Novel Test for Appendicitis

Implications: A new test form AspenBio could revolutionalize the diagnosis of appendicitis.  Over 6 million patients present to Emergency Departments each year with abdominal pain, resulting in approximately 700,000 appendectomies.  Over $5 billion is spent each year in the US on CT scans, the currently available diagnostic method for appendicitis. 

Analysis: AspenBio (NASDAQ: APPY) recently announced the initiation of a clinical study to demonstrate the performance of their blood-based test for appendicitis to support their 510 (k) FDA application.  Currently, there is no blood-based test that can rapidly and cost-effectively diagnose this life threatening medical condition.  Over 700,000 surgeries are performed each year and 100,000 are false positives.  1 in 5 cases are misdiagnosed, costing $10-12 billion each year.  If 40% of the patients were screened with this test, the market potential is over $500 million  AspenBio's rapid test could enable the company to build a new position in the $40 billion clinical diagnostics market.

For more information on AspenBio, their test for appendicitis and the $40 billion dollar clinical diagnostics market, please schedule a consult with your GLG representative today.