- The stock price of OpGen, Inc. (Nasdaq: OPGN) increased by over 5% during intraday trading today. This is why.
The stock price of OpGen, Inc. (Nasdaq: OPGN) increased by over 5% during intraday trading today. Investors are responding positively to OpGen announcing that its subsidiary Curetis GmbH has entered into a distribution agreement with Leader Life Sciences via their trading company Leader Medical Supplies Trading LLC, part of the Leader Healthcare Group, for distribution of Unyvero systems in the United Arab Emirates and Qatar. Leader Healthcare Group is known as one of the Middle East region’s leading distributors and has a presence in markets such as Saudi Arabia, Oman, and Egypt.
Under the distribution deal, Leader Life Sciences has the exclusive rights to commercialize the Curetis Unyvero A50 instrument system and its full suite of Unyvero infectious disease diagnostic application cartridges in the U.A.E. and Qatar. And the distribution agreement has an initial term of three years and can be extended in one-year increments.
In return, Leader Life Sciences has committed to significant minimum purchases of Unyvero instruments and application cartridges during the initial 3-year term, amounting to a total of at least 8 Unyvero systems plus significant numbers of Unyvero cartridges for a total deal value during its initial term of approximately $1 million in transfer-price based revenue to OpGen. And Leader Life Sciences is responsible for product registration in its territories and has committed to significantly invest in the market introduction of the Unyvero product line in U.A.E. and Qatar.
“With a significant number of hospitalized patients suffering from healthcare-associated infections in the Middle East, we believe that a rapid and comprehensive detection of the pathogens and their antibiotic resistance markers with Unyvero will help to improve outcomes for patients with severe infections while supporting the antibiotic stewardship efforts that are high on the agenda of healthcare providers in the region. We are very pleased to work with Leader Life Sciences as a highly committed partner in making Unyvero widely available in the region. This partnership strengthens our commercial presence in the Middle East region and is in alignment with our core commercialization strategy to expand our global presence as industry leaders in the molecular diagnostics and bioinformatics space. We anticipate working closely with Leader Life Sciences and the team over the coming years and anticipate the opportunity to explore potential expansion into additional countries in the region in the years ahead.”
— Oliver Schacht, CEO of OpGen
“The Curetis-Leader Life Sciences strategic partnership is a powerful combination. Curetis’ understanding in development of molecular diagnostic products for more than a decade leading to immense improvement in patient outcomes is uniquely complementary to how Leader Life Sciences’ team works. We believe this alliance will assist in bringing new revolutions in the industry. With operations spread across the region, along with close-to-client location reach and added capabilities of the cherry-picked team of Leader Life Sciences’ well qualified individuals in different domains, this collaborative effort will allow us to drive far more impact for our clients.”
— Sukhdeep Sachdev, the Global CEO of Leader Healthcare Group
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