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Uscom’s (ASX:UCM) Chinese subsidiary listed as National High Technology Enterprise

Health Care
ASX:UCM      MCAP $5.626M
04 December 2020 13:45 (AEST)
Uscom (ASX:UCM) - Executive Chairman, Rob Phillips

Source: Uscom

Uscom (UCM) has announced its subsidiary, Uscom China, was listed second as a National High Technology Enterprise by China.

Specifically, the Chinese Office of the Leading Group of National High Technology Enterprise Identification and Management listed the Chinese subsidiary.

This list was released by the Torch High Technology Industry Development Centre which is a department of the Ministry of Science and Technology (MOST) of China.

High Technology Enterprises are recognised for their achievements in research and development, innovation, generating intellectual property and significant findings in high-tech fields. Once they’re listed, they’re encouraged to keep up the momentum and are given additional support by state departments, including MOST.

Listed companies receive benefits such as a tax exemption, grants from 50,000 to over one million RMB, priority for government tenders, accelerated depreciation of fixed assets snd facilitation of future fundraising and bank loans.

Uscom has operated in China for more than 15 years and, in 2018, it opened its wholly-owned Chinese subsidiary in Beijing.

This year, Uscom China has registered 12 software copyrights, 13 trademarks and four trademark copyrights with the National Copyright Administration of China. This protects the company’s core technologies and algorithms in the Chinese market.

Uscom manufactures and sells the USCOM 1A, the Uscom BP+, and the Uscom SpiroSonic digital ultrasonic spirometry technologies. It also develops the VENTITEST and VENTITEST-S ultrasonic ventilator calibration devices for optimising the performance of respiratory devices.

This year, COVID-19 has led to the medical equipment sector being flooded with maturing respiratory devices. However, Uscom’s devices — in particular, the SpiroSonic Ventitest device — has been in the making for 15 years, undergoing extensive production and testing.

“This state recognition opens many doors for us and underwrites our future in China, and we look forward to continuing our record growth with the Chinese economy as it leads the world in recovery and expansion,” Executive Chairman Professor Rob Phillips said.

Over the next 12 months, five new products are expected to receive Chinese regulatory approval and enter the market. Following this, two more products are in the pipeline for entry within the next 24 months.

Company shares are up 12.5 per cent and are trading at 18 cents at 12:28 pm AEDT.

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