Business
Extension of LPLDL® supply agreement with SACCO
Extension of LPLDL® supply agreement with SACCO.
About this update from Optibiotix Health Plc
[{"type":"text","content":"\n \n \n RNS Number : 6600F\n OptiBiotix Health PLC\n 11 March 2020\n \n \n \n OptiBiotix Health plc\n (\"OptiBiotix\" or the \"Company\")\n \n \n \n Extension of LPLDL® supply agreement with SACCO S.r.l.\n \n OptiBiotix Health plc (AIM: OPTI), a life sciences business developing compounds to tackle obesity, cardiovascular disease and diabetes, announces that its wholly-owned subsidiary ProBiotix Health Ltd. (\"ProBiotix\"), has signed a new global manufacturing and supply agreement with Sacco S.r.l. (\"Sacco\") that modifies and extends their existing relationship through to the end of 2023.\n \n \n \n Under the terms of the agreement, Sacco will manufacture LPLDL® for ProBiotix under:-\n \n i. A global non-exclusive licence for the dietary supplement and food and dairy markets; and\n ii. An exclusive licence for the drug and biotherapeutic market\n \n The agreement changes the original profit-sharing agreement (RNS: 22 August 2017) to a manufacture and supply agreement with pricing discounts for increasing sales volumes. This allows the Company to benefit from a reduced price of goods as sales volumes grow and provide more evenly distributed income throughout the year. The agreement also includes commission payments from Sacco for LPLDL® sold to dairy customers. \n \n \n Steve Prescott, CEO of ProBiotix, commented: \"We are pleased to announce this agreement with Sacco, which extends our relationship with them for the next four years. Sacco's commitment to manufacturing excellence, including the recently announced pharma cGMP validation of LPLDL®, and their ability to manufactureof LPLDL®in multiple facilities gives us confidence of a quality product and uninterrupted supply. The changes to this agreement reflectthe focus on building a profitable business as we renegotiate supply agreements with partners as sales volumes grow to increase margins.\"\n \n This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.\n \n \n For further information, please contact:\n \n \n \n \n \n \n \n \n OptiBiotix Health plc\n \n \n \n \n \n www.optibiotix.com\n \n \n \n \n \n \n \n Stephen O'Hara, Chief Executive\n \n \n \n \n Contact via Walbrook below\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n...