The 4DMedical Ltd (ASX: 4DX) share price has surged by almost 8% in trading so far today. This comes after the medical technology company announced its partnership with the University of Miami to advance its breakthrough research on lung technology. At the time of writing, the 4DMedical share price is trading at $2.49 after closing yesterday’s session at $2.31.
What’s driving the 4DMedical share price higher today?
The 4DMedical share price is surging higher after the company advised it has partnered with University of Miami Health System (UHealth) to establish the Functional Lung Imaging Research Program within the university’s Miller School of Medicine.
This is 4DMedical’s first research program in the United States health system. The program will use the company’s proprietary ‘XV Technology’ to improve treatment for patients with chronic lung diseases.
More specifically, it will allow researchers and physicians to accurately diagnose ventilatory abnormalities in patients, providing treatment options that are targeted and more effective.
This research program is also expected to deliver a number of preclinical and clinical studies that will include patients with various lung-related conditions, such as emphysema, cystic fibrosis, pulmonary hypertension, pulmonary embolism, and lung cancer.
In technical terms, the research will aim to convert sequences of X-ray images into four-dimensional, quantitative data allowing physicians to better diagnose and treat patients with respiratory diseases.
4DMedical says that its XV Technology is supported by more than 15 years of research and development in Australia.
More about 4DMedical
4DMedical made its debut on the ASX in August at an initial public offering (IPO) share price of 73 cents.
Its proprietary product, XV Technology, aims to replace old technology such as X-rays and CT scans which, according to the company, are “out-of-date and not fit for purpose anymore”.
4DMedical’s main clients are obviously hospitals. The company’s main selling point to hospitals is that its software does not require any large capital expenditure and can be integrated with a hospital’s existing systems. 4DMedical charges fees on a per-scan basis, charging US$175 per test using the XV Technology.
The company says its product is still at an early stage, and needs to be commercialised on a mass scale.
About the 4DMedical share price
The 4DMedical share price has shot through the roof since its debut on the ASX in August, having risen by 240% up to today. This rise has been driven by various contract wins and commercialisation of its XV Technology product throughout the year.
4DMedical currently commands a market capitalisation of around $390 million.
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Motley Fool contributor Eddy Sunarto has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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