Medipattern Corp. (CVE:MKI) (PINK:MKIFF) swung up another 10% after the company signed a teaming agreement with TomTec Imaging Systems GmbH.
The agreement addresses Medipattern’s B-CAD breast ultrasound imaging computer aided detection (CAD) product. The device was integrated in TomTec’s Image-Arena Platform Suite and will be presented in the upcoming European Congress of Radiology in Austria on March 3 to 7, 2011.
TomTec is an internationally operating maker of ultrasound applications and image analysis technology. This cooperation should help increase the market recognition of Medipattern’s debuting product.
MKI presented several surprises in the recent few weeks. The share price remains inflated by the recent FDA approval of Medipattern’s Visualize:Vascular and the $3 million financing deal secured shortly afterwards. Successful debut of yet another product could have an immense impact on their market valuation.
Not only the company is getting their products out in the market, but they have somewhat strengthened their financial position, which by far remains the main pessimism inducing aspect of MKI business.
The latest funding round should be met with a dose of skepticism as well. Even though the situation is getting better for MKI and investors should be aware of the long term prospects, the means of funding could cause harm as well. Convertible notes have the potential to cause dilution, which should be noted when the conversion price is 16% lower than the current market price for the stock.
