Christchurch medical tech company secures milestone sale of CT scanner

Christchurch medical technology company Mars Bioimaging has secured the first clinical sale of its portable CT scanner, months after receiving US regulatory approval and raising $15 million to expand into the American market.

The scanner has been sold to Christchurch-based Reform Radiology, marking a major commercial milestone for the company after years of development.

Unlike traditional hospital CT scanners, the MARS system is designed for specialist clinics and imaging centres.

Small enough to be installed in consulting rooms, it allows patients to have hands, wrists and arms scanned at the point of care rather than being referred to a hospital radiology department.

The scanner produces high-resolution 3D colour-enabled X-ray images of hands, wrists and arms. It received US Food and Drug Administration clearance in March.

Chief executive Dr Ojas Mahapatra said the technology was developed to help reduce delays for patients waiting for imaging.

"What we want to do is when a patient comes in, they have access to high quality imaging at the clinic straight away," he said.

Mahapatra said the sale was a milestone in the company's commercialisation journey.

"We are very happy about that because it's in our own backyard. It's in Christchurch to Reform Radiology," he said.

Clinical customers were critical because they helped build the evidence needed for wider adoption by doctors and surgeons, he said.

"Clinical markets, they need evidence ... till a physician, a surgeon is using it for their patients, it doesn't really get to mainstream marketplace."

Until now, Mars Bioimaging had sold scanners to research institutions, including physics and engineering laboratories, but Mahapatra said the clinical diagnostics market offered a more scalable commercial opportunity.

The first clinical sale caps a busy year for the company.

It completed a $15 million fundraising round in January, followed by FDA clearance in March.

The company is hiring sales staff in the United States and says generating revenue is now its primary focus.

"The plan is to sell, sell, and sell, so revenue is number one on our list," Mahapatra said.

Despite the United States being its main target market, the scanners will continue to be manufactured in Christchurch using local manufacturing partner Argus Manutech.