Medical Pens Deal With Canon for New Device Identifying Carotid Artery Disease

Despite countless advancements in healthcare, cardiovascular disease and stroke remain leading causes of death and disability worldwide. As with most diseases and conditions, early diagnosis of these oft-silent killers remains critical in treatment, which CVR Medical (TSX-V:CVM)(OTCQB:CRRVF) hopes it revolutionize with its Carotid Stenotic Scan, or CSS.

The CSS is unlike anything on the market today, taking a non-invasive and radiation-free approach to look for arterial disease or blockage. It does this through technology that performs a succinct evaluation of blood flow sounds.

CVR's technology detects and analyzes low frequency vibrations that radiate passively from the carotid arteries, the two arteries running up the neck that supply blood to the brain (internal carotid artery) and the scalp, face and neck (external carotid artery).

These patterns are specific waves when there are no obstructions and altered with the presence of any irregularity in the inner walls of the arteries. Through proprietary algorithms and other methods, the CSS delivers physicians a readout on percentage of stenosis, or narrowing of the artery.

The CSS is currently in the midst of a pivotal trial, with expectations that the device will earn FDA approval and be on the market by July.

Today, shares of CVM are up on news that the Vancouver-based company inked a manufacturing agreement with Canon Virginia, a unit of Canon U.S.A., which is part of Japan's Canon Inc. (NYSE:CAJ). The deal cements Canon as the primary manufacturer, assembler and logistical authority for CVR's CSS.

In addition to the brand awareness, working with Canon provides invaluable benefits, including in-house capabilities and supply-chain efficiencies that CVR CEO Peter Bakema believes will equate to tens of millions of dollars in short-term cost savings in their goal to reshape the cardiovascular healthcare landscape.

Shares of CVM are ahead 11.4% at 39 cents around the noon hour (EST). U.S.-listed shares of CRRVF are doing even better, rising 17.1% to 31 cents in morning action.