Magnolia Medical Further Strengthens Executive Management Team with the Addition of Silicon Valley Financial Leader, Patrick O'Malley, as Chief Financial Officer

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Oct 28, 2021, 13:15 ET

SEATTLE, Oct. 28, 2021 /PRNewswire/ -- Magnolia Medical Technologies, Inc., inventors of Steripath^®, the only FDA 510(k)-cleared device platform indicated to reduce blood culture contamination for sepsis testing,¹ today announced the expansion of its senior leadership team with the addition of Patrick O'Malley as Chief Financial Officer.

Mr. O'Malley is a seasoned public company executive bringing over three decades of leadership experience across finance and technology innovation as well as high-volume, global manufacturing and supply chain management to Magnolia Medical. O'Malley has extensive public markets management and capital formation experience having led and been involved in over $45 billion in capital formation and more than $30 billion in M&A transactions over the course of his career.

Before joining Magnolia, O'Malley was Chief Financial Officer of Avaya (NYSE: AVYA) where he led the financial restructuring of the company's $4 billion capital structure before taking the company public on the NYSE. Prior to Avaya, O'Malley was Chief Financial Officer at Seagate Technology (NASDAQ: STX). While at Seagate, O'Malley held a broad array of leadership roles and was a key member of the senior executive team that successfully navigated the company through an extensive and complex process of global industry consolidation.

As a leader at Seagate, O'Malley had responsibility for the team that developed and managed a world-class, technology-driven supply chain that doubled the company's scale and production capacity every 18 months. The company's supply chain capabilities effectively grew to manage manufacturing of over 210 million storage devices comprising over 2 billion individual components annually under O'Malley's watch. During his tenure as an executive, Seagate's public market value grew from $1 billion to over $12 billion.

"Pat's strong mix of finance and operational expertise is highly relevant to supporting our continued rapid growth," said Greg Bullington, CEO and co-founder of Magnolia Medical. "Pat has an exceptional track record of leadership success and has created significant value leading the development and scaling of new technology markets – both domestically and internationally. His strategic perspectives and capital formation expertise are timely and valuable as we continue to expand our customer, product, and technology platform footprints."

"I am inspired to have joined the Magnolia Medical team," O'Malley said. "By developing this truly innovative solution to address the worldwide healthcare problem of sepsis misdiagnosis, we are positioned to significantly improve patient outcomes while saving the healthcare system billions of dollars annually. Given my experience scaling new technologies globally, I see many corollaries from my background that are highly relevant. My goal is to leverage this experience to help achieve our significant growth potential and success in impacting more patient lives."

Blood cultures tests are essential to diagnose bloodstream infections including sepsis, determine the specific pathogen causing the infection, and target appropriate antimicrobial therapy to treat the patient. The problem with the test lies within the collection process. During venipuncture, skin fragments containing viable microorganisms are often dislodged and collected with the blood specimen. These organisms can contaminate the sample and cause the patient to receive a false-positive result. Decades of research shows that false-positive blood culture results routinely lead to unnecessary and prolonged use of broad-spectrum antibiotics, which can have significant downstream clinical and cost consequences.

Steripath, a sterile vein-to-bottle or vein-to-syringe closed-system device, addresses the issue by diverting and sequestering skin microbes that most commonly cause contamination, helping to ensure specimen integrity and accurate test results.

Steripath has demonstrated clinical and cost-effectiveness in 20 studies, including six peer-reviewed publications. Results have demonstrated sustained zero or near-zero blood culture contamination rates, and up to a 12-fold decrease in false-positive CLABSIs.² This data demonstrating the clinical performance of Steripath affirms that patient harm resulting from false-positive sepsis diagnoses can be prevented.

About Magnolia Medical

Magnolia Medical Technologies develops, manufactures, and markets innovative blood and bodily fluid collection devices to facilitate significant improvements in the accuracy, consistency, and predictability of critical laboratory tests. Magnolia Medical invented and patented the Initial Specimen Diversion Technique (ISDT™) and Device (ISDD®) for blood culture collection and contamination prevention. The company has amassed an intellectual property portfolio, including more than 100 issued method, apparatus, and design patents with more than 70 additional patent applications pending. For more information, visit www.magnolia-medical.com.

References:

Indicated for use as a blood collection system that diverts and sequesters the initial specimen prior to collection of a subsequent test sample to reduce the frequency of blood culture contamination when contaminants are present in the initial blood sample compared to blood cultures drawn with standard procedure without manual diversion.
Data on file.

SOURCE Magnolia Medical Technologies