Periodic Reporting for period 1 - ILO (Innovative dual cycle tracking system for contraception and conception on a single device)
Période du rapport: 2018-05-01 au 2018-08-31
Carbomed is an Austrian start-up founded in 2013, devoted to the design and development of ILO, a disruptive and user-friendly cycle tracking system for women who want to monitor their menstrual cycle. ILO consists of a handheld device which accurately predicts the time of ovulation by measuring CO2 levels from exhaled air and an app providing all the information about the stage of the user's cycle, which is also a highly informative tool about reproductive and wellbeing-related aspects.
During phase 1, we have re-defined the hardware and app requirements to get a functional solution combined with an appealing high-end design, reaching our functional model ILO 1.0.
ILO is directed to the FemTech business opportunity, which involves the use of digital health to motivate patients to access and use applications for managing women’s health issues. With 50% of the global population as target customers and market potential of $50 billion by 2025, Femtech is hailed as the next significant phenomenon in the women’s health market and the time has come for clinical diagnostics, bio-pharmaceuticals, and medical device companies to tap into this market opportunity. The fertility testing devices is a niche market expected to reach a valuation of €2 billion globally in 2023, growing from €830 million in 2016 at a CAGR of 4.5% for the period. Europe is the second-largest geographical segment for ovulation tests (after the USA), expected to grow at a CAGR of 1.24% during the period 2017-2023.
We have also developed a complete business plan for the ILO solution, including (1) a detailed assessment of the investment/resources needs for the development of market launch of ILO; (2) a 5-years post-project financial forecast; (3) and the quantification of the expected profitability and payback period of ILO.
After considering all the relevant technical, regulatory, commercial and operational aspects, we finally validate the overall feasibility of the ILO Phase II project and confirm its outstanding potential for the fertility market
During phase 1, we have re-defined the hardware and app requirements to get a functional solution combined with an appealing high-end design, reaching our functional model ILO 1.0.
ILO is directed to the FemTech business opportunity, which involves the use of digital health to motivate patients to access and use applications for managing women’s health issues. With 50% of the global population as target customers and market potential of $50 billion by 2025, Femtech is hailed as the next significant phenomenon in the women’s health market and the time has come for clinical diagnostics, bio-pharmaceuticals, and medical device companies to tap into this market opportunity. The fertility testing devices is a niche market expected to reach a valuation of €2 billion globally in 2023, growing from €830 million in 2016 at a CAGR of 4.5% for the period. Europe is the second-largest geographical segment for ovulation tests (after the USA), expected to grow at a CAGR of 1.24% during the period 2017-2023.
We have also developed a complete business plan for the ILO solution, including (1) a detailed assessment of the investment/resources needs for the development of market launch of ILO; (2) a 5-years post-project financial forecast; (3) and the quantification of the expected profitability and payback period of ILO.
After considering all the relevant technical, regulatory, commercial and operational aspects, we finally validate the overall feasibility of the ILO Phase II project and confirm its outstanding potential for the fertility market
We have carried out a 4-month study to confirm the feasibility of our technology in three main areas. Technically, we have re-defined the hardware and app requirements to get a functional solution combined with an appealing high-end design, reaching our functional model ILO 1.0 identified the third parties to be involved in the phase 2 project. We have also prepared a complete Execution Plan for the optimization of ILO technology, including planning, organization, risk analysis and budget and we have defined the industrialization process for ILO device scalation.
Commercially, we have assessed the targeted markets, including main competitors comparation, to define our marketing strategy. We have also established our intellectual property strategy, taking into account current and future patents, trademarks and know-how protection.
Regarding to the economic viability of the project, we have performed financial forecasts according to 3 scenarios (optimistic, realistic and pessimistic), that have been drafted to evaluate on a 5-year-projection.
After considering all the relevant technical, regulatory, commercial and operational aspects, we finally validate the overall feasibility of the ILO Phase II project and confirm its outstanding potential for the fertility market
Commercially, we have assessed the targeted markets, including main competitors comparation, to define our marketing strategy. We have also established our intellectual property strategy, taking into account current and future patents, trademarks and know-how protection.
Regarding to the economic viability of the project, we have performed financial forecasts according to 3 scenarios (optimistic, realistic and pessimistic), that have been drafted to evaluate on a 5-year-projection.
After considering all the relevant technical, regulatory, commercial and operational aspects, we finally validate the overall feasibility of the ILO Phase II project and confirm its outstanding potential for the fertility market
We have developed a complete business plan for the ILO solution, including (1) a detailed assessment of the investment/resources needs for the development of market launch of ILO; (2) a 5-years post-project financial forecast; (3) and the quantification of the expected profitability and payback period of ILO.
We have forecasted 3 different market scenarios: optimistic, realistic and pessimistic. From the assumptions taking into the consideration for our projections, we selected the key factors with a critical influence in our forecast, according to the performed risk assessment. The financial performance reflected in the Figure 19, shows a cumulative revenue of €174.900 for the realistic scenario, €182.000 for the optimistic scenario and 167.700€ in the pessimistic scenario.
We estimate €2.751.375 will be needed to deploy ILO 2.0 to the European market by Q2 2021.
In order to secure this funding, we will request an SME Instrument Phase 2 grant, which will secure 70% of the total funding, and the remaining €825.412,5 will be “covered” by our shareholders.
We have forecasted 3 different market scenarios: optimistic, realistic and pessimistic. From the assumptions taking into the consideration for our projections, we selected the key factors with a critical influence in our forecast, according to the performed risk assessment. The financial performance reflected in the Figure 19, shows a cumulative revenue of €174.900 for the realistic scenario, €182.000 for the optimistic scenario and 167.700€ in the pessimistic scenario.
We estimate €2.751.375 will be needed to deploy ILO 2.0 to the European market by Q2 2021.
In order to secure this funding, we will request an SME Instrument Phase 2 grant, which will secure 70% of the total funding, and the remaining €825.412,5 will be “covered” by our shareholders.