A small public company is moving from Brooklyn to Bohemia for more space to meet the anticipated demand for its medical devices because of the coronavirus, executives said.
Brain Scientific Inc. has rented 3,481 square feet at 125 Wilbur Place in Bohemia for use as a headquarters and research laboratory. The facility is more than three times the size of the Brooklyn office, where the lease has expired.
The technology startup has seven employees.
Boris Goldstein, chairman and executive vice president, said Brain Scientific products are used to diagnose and treat aliments such as epilepsy, Alzheimer’s disease and Parkinson’s disease.
One device, NeuroCap, is a disposable headset that performs an electroencephalogram test, or EEG, to detect the brain’s electrical activity.
“We expect, due to COVID-19, an increase in our business since we produce FDA-approved, single-use caps that help minimize cross-contamination and optimize sanitary practices,” he said on Wednesday.
Besides NeuroCap, Brain Scientific sells a portable EEG device that fits in the palm of the hand, called NeuroEEG. The wireless device works with NeuroCap to perform rapid EEG tests in hospital emergency rooms, nursing homes, athletic fields, ambulances and urgent care clinics.
Each NeuroCap sells for $109 while NeuroEEG is $6,500. Both are made by contract manufacturers, though Goldstein said Brain Scientific is pursuing international certification to produce them someday.
He said the larger space in Bohemia is needed for quality assurance and quality control inspections of the devices and research projects.
Brain Scientific is interested in working with “other R&D and manufacturing facilities that we may be able to leverage through” being on Long Island, he said.
The startup went public in 2018 with shares trading on the Over-The-Counter Pink market. As of March, the 19.4 million shares were owned by about 70 investors, according to securities filings. The stock closed at $1.80 on Thursday.
Brain Scientific reported a loss of $1 million last year on revenue of $489,202. The company lost $2.8 million in the six months ended June 30 on revenue of $220,504.
“We have very limited resources,” executives stated in the March annual report to shareholders. “To date, our primary activities have been limited to . . . performing business and financial planning, raising capital, recruiting personnel, negotiating with business partners and the licensers of our intellectual property and conducting development activities.”
They continued, “Our first products, the NeuroCap and NeuroEEG, are ready for commercialization and sale and we have commenced some nonrecurring, initial sales.”