Irvine-based Masimo Corp. executives recently took to the road to share the patient monitor maker’s story with investors as it moves through the eighth year of its 10-year business plan.
Chris Lewis, medical technology analyst with Newport Beach-based Roth Capital Partners LLC, published some of the findings in a research report this month.
He focused on several items in particular:
• Masimo is looking to drive the necessity for its customers to adopt at least one parameter of its Rainbow monitor, particularly hemoglobin blood management, in order to ensure that it remains “well positioned to win new customers and retain its current pulse [oximeter] installed customer base,” he said, noting that the company’s core pulse oximeter patents are scheduled to expire at the end of 2018.
• The device maker has introduced 10 products or parameters for existing products over the past year “and appears well positioned to continue its strong new product cycle going forward. Management expects these new products should contribute at least $5 million of annual incremental revenues,” Lewis said.
• Masimo’s pulse oximetry market could double over time if introduced to general hospital wards. Lewis noted that there are about 600,000 general floor beds in U.S. hospitals, four times the number of critical care beds.
• The device maker’s new Root monitor has the long-term potential to become a third pillar for Masimo, in addition to its pulse oximeters and Rainbow. Lewis said it potentially could bring Masimo $80 million in annual revenue, assuming a 10-year replacement cycle.
REIT Details Buys
Irvine-based real estate investor Griffin-American Healthcare REIT III Inc. spent $180 million in the third quarter to buy nine healthcare properties in five states, the United Kingdom and the Isle of Man.
The properties are six medical office buildings and three senior housing facilities.
Southern Illinois Medical Office Portfolio is made up of three medical office buildings with 41,000 total square feet and in the St. Louis suburb of Waterloo.
Napa Medical Center is a two-building medical office portfolio with 65,000 square feet in Napa on the campus of the Queen of the Valley Medical Center.
Tanglewood Trace Senior Living is made up of six senior living communities in northern Indiana and southwestern Michigan that have 653 rental units and 585,000 square feet of space between them.
Chesterfield Corporate Plaza is a 226,000-square-foot office building in Chesterfield, Mo., a St. Louis suburb. Its tenants include hospital operator Mercy Health.
Richmond VA Assisted Living Facility is a four-story, 210,000-square-foot property in North Chesterfield, Va. made up of independent living, assisted living and memory care units.
Crown Senior Care Portfolio has 317 beds and is comprised of properties in England, Scotland and the Isle of Man, a self-governing British dependency in the Irish Sea.
The firm said its portfolio is now valued in excess of $1.1 billion.
Griffin-American bought the properties from various sellers.
The REIT is sponsored by Irvine-based American Healthcare Investors LLC and Los Angeles-based Griffin Capital Corp.
Drugmaker Hires Consultant
Costa Mesa-based Nemus Bioscience Inc. is working with San Diego-based consulting firm Atheln Inc. on development of its NB1111 prodrug.
Prodrugs are medications or compounds that metabolize into pharmacologically active drugs after administration.
Nemus said in a news release that Atheln “is comprised of seasoned professionals skilled across the spectrum of drug development and product strategy, from chemistry/formulation to pre-clinical studies through [new drug application] filing.”
Nemus is engaged in discovering, developing and commercializing drugs derived from cannabinoids. The company’s board includes Douglas Ingram, former president of Irvine-based drugmaker Allergan Inc., now Dublin, Ireland-based Allergan PLC. He’s vice chairman of the board.
Separately, Nemus said it was participating in investor conferences put on this month by Aegis Capital Corp. and Dawson James Securities.
Bits & Pieces
Edinger Medical Group, Southern California Permanente Medical Group Orange County, St. Jude Heritage Medical Group, and Mission Heritage Medical Group received awards from the Integrated Healthcare Association, an Oakland-based trade organization for doctors’ groups. Edinger, Permanente Orange County and St. Jude Heritage won “excellence in healthcare” awards, and Mission Heritage took home a “most improved” award for quality of care. … Aliso Viejo-based Ellipse Technologies Inc. said more than 2,000 children with scoliosis or spinal deformities have been treated with its Magec spinal bracing and distraction device. … Hoag Memorial Hospital Presbyterian in Newport Beach said it was redesignated as a center of excellence in minimally invasive gynecology by the American Association of Gynecologic Laparoscopists and Raleigh, N.C.-based Surgical Review Corp.
