BioElectronics Corporation (OTC: BIEL) announced Tuesday that it has leased the adjacent office suite at its Maryland headquarters, doubling its facility space to establish a dedicated storage and fulfillment center. The expansion supports the company's new Fulfillment Services and Distribution Control Agreement with Electrome Corporation, which is preparing for a direct-to-consumer launch of ActiPatch in newly designed packaging.
Under the agreement, BioElectronics will provide inventory receiving, storage, order processing, packing, shipping coordination, and returns-management services. The fulfillment center is also expected to handle anticipated orders for RecoveryRx, BioElectronics' FDA-cleared prescription medical device for postoperative and musculoskeletal pain.
“This expansion represents more than an increase in physical space,” said Kelly Whelan, President of BioElectronics Corporation. “It strengthens our commercial infrastructure, supports Electrome’s planned ActiPatch launch, and positions BioElectronics to efficiently fulfill anticipated increased RecoveryRx demand. It also creates an additional service-based revenue opportunity alongside product sales.”
The fulfillment agreement includes dedicated onsite storage and capacity for inventory storage, packing and order-processing areas, outbound-order staging, shipping equipment, inventory segregation, and returns processing. BioElectronics will receive monthly storage fees, order-based pick-and-pack fees, and additional fees for certain returns, special projects, inventory services, and non-standard fulfillment activities, with a monthly minimum charge for pick-and-pack services.
“BioElectronics’ investment in dedicated fulfillment capacity is an important step as Electrome prepares to introduce ActiPatch to the U.S. direct-to-consumer market in its newly designed packaging,” said Erik A. Nilsen, PhD, Co-Founder and Chief Executive Officer of Electrome Corporation. “Having an experienced fulfillment partner with direct knowledge of the product, its quality requirements, and the regulatory environment will help us build an efficient and reliable customer experience from the outset.”
The expansion comes as BioElectronics transitions from primarily product sales to also offering service-based revenue. Management believes the scalable platform will support Electrome’s commercialization efforts while maintaining direct oversight of inventory handling, quality controls, shipping operations, and customer returns. The additional capacity may also support future fulfillment requirements for other commercial partners and distribution channels.
For more information, visit BioElectronics Corporation.
