Diagnostics companies sign new commercial agreement to address limitations in development of multiplex point-of-care lateral flow assay diagnostic tests
Halifax, Nova Scotia–(Newsfile Corp. – August 6, 2019) – Sona Nanotech Inc. (CSE: SONA) and Expedeon AG (FSE: EXN) (ISIN: DE000A1RFM03), today announced they have entered into a commercial agreement to address limitations in development of complex, multiplex point-of-care (POC) lateral flow assay (LFA) diagnostic tests.
Under the terms of the agreement, Expedeon will provide gold nanoparticle, bioconjugation technologies and expertise, and Sona will offer its lateral flow assay development services, leading to immediate and ongoing revenue generation. The collaboration will enable the rapid development of more complex / multiplex immunoassays into LFAs, from proof of principle, through scale-up and transfer to manufacturing and will further expose Sona to Expedeon’s global customer base.
The lateral flow assay market is expected to reach USD 8.7 billion by 2023 from an estimated USD 6.0 billion in 2018, at a CAGR of 7.7% according to a recent market research report. The lateral flow assay market comprises several stakeholders such as raw material suppliers, processors, end-product manufacturers, distributors, and regulatory organisations in the supply chain. The demand side of this market is characterised by the hospitals & clinics, diagnostic laboratories, home care, food & beverage, pharmaceutical, nutraceutical & biotechnology companies, and the environmental testing industry. A significant portion of this market is comprised of POC diagnostics.
POC diagnostics or near-patient testing is a medical diagnostic test that allows physicians and medical staff to correctly attain real-time, lab-quality diagnostic results within minutes rather than hours. LFAs are among the most widely used POC diagnostic tests due to their rapidity, ease of use, long term storage and application in resource-limiting settings.
Multiplex lateral flow assays provide an ideal solution to the need for simple, rapid, and accurate POC tests, for applications such as infectious disease or communicable illness diagnostics. However, challenges in both development and transfer to manufacturing have previously limited the number of multiplex lateral flow assays brought to the market. This new collaboration between Expedeon and Sona will address these limitations, enabling simultaneous detection of multiple analytes with distinct visual differences between the test lines in a fully scalable, transferable and cost-effective way.
Darren Rowles, President and CEO, Sona Nanotech, said: “The lateral flow market is growing rapidly, with innovative new technologies being developed all the time. To fully take advantage of the opportunities and overcome challenges, companies must increasingly work together collaboratively. Signing this agreement with Expedeon further strengthens the productive partnership between our organisations and our commitment to delivering value to our combined global customer base.”
Dr Heikki Lanckriet, CEO, Expedeon AG, said: “The adoption of point-of-care diagnostics is increasing globally, due to factors such as high prevalence of infectious diseases in developing countries, increasing incidence of target diseases, and rising preference for home healthcare. Despite the growing market, there are several bottlenecks in the development of point of care assays. We are looking forward to working with Sona to overcome these challenges, without compromising on quality or reproducibility.”
Expedeon (booth #4259) and Sona Nanotech (booth #4257) will be exhibiting and promoting their collaboration at the 71st AACC Annual Scientific Meeting & Clinical Lab Expo, August 4th – 8th, at the Anaheim Convention Centre, California, USA.