The manufacturer of wireless ultrasound scanners BC Clarius is gaining support thanks to an agreement with the Swiss pharmaceutical giant Novartis

Open this photo in the gallery:

Swiss pharmaceutical giant Novartis AG has entered into an agreement with medical device manufacturer Clarius Mobile Health Corp. of Vancouver to make hundreds of its wireless handheld ultrasound scanners available to rheumatologists across Canada, enabling faster diagnosis of a common form of arthritis.

The deal, expected to be announced on Monday, envisages Novartis leasing and distributing up to 400 Clarius machines to rheumatologists and covering the costs of software and training for doctors in how to use them until 2026. Rheumatologists will have the option to purchase these devices and then pay subscription fees for thing Clarius.

The devices, which have been distributed to 70 specialists so far, will be used to diagnose psoriatic arthritis, an autoimmune disease that causes joint swelling, pain and redness and affects more than 300,000 Canadians.

Patients are usually diagnosed only after a visit to a rheumatologist, then an ultrasound of the inflamed areas in a hospital or clinic, and another follow-up visit to the doctor. This process can take several months, during which patients may develop irreversible joint damage, chronic pain and disability, said Sahil Koppikar, a rheumatologist at Women’s College Hospital in Toronto.

“There is a lot of evidence that earlier diagnosis can improve long-term outcomes for the patient and the system,” he said. Thanks to Clarius devices, rheumatologists will be able to make a complete diagnosis in a few minutes during one visit.

Dr. Koppikar and Vancouver rheumatologist Dr. Mohammad Bardi developed a training program for both companies. Early feedback has been “exceptionally” positive, with more than half of doctors in the program using the devices regularly since January, Dr. Koppikar said.

“Wherever we can bring imaging to the point of care, disrupt existing referral patterns, shorten the path to diagnosis, empower physicians, expand scope of practice and deliver dramatically better outcomes for patients, we are there,” said Ohad Arazi, CEO of Clarius.

Clarius machines look like a cross between a smartphone and an electric razor and cost $3,600 each plus $600 a year for access to cloud-based software. That’s much less than cart-based ultrasounds in hospitals, which cost at least $100,000, or specialized laptop-sized devices that cost tens of thousands of dollars each.

Clarius sells its devices online directly to various healthcare professionals as pocket-sized personal tools that can be taken anywhere, such as a stethoscope. It produces them at its headquarters in Vancouver and has sold 28,000 units so far, with projected revenue this year of $40 million. Clarius was founded in 2014 by French-born entrepreneur Laurent Pelissier. Mr. Arazi, a medical device industry veteran, joined us in 2022.

The deal with Novartis is one of a growing number of partnerships between drugmakers and makers of digital devices and diagnostic tools that have helped expand the use of their therapies.

Bayer AG bought AI imaging company Blackford Analysis Ltd. in 2023, and Japanese company Teijin Pharma partnered with Jolly Good Inc. in 2021. engaging in virtual reality digital therapy to help treat major depressive disorder. Danish pharmaceutical giant Novo Nordisk AS merged with French diagnostic technology company EchoSens in 2022 to provide early detection of metabolic liver diseases.

“Why is Novartis doing this?” said Mark Vineis, president of the Canadian branch of the Swiss company. “The answer is simple. Where we can help the Canadian healthcare system, where we see we can help patients and doctors, we have to do it.”

The partnership also brings potential economic benefits to the Swiss giant. To treat psoriatic arthritis, rheumatologists have been prescribing nonsteroidal anti-inflammatory drugs such as aspirin or disease-modifying antirheumatic drugs (DMARDs) such as methotrexate for decades.

Over the past two decades, a newer class of injectable antibody-based DMARDs has emerged that target and block specific proteins that cause inflammation, often working where older treatments did not. Some of these newer drugs have become blockbusters: AbbVie Inc.’s Humira. was the world’s best-selling drug before the Covid-19 pandemic, and Johnson & Johnson’s Stelara is also in the top 10.

Meanwhile, Novartis received the first regulatory approvals in 2015 for its antibody-based rheumatism drug Cosentyx. It sold $1 billion in its first full year of sales and was the company’s best-selling drug from 2019 until last year. , when it generated $5 billion in sales.

While earlier identification of psoriatic arthritis with Clarius devices will not automatically translate into sales for Novartis (there are 20 biologics approved for the disease in Canada), it will likely increase prescriptions for this class of drugs.

This includes Cosentyx, which costs between $772.50 and $934 across Canada for a single dose – enough for two weeks – and is reimbursed by provincial and territorial health systems. Dr. Koppikar said he prescribes this drug to about one in 25 patients with psoriatic arthritis.

Asked about potential growth in Novartis drug sales and return on investment from the Clarius partnership, Mr. Vineis said his company “doesn’t look at it from that angle. We’re looking at this to fundamentally change the path for patients to get a diagnosis.

“If we have more effective diagnoses, we will do well to do the right thing for patients, doctors and the system.”