Natus Medical Announces Transition of Peloton Business to Pediatrix Medical Group and Signing of Strategic Agreement
PLEASANTON, Calif., Oct. 17, 2019 (GLOBE NEWSWIRE) -- Natus Medical Incorporated (NASDAQ:NTUS) (the “Company” or “Natus”), a leading provider of medical device solutions focused on the diagnosis and treatment of central nervous and sensory system disorders for patients of all ages, announced today that the Company signed a definitive agreement to transition its Peloton hearing screening services business to Pediatrix Medical Group (“Pediatrix”). After the completion of the transition, Pediatrix will manage all newborn hearing screening services for Peloton hospitals. As part of the transition, Natus and Pediatrix have entered into a strategic agreement where Natus will provide its best-in-class ALGO screeners and supplies to Pediatrix to support its entire hearing screening business. Upon completion of this transition, Pediatrix will provide hearing screening services to over 500 U.S. hospitals.
“We are pleased to partner with an industry leader like Pediatrix to carry on our practice of newborn hearing screening service into the future,” said Jonathan Kennedy, President and Chief Executive Officer of Natus. “This partnership allows us to continue to supply our world-class screening devices and supplies to the hearing screening business through our strategic agreement with Pediatrix.”
“We are excited to add the Peloton customers to our existing portfolio of hospitals benefiting from our leading healthcare solutions, and we believe we can add tremendous value in these new relationships,” said Roger M. Hinson, M.D., President of Pediatrix and Obstetrix Medical Groups.
The transition of the Peloton business is expected to be complete by the end of the fourth quarter of 2019. Installation of ALGO screeners at the Pediatrix hospitals will be completed during 2020.
About Natus Medical Incorporated
Natus is a leading provider of medical device solutions focused on the diagnosis and treatment of central nervous and sensory system disorders for patients of all ages.
Additional information about Natus Medical can be found at www.natus.com.
This press release contains forward-looking statements, which are generally statements that are not historical facts. Forward-looking statements can be identified by the words “expects”, “anticipates”, “believes”, “intends”, “estimates”, “plans”, “will”, “outlook” and similar expressions. Forward-looking statements are based on management's current plans, estimates, assumptions and projections, and speak only as of the date they are made. These forward-looking statements include, without limitation, statements regarding Natus’s ability to supply screening devices into the future. These statements relate to current estimates and assumptions of our management as of the date of this press release and involve known and unknown risks, uncertainties and other factors that may cause actual results, levels of activity, performance, or achievements to differ materially from those expressed or implied by the forward-looking statements. Forward-looking statements are only predictions and the actual events or results may differ materially. Natus cannot provide any assurance that its future results or the results implied by the forward-looking statements will meet expectations. The Company's future results could differ materially due to a number of factors, including the ability of the Company to realize the anticipated benefits from the new strategic partnership with Pediatrix, the timing and successful transition of the Peloton business and installation of ALGO screeners at Pediatrix hospitals, the demand for Natus products and services, the impact of adverse global economic conditions and changing governmental regulations, including foreign exchange rate changes, on the Company's target markets, the Company's ability to expand its sales in international markets, the Company's ability to maintain current sales levels in a mature domestic market, the Company's ability to control costs, risks associated with bringing new products to market, and the Company's ability to fulfill product orders on a timely basis, as well as those factors identified under the heading Item 1A “Risk Factors” in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2018. Natus disclaims any obligation to update information contained in any forward looking statement, except as required by law.
Natus Medical Incorporated
Executive Vice President and Chief Financial Officer
Released October 17, 2019