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Medical devices company Zi Medical has won regulatory approval for its portable AD ambulatory Syringe Pump (‘AD’).

AIM-quoted Zi Medical can now start marketing the device in the UK and Europe. AD administers a constant dose of intravenous fluid to patients who are not bedridden and sounds an alarm when power is low, preventing interruption in the administration of fluid.

The company intends to replace the current leading market product produced by rival Graseby medical, which was reported to the Medical Devices Agency following confusion between two models of the pump. According to the MDA, this led to ‘inappropriate infusion rates being set, leading to serious overinfusion and patient death’.

Zi Medical has already received a first order for 150 units from distributor Alaris for delivery in July. The exclusive UK distribution contract signed recently with Alaris for three years, could be worth as much as £1.75 million in revenues.

The company is launching several other 'revenue-generating' accessories in parallel with AD. Meanwhile, chief executive Peter Leyland says AD, ‘paves the way for the first of our three major product lines to be commercialised over the next 12 months’.

Shares in Zi Medical have risen 30 per cent today to 4.88p. Recommended by Growth Company Investor at 5.88p, the shares have been as high as 11p before an unwelcome slip due to a downbeat trading statement at the end of 2005. They could well be on the recovery path.

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