Medtech companies Paxman and Dignitana have announced a merger to create a unified company under the name Paxman AB, combining their scalp cooling technologies to expand patient access to chemotherapy side effect management solutions.
The merger will significantly increase the companies’ combined footprint in the United States, growing from 600 to 900 treatment sites. Currently, the two companies’ scalp cooling devices serve only 1% of applicable patients, indicating substantial growth opportunity in the market.
“This merger marks a pivotal point in the history of our two companies and the beginning of a brand-new chapter as we unite to form one stronger, unified team,” said Richard Paxman OBE, CEO of Paxman. “The merger provides exciting growth opportunities, enabling further investment in market expansion and R&D for both companies. Merging the best parts of both Paxman and Dignitana brings not only commercial benefits, but also benefits to both the customer and, of course, ultimately our patients.”
The combined company will continue focusing on navigating the insurance reimbursement landscape in the United States, which remains a key priority. Starting in 2026, scalp cooling treatment will be assigned permanent CPT Category I codes, a milestone that paves the way for broader insurance coverage. New York State recently became the first in the U.S. to pass a law requiring private insurers to cover scalp cooling, with similar bills in progress in Louisiana, Maryland, Massachusetts, New Jersey, Rhode Island, and West Virginia.
The merger also creates favorable conditions for the introduction of Paxman’s device designed to prevent Chemotherapy-Induced Peripheral Neuropathy (CIPN), approaching commercialization in Q2 2026. CIPN affects 30-40% of patients receiving chemotherapy for cancer, with no effective prevention strategies currently available.
Scalp cooling works by reducing the temperature of the scalp by a few degrees immediately before, during, and after chemotherapy administration. The technology has been shown to reduce chemotherapy-induced hair loss, which studies indicate is the most feared side effect for over 75% of cancer patients. The Paxman Scalp Cooling System has been used by over 100,000 patients in 65 countries.
As cancer prevalence increases globally, with an estimated 20 million new cases in 2022 expected to rise to 32.6 million by 2045, the unified company aims to meet growing demand for supportive care technologies that improve quality of life during treatment.
