Encision shares up on deal with J&J unit

BOULDER — Encision Inc. (OTC/Pink: ECIA) said it signed a three-year exclusive supply deal with Auris Health Inc., part of Johnson & Johnson’s medical device group.

The agreement involves “active electrode monitoring” technology used in robotic surgery, a press release said. It includes undisclosed upfront payments, milestone amounts, and revenue from product sales, and it follows one in April last year in which the two firms began working together to ensure AEM technology would be compatible with instruments made by Auris Health.

Encision shares closed up 21% to a $12.7 million market cap. Volume of 12,000 shares was roughly triple the company’s 90-day average.

Encision makes surgical instruments for minimally invasive procedures that it says are more precise and contribute to patient safety. It says AEM products “eliminate dangerous stray burns.”

It said this month that second quarter revenue rose 49% year-over-year to $2 million.

Redwood City, California-based Auris’ robotics work is for diagnostic and therapeutic bronchoscopies, a procedure that can help find and treat lung cancer.

Johnson & Johnson (NYSE: JNJ) is in New Brunswick, New Jersey; its trailing 12 months’ revenue is at about $89 billion. The health-care company’s medical device companies are based out of Jacksonville, Florida, and Santa Ana, California.

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