Medistim

Regulatory Filings • Aug 6, 2015

Medistim strengthens its US operations and expands the sales force

Medistim strengthens its US operations and expands the sales force

(Oslo, August 6th 2015) Medistim ASA (OSE: MEDI), a

medtech company that develops and distributes

surgical guidance and quality assessment devices,

announces that the company is strengthening its

sales organization in the United States. The company

has hired 5 new sales representatives and is thereby

increasing its capacity from 13 to 18 sales reps.

Globally, about 700.000 coronary bypass surgeries

are performed per year and about 230.000 of these

surgeries are performed in the USA. The US is

therefore the largest and most important market for

Medistim. About 80 % of the bypass surgeries are

still performed with no other quality assurance of

blood flow other than the surgeons experience by

feeling pulse on the vessels using their finger. It

is clinically proven that this method is not

reliable. It is therefore a large potential and need

for Medistims products in the USA. Medistim has

large ambitions in the US market and so far Medistim

has achieved a market penetration of about 14 %. The

market penetration in Scandinavia and Germany is

more than 70 % and in Japan the penetration is more

than 80 %. Medistims ambition is to reach similar

market penetration in the USA. In 2014 sales from

the US amounted to MNOK 56.5.

Early 2014, a change in management took place and a

change in the company's commercial strategy was

implemented. This included targeted initiatives to

increase the use of Medistim equipment for existing

customers and win new customers, as well as

initiatives to get blood flow measurement and

ultrasound imaging recommended as standard clinical

practice through American guidelines drawn up by

associations such as AATS (the American Association

for Thoracic Surgery) and STS (Society for Thoracic

Surgery). The company's main initiative to increase

routine use is the previously announced REQUEST

study. This is a multicenter registry study, where

leading centers in the USA like Mount Sinai Beth

Israel in New York and George Washington University

in Washington are attending.

These initiatives have produced results, and over

the last four quarters the company has shown double

digit volume growth in the US market.

Based on the positive trend, the company has now

decided to expand its US operations. The company has

hired 5 new sales representatives and is thereby

increasing its capacity from 13 to 18 sales reps.

New, regional sales territories have been drawn up

based on thorough research, to ensure that new and

existing resources are used optimally to target

untapped potential in the market. The company

consider 2015 as a training period for new sales

resources and expect to see positive results on

sales performance in 2016.

"We are very pleased with the development of our US

business over the past 12 months," says Kari E.

Krogstad, President & CEO of Medistim ASA, and

continues: "We consider that the time is right for

further investments in our US sales operations. The

US team has delivered solid growth over several

quarters and shown that the change of management and

commercial strategy are paying off. It is therefore

important that we increase our capacity to exploit

and further strengthen the positive momentum that

has been built up, and to facilitate capitalization

of the huge growth potential which exists in the US

market. "

For more information, contact:

President and CEO, Kari E. Krogstad, Medistim ASA

Tel: + 47 918 38 110

E-mail: kari.krogstad@medistim.com

CFO, Thomas Jakobsen, Medistim ASA

Tel: + 47 906 59 940

E-mail: thomas.jakobsen@medistim.com

About Medistim

Medistim was established in 1984, and has a track

record of profitable growth over the past >10

years. The company is a pioneer within its segment,

and continues to invest in new product development.

Medistim has wholly owned subsidiaries with sales

organizations in the USA, Germany, UK, Denmark and

Norway, in addition to about 50 distributors in

Europe, Asia, Middle East, Africa and South

America.

For more information, visit the Medistim home page:

www.medistim.com

This information is disclosed under Norwegian law

(Verdipapirhandelloven §5-12).