License and supply agreement with Genuine Health
RNS & Investor News
LPLDL® US manufacturing and supply agreement
09 October 2018
OptiBiotix Health plc (AIM: OPTI), a life sciences business developing compounds to tackle obesity, high cholesterol, diabetes and skin care, announces that it has entered into a manufacturing and supply agreement with US Pharma Lab Inc. ("USPL"). This is the first agreement completed through its newly formed subsidiary ProBiotix Health Ltd, as previously announced on 24 September 2018.
USPL, established in 1997, is a family owned and operated business with facilities in the US, India and China, and employing more than 600 people globally. With a focus on handling challenging ingredients such as probiotics, USPL is known as the partner of choice where science meets quality. The US (New Jersey) manufacturing footprint includes a purpose build probiotic manufacturing facility and covers over 100,000 sq ft with Pharmaceutical GMP certification, which offers the possibility to utilise LPLDL® in pharmaceutical applications.
USPL has a strong reputation and leading expertise in developing unique formulations and presentations containing probiotic strains for the nutraceutical marketplace. Under the terms of the agreement, USPL is granted non-exclusive rights to manufacture and supply formulations containing OptiBiotix's LPLDL® strain. It is an important step in a business to business (B2B) strategy of bringing OptiBiotix's science together with partner's expertise and market reach to create multiple product opportunities to serve consumer healthcare and pharmaceutical markets around the world.
This agreement gives a strategic access to the world's largest probiotic market, with an estimated retail value of $7.1 billion per annum. The US is one of the largest and fastest growing probiotic markets in the world, with supplements alone accounting for $2.06 billion sales, with a projected 55% growth to $3.3 billion by 2021.
Per Rehne, Commercial Director of OptiBiotix, commented: "We are pleased to announce this agreement with USPL for the manufacturing and supply of formulations containing OptiBiotix's LPLDL®. This agreement extends our product offering in multiple presentations containing OptiBiotix's LPLDL® and creates an opportunity to access the US food supplement market with an established industry supplier. We will showcase the first formulation as a result of this agreement at Supply Side West in Las Vegas in November. We chose USPL due to its purpose build probiotic facilities, industry experience and reputation. We believe our strategy of identifying and building partnerships with industry leading partners like USPL, provides the best opportunity of rapidly building revenue streams, and establishing LPLDL® as a leading global brand."
Amol Luhadia , Executive Vice President of USPL, commented: "In partnering with ProBiotix Health, USPL will develop a line of shelf-stable probiotic formulations designed to enhance the benefits of LPLDL® and we're excited about the prospects of this. This agreement will offer innovative concepts with complementary dietary ingredients to the growing US market segment of cholesterol and blood pressure reduction, as well as cardiovascular risk. We believe this agreement gives a unique opportunity to make LPLDL® available in multiple formulations to the US food supplement industry."
For further information, please contact:
|OptiBiotix Health Plc
Stephen O'Hara, Chief Executive
Contact via Walbrook below
|Cairn Financial Advisers LLP
Liam Murray / Jo Turner
|Tel: 020 7213 0880|
Geoff Nash/ Scott Mathieson / Kate Bannatyne (Corporate Finance)
Camille Gochez (Corporate Broking)
|Tel: 020 7220 0500|
|Walbrook PR Ltd
|Tel: 020 7933 8780 or [email protected]
Mob: 07876 741 001
About OptiBiotix - www.optibiotix.com
OptiBiotix Health plc (AIM: OPTI), which was formed in March 2012, brings science to the development of compounds which modify the human microbiome - the collective genome of the microbes in the body - in order to prevent and manage human disease and promote wellness.
OptiBiotix has an extensive R&D program working with leading academics in the development of microbial strains, compounds, and formulations which are used as active ingredients and supplements. More than twenty international food and healthcare supplement companies have signed agreements with OptiBiotix to incorporate their human microbiome modulators into a wide range of food products and drinks.
OptiBiotix is also developing its own range of consumer supplements and health products. The Company's current areas of focus include obesity, cardiovascular health, and diabetes.
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