Micro-X has named Brian Gonzales as its new CEO, initiating a strategic reset focused on medical CT technology. The company also secured $8 million in convertible note commitments to fund development and extend its financial runway through FY27.
- Brian Gonzales appointed Group CEO
- $8 million convertible note financing secured
- Strategic reset prioritises medical CT development
- Annual cost savings of $3 million identified
- Convertible notes partially underwritten by TIGA Trading
Leadership Change to Accelerate Commercial Execution
Micro-X (ASX:MX1) has appointed Dr Brian Gonzales as Group CEO, effective immediately, replacing Kingsley Hall who will remain as an advisor until November. Gonzales, a 21-year veteran in cold cathode X-ray technology, has driven Micro-X’s US operations to revenue-generating status, securing contracts worth over US$29 million, including a US$16 million ARPA-H Full Body CT program and a growing US Department of Homeland Security airport self-screening initiative.
His deep technical expertise and commercial track record are expected to spearhead Micro-X’s strategic reset and sharpen its focus on medical CT technology, a sector the company identifies as its largest future market opportunity.
Strategic Reset Focuses on Medical CT and Cost Discipline
The company has outlined a multi-pronged reset starting FY27, emphasising medical CT development, financial rigour, and sales restructuring. This includes world-leading imaging trials underway in Melbourne and Adelaide, reflecting progress in the portable Head CT scanner program designed for rapid stroke diagnosis.
Micro-X is also tightening project cost controls under new CFO Peter Dickman and has restructured its Rover sales function following a detailed 10-week review by Seattle-based Altus Alliance. The review targeted CRM improvements, pipeline management, and tender strategies to prepare for the updated Rover’s commercial launch.
Cost savings of more than $3 million annually, about 15% of FY26’s operating costs, have been identified, split between $2 million in employment costs and $1 million in overheads. These measures aim to extend the company’s funding runway through FY27.
$8 Million Convertible Note Financing to Support Growth
Backing the reset, Micro-X has secured $8 million in convertible note commitments, including $0.8 million from directors and key management, pending shareholder approval for director participation. The notes carry a 12% annual interest rate, convert at $0.08 per share, and are secured over most company assets.
Bindella Capital, an existing shareholder, has committed $5 million, potentially becoming a substantial holder upon conversion. The placement is partially underwritten up to $2 million by TIGA Trading Pty Ltd, linked to the Thorney Investment Group, another significant shareholder.
Proceeds will prioritise the Head CT development and commercialisation (approximately 45%), the updated Rover launch and sales function (20%), with the remainder allocated to operating costs, working capital, and transaction expenses.
Positioned for Commercialisation Amid Ongoing Development
Dr Gonzales expressed confidence that with a leaner cost base and secured funding, Micro-X is better positioned to translate its carbon nanotube X-ray innovations into commercial success. He acknowledged persistent scepticism around CNT technology but pointed to substantial government and commercial contracts as validation of the technology’s potential.
The company’s focus on medical CT and revamped sales approach aim to accelerate patient access to advanced imaging solutions, building on recent milestones such as the first human imaging with its Head CT scanner in Melbourne and progress in the ARPA-H Full Body CT program.
Bottom Line?
Micro-X’s leadership change and $8 million convertible note raise set the stage for a sharper medical CT focus and extended financial runway, but execution on sales and development milestones will be critical to realising commercial potential.
Questions in the middle?
- Will the strategic reset deliver sustainable commercial revenue growth beyond government contracts?
- How will shareholder approval for director participation in the convertible notes impact governance and capital structure?
- Can Micro-X’s sales restructuring translate technical milestones into broader market adoption?