Further to the announcement made by the Company on Thursday 12 May 2011, 3D is pleased to announce that its wholly owned subsidiary CarieScan Ltd (“CarieScan”) has now entered into an agreement with CoreStrength Inc (“CoreStrength”) to manage its sales channel activity in both the USA and Canada (the “Agreement”) for the CarieScan PRO (the easy to use hand held device for the early detection and monitoring of dental caries).
CarieScan will continue to work closely on a non-exclusive basis with Patterson Dental, its existing distribution partner in the USA.
CoreStrength, a well established leader in dental sales management, will provide CarieScan with access to an experienced sales team of 22, substantially improving CarieScan’s sales reach in those markets. Under the terms of the Agreement, CarieScan will contribute towards the costs of a jointly agreed marketing plan and towards certain costs incurred by CoreStrength in the delivery of its services.
The Agreement provides CarieScan with access to sales coverage for the whole of the North American territory on a predominantly commission only basis enabling the Company to move forward on a significantly more cost effective manner.
As a consequence of entering into the Agreement and of moving away from directly employing sales support staff in the USA and Canada, the Directors believe that a significant proportion of the cost savings identified and referred to in the announcement made by the Company on Thursday 12 May 2011 are now in place.
Commenting on the Agreement Graham Lay, 3D CEO said, “I am delighted to be working with such a professional and experienced team and to achieve comprehensive coverage of the territory on such a cost effective basis.”
Glenn Bonagura, Partner of CoreStrength said, “We believe that there is a substantial opportunity to sell the award winning CarieScan PRO to our customer base. We are known in the industry for our understanding of the latest and best dental products as well as our strong distribution network. Over the coming months we aim to build a sustainable competitive advantage for CarieScan across North America, and we look forward to working with the team.”
Josh Killian, Director of Marketing for Patterson Dental said, “We know the team at CoreStrength very well. Having a national sales support network in place is a key component for CarieScan to achieve traction with their new product.”
