HTX announces it is immediately shutting down

TORONTO – After serving Ontario’s medtech community for over 12 years, the Health Technology Exchange (HTX) abruptly announced that it has closed for business, effective September 30, 2016.

HTX was founded in 2004 with a focus on breaking down the silos dividing providers, innovators, financiers, regulators, and payers within Ontario’s medtech ecosystem.

“Since then, our work has been guided by our tag line, from Invention through Innovation to International Invoice,” said Peter Goodhand (pictured), Chairman of the Board, in an email sent to members of the Ontario medtech community.

“Our early contributions fostered academic-industry collaborations, focusing on early evidence generation relating to commercialization milestones,” Goodhand continued.

“Between 2010-2015, we focused our efforts on innovation investments for mid-stage medtech companies through the Health Technology Commercialization Program (HTCP). This highly impactful funding program resulted in 38 financings and $86 million in syndicated project value over 5 years.

Since HTX was launched, however, a plethora of government-sponsored technology incubators and accelerators has emerged across Ontario. Many are associated with universities and colleges, which are aggressively seeking to commercialize the innovations developed by professors and students.

They include MaRS in downtown Toronto, as well as the Digital Media Zone (DMZ) at Ryerson University and ventureLAB in Markham, Ont. Mohawk College in Hamilton, Ont., has been successfully working with medtech entrepreneurs at its mHealth & eHealth Development and Innovation Centre (MEDIC).

Hospitals, too, are now fostering innovation and spawning companies. Southlake Regional Health Centre, in Newmarket, Ont., has launched an incubator called CreateIT.

The Ontario government has also been fostering medical technology innovation through its Ontario Centres of Excellence (OCE) program, and the Ontario Network of Entrepreneurs (ONE).

Goodhand said that during HTX’s most recent phase, the organization focused on the REACH (Resources for Evaluating, Adopting and Capitalizing on Innovative Healthcare Technology) Innovation Procurement Funding Program.

“Five active projects were successfully funded by the HTX REACH program,” said Goodhand, “contributing to a major shift in how healthcare delivery organizations across Ontario view the procurement of innovation.”

He added, “Look how far the Ontario medtech ecosystem has come: the awareness around medtech commercialization, processes, supports and funding we now have in place would have seemed unimaginable in the medtech climate at our inception.

HTX’s active programs will be transitioned to the following partner organizations in Ontario:

•  The REACH Innovation Procurement Program, designed to help Ontario healthcare providers use new ways to evaluate, procure and more rapidly adopt innovative medical technologies addressing high-priority health system needs in Ontario, will be transitioned to the Ontario Centres of Excellence (OCE) (www.oce-ontario.org).
•  Our Health Technology Commercialization Program (HTCP) investment portfolio will be transitioned over to and managed by the Investment Accelerator Fund (IAF) at MaRS (www.marsiaf.com).
•  Discussions are underway with local agencies regarding the effective transition of the Harmony Project, the Soft Landing Program and the Medtech RISE database. Our goal is to ensure that these valuable resources are effectively transitioned in order to provide maximal access and impact to the Ontario medtech ecosystem.

HTX’s funders included the Ontario Ministry of Research and Innovation, Ontario Ministry of Government and Consumer Services, OCE, Industrial Research Assistance Program (IRAP), and Canadian Institutes of Health Research (CIHR).

Goodhand said it has been a privilege to work with all of HTX’s partners to expand Ontario’s medtech cluster. “We are excited for the opportunities that the next phase of Ontario’s innovation journey will bring for our community and encourage you to continue building on our collective success. Thank you for giving us the opportunity to serve you.”