Medtronic and Indian healthcare chain Apollo Hospitals Enterprise have joined forces to provide a cost-effective, efficient and portable hemodialysis system to end-stage renal disease (ESRD) patients in India.
As part of the collaboration, Medtronic will offer its technology platform and Apollo will provide clinical insight for developing and marketing an affordable, portable dialysis solution in India.
Medtronic intends to invest $25m in the initial effort and establish an R&D team to focus on designing, developing and manufacturing crucial parts of the system in India, with the commercial launch scheduled for 2016.
Apollo Hospitals chairman Dr Prathap C Reddy said the partnership with Medtronic will help in fulfilling Apollo's vision of delivering better clinical outcomes through bench-to-bedside innovation.
"We are undertaking this landmark initiative to explore opportunities in dialysis solutions to address a critical need with the right, yet affordable treatment as part of our legacy of providing clinical excellence," Dr Reddy said.
In India, nearly 10% of adults suffer from chronic kidney disease, and it is estimated that nearly 200,000 new ESRD patients require dialysis or transplants every year.
In spite of multiple efforts to decrease the high mortality rate and improve the quality of life of ESRD patients, several infrastructure and economic barriers have prevented broader access to dialysis treatment.
Medtronic chairman and CEO Omar Ishrak said the company's internally developed system will be portable, lower costs, and be more efficient in its use of water than existing dialysis systems.
"Our collaboration with Apollo allows us to further tailor our system to best meet the needs of patients and physicians in India and will leverage Apollo's deep expertise and reach in treating ESRD patients," Ishrak said.
While patients need dialysis or a kidney transplant to survive, many have limited access to the treatment because of costs and other barriers to health care.
Medtronic and Apollo Hospitals expect the new portable system to serve the unmet needs of the patients from hospital to home, while saving the overall costs to the Indian healthcare system.
Both companies do not expect the collaboration to materially impact their earnings in the respective company's fiscal year.
According to GlobalData estimates, the hemodialysis machines market in India was valued at $44.3m in 2012 and is expected to grow at a CAGR of 23.8% to reach $197m by 2019.
Image: Medtronic's global headquarters in Minneapolis, US. Photo: courtesy of Medtronic.