A few more snippets from the Gargiulo Group analyst report on World Heart...
"Cardiovascular disease is the leading cause of death in the United States and most of the developed world, representing 40 - 50% of all deaths. Of such deaths, about 50% are caused by heart failure, a debilitative heart disease caused by the progressive deterioration of the heart muscle and its ability to pump sufficient blood to meet the body's needs. Current estimates hold that 3 - 4 million Americans, 300,000 Canadians and 20 million persons worldwide currently suffer from one form of heart failure, and more than 500,000 Americans, 45,000 Canadians and 5 million persons worldwide die as a result of heart failure each year."
Thermo Cardiosystems (TCA), as I've noted before is one of the main competitors.
"TCA trades on a valuation of about $1.2 billion, on 1996 revenues of $27 million. TCA reached $500 million in valuation in 1993 on revenues of $3.5 million...Clinical trials began in late 1996, three years after the market value reached $500 million."
"The current potential size of the VAD market is pegged at US $3.5 billion for the U.S. market alone, with a greater value estimated for the remainder of the global market, including Canada. Canada alone is potentially a $300 - $500 million annual market."
"Given the superior design and patented technologies of the HeartSaver, and the fact that it will be the only VAD implanted entirely in the chest, we believe the HeartSaver could garner a minimum 20% of the VAD market. This sets the potential market value of World Heart stock at more than $700 million versus its current total value of only $50 million." |
