Investors

Tibion’s commercialization opportunity is grounded in the fact that it has developed the first ambulatory device that can rehabilitate stroke patients with gait impairment. And the stroke market is very, very large.

  • In 2006, 890,000 Americans were discharged with a diagnosis of stroke – 606,000 in people over the age of 65, and 236,000 between the ages of 45 and 64. Average length of stay (LOS) ranged from 4.8 to 5.1 days.
  • In 2005, approximately 5,839,000 Americans had a history of stroke, about 50% of whom suffer gait disturbances that limit their ambulation and place them at sharply increased risk of falls.
  • Escalating rates of obesity and Type II diabetes have led many researchers to forecast a “stroke tsunami” in the coming decade.
  • Only the Tibion Bionic Leg offers millions of chronic stroke survivors the potential to regain lost mobility – and a reason to return to therapy.

Prospective market

Rehabilitation hospitals. Tibion believes that approximately 2000 freestanding U.S. rehabilitation hospitals represent the greatest opportunity for its commercialization efforts.

Rehabilitation hospitals certified as stroke centers…

  • Often admit acute-stroke patients directly from ambulance transport, when reimbursement can equal $15,000/day.
  • Enjoy the highest reimbursement for post-acute rehabilitation, ranging from $1500-4000/day
  • Justify their higher reimbursement and retain patients for post-acute inpatient rehab by acquiring and promoting the latest rehab technology.
  • Enjoy a volume of managed care and Medicare stroke inpatients and outpatients that justify purchase of multiple Bionic Legs.
  • Represent excellent prospects for encouraging patients to rent a planned home Bionic Leg.

Skilled nursing facilities. Roughly 15,000 skilled nursing facilities (SNFs) often compete with rehab hospitals for residential stroke rehabilitation – if they have technology like the Bionic Leg.

  • When stroke patients leave an acute-care hospital for residential rehab, patient families often receive several qualified SNF referrals from a discharge planner or case manager – and the family must visit each and select a provider.
  • SNFs often use technology as a competitive tool to persuade families to bring patients to their facilities.
  • Medicare Part A fully pays for 20 days of residential rehabilitation at an SNF, after which patients can elect to pay a $137/day copayment for up to 100 additional days.
  • SNF technology not available at local outpatient rehab clinics can persuade SNF patients pay to remain for many days beyond the 20 Medicare-paid days.

Other candidate Bionic Leg customers include 715 accredited U.S. stroke centers, 153 Veterans Administration hospitals with rehab facilities, and 895 smaller VA rehab clinics.

Tibion is now testing a new “pay-as-you go” billing system that holds the potential to make the Bionic Leg available to an even wider range of facilities, including thousands of small private clinics with only a few stroke patients a week, and even home care PTs.

Competitive landscape

Tibion is aware of no comparable, wearable robotic stroke rehab devices marketed or reported in development anywhere in the world.

The closest robotic device in use for stroke gait therapy is the Hocoma Lokomat, a $300,000 body-weight support system limited to treadmill use. Several exoskeleton devices – essentially, “vertical wheelchairs” – have been developed for spinal cord injured patients and for certain military applications.

The Bionic Leg is protected by a battery of patents and proprietary software technology.

In addition to planned enhancements and a home version of the Bionic Leg, Tibion anticipates development of upper extremity robotics that will consolidate its position as a robotic rehabilitation leader.