Accuray, China Isotope And Radiation enter JV contract

Accuray, China Isotope And Radiation enter JV contract  Accuray Asia, a subsidiary of Accuray, and High Energy Equipment, a subsidiary of China Isotope and Radiation Corporation, announced the formation of a joint venture, or JV, to manufacture and sell radiation oncology systems in China. Under the terms of the agreement, CIRC’s subsidiary will own 51% of the JV and Accuray’s subsidiary will own the remaining 49%. Accuray and CIRC believe that the JV, which will operate under the name CNNC Accuray Medical Technology , will be uniquely positioned to serve the world’s largest growth market for radiation oncology systems by helping to meet critical market demand as stipulated by the Ministry of Health of the People’s Republic of China, as well as addressing longer-term unmet needs. Additionally, by leveraging the strengths and capabilities of both Accuray and CIRC, CNNC Accuray Medical Technology Co., Ltd. is designed to have a competitive advantage through its locally branded and manufactured innovative radiation therapy products. The JV will be located in Tianjin, China and sales operations are expected to begin toward the end of calendar 2019. During the interim period, Accuray’s current Chinese distributor will continue its efforts to maximize orders and revenue. Accuray and CIRC believe that CIRC’s market position from both a regulatory and commercial perspective will benefit the joint venture and allow greater market access to the recent China quotas and licenses released on October 29, 2018 for 188 Type A radiotherapy systems and 1,208 Type B radiotherapy systems through the end of calendar 2020.

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