Control Bionics (CBL) helps solve the communication challenges of people living with neurological conditions such as Motor Neurone Disease, Amyotrophic Lateral Sclerosis, Spinal Muscular Atrophy, Cerebral Palsy, and spinal cord injuries.
Back in 1999, Peter Ford noticed that patients’ damaged muscles still emitted small electrical signals that could be used to reliably control basic computer functions. And with that, Control Bionics was born.
Today, Control Bionics trades on the ASX with a market capitalisation of $15 million — on around $7 million in annual revenue, and it continues to expand, leaning on its high quality intellectual property.
The company’s core patented NeuroNode technology is the world’s only wireless, wearable sensor that gives the user the ability to access their technology by bioelectric signals or spatial movements.
The wireless, wearable device detects minute signals from the brain to skeletal muscles capturing electromyography (EMG) output that is sent wirelessly via NeuroNode to a personal computer, phone, or tablet, enabling speech and other computer-controlled functions such as email and texting. It also integrates technology enabling the eye gaze to move a cursor on a computer screen, while the NeuroNode acts as a mouse button.
CBL recently expanded its offering to include mobility solutions with the launch of DROVE, which has now been approved by the Therapeutic Goods Administration (TGA). The autonomous wheelchair module enables powered wheelchair users to operate their wheelchairs independently in their own homes.
The company is also commercialising its most recent tech advancement, the NeuroStrip. The wearable, innovative physiological measurement tool provides the business with the opportunity to enter new markets such as health diagnostics, sports performance and rehabilitation.
Since Ford founded the business some 20 years ago, Control Bionics is now backed by proven technology, with products in the market generating revenue, and approvals from the US FDA, Australia’s TGA, and CE Mark.
And importantly, the business’ impact doesn’t get any bigger.
A positive impact company
The thing that stands out about Control Bionics is the positive impact it has on individuals. The assistive and augmentative communication business provides a mechanism to allow individuals to communicate who otherwise can’t.
This week I had the opportunity to speak to Control Bionics Managing Director and CEO Jeremy Steele, who explained some of the real world positive impact of the technology.
“The frustration and the difficulty that non-verbal but cognitive people have, it takes your breath away. Mentally, they are 100% there but cannot touch a screen, cannot communicate verbally.
“This technology opens up communication to them.
“One of the last times I was in Japan, I met with one of our first customers — a man in his early sixties, with two kids, six grandkids. His Motor Neurone Disease took away his voice. And for six months before we connected him with the NeuroNode, he couldn’t communicate. His wife would hold up a language board and she would basically try and work out what word he was trying to say when he blinked.
“We connected him with the NeuroNode and I spent an hour with him and he’s talking to me via his NeuroNode. He starts crying, his wife starts crying, I start crying.
“Another Japanese guy, a young guy of 20 or 21, is non-verbal and his body doesn’t have the control of his hands to use a touchscreen. He couldn’t communicate. His mother had no sense of how cognitive he was because conversation drives people’s understanding of how cognitive you are.
“We connected him to a NeuroNode. An electrode was placed on either side of his eye, as he has 100% control over his eye movement. The rest of his body’s going all over the place, but connected that into his technology he had a meaningful conversation with his mother — for the first time ever.
“She could see that he understood right from wrong, consequence and impact. That he was processing information. And on that basis, he has now moved out of home, with living assistance. His mother felt confident that he was ready to be independent. It just blows your mind that, to be a mother of a child and for 20 years you have no idea of what he is processing internally.
“He’s now preparing a lecture to give to speech pathologists in Japan about how to use technology to give people a voice. He’s that cognitive. ”
“When you talk, normally — like you and I are doing — you take it for granted and when you give people the opportunity to communicate and they haven’t done it for six months it’s pretty meaningful. The kind of impact that we can have as a business just makes such a big difference for these people.”
North Star Impact Funds invests in CBL
Recognising this impact — alongside Control Bionics’ proven technology, established market position and further the commercial opportunity — North Star Impact Funds recently invested $525,000 in CBL via a strategic placement at $0.0525 per share.
North Star is the only Australian equities impact fund certified by the Responsible Investment Association Australasia (RIAA). Based in Sydney and founded by Kerry Series in 2017, NorthStar has assets under management of around $100 million and continues to deploy capital to emerging companies that deliver a positive impact across a range of sectors. NorthStar is also a specialist external listed equities manager for $120 billion super fund UniSuper.
Commenting on the placement, Jeremy said, “In many ways, we see this investment by NorthStar as a strategic investment and we expect our partnership will extend beyond the provision of capital. We are looking forward to working with Kerry and the NorthStar team to accelerate the growth of Control Bionics.”
Looking ahead, Jeremy said “Healthcare is notoriously difficult to do anything quickly, particularly when you’re in a funded market where you have to deal with insurers, whether they be public or private. We’ve done a lot of the work to get to this position and can easily see a pathway where this business is twice the size, revenue wise, in a small handful of years. That comes because of the work that happens over many years.”
For a more complete overview of Control Bionics and its technology, here’s Jeremy speaking at the recent TechKnow Invest Roadshow: