Investing to Grow Profits and Improve Efficiencies
TORONTO, March 2, 2015 - Microbix Biosystems Inc. (TSX: MBX) (“Microbix” or the “Company”), an innovator of biological products and technologies, today announced new Molecular Diagnostics (“MDx”) product launches and provided an update on several important initiatives in its Virology Products business.
New Product Launches
Microbix has recently launched its first new products in the rapidly growing Molecular Diagnostics quality control market and has already booked sales to customers responsible for institutional accreditation testing. The Company is also preparing to sell these products directly to clinical laboratories, with a launch at industry trade shows in the spring. In addition, Microbix is in advanced development of two MDx control panels that will be used to test for sexually transmitted diseases and for gastrointestinal pathogens. These new MDx products will be launched in the second half of 2015 and target high volume markets that are expected to exceed 40 million tests in 2015 and grow at 10% annually as MDx testing becomes more widely adopted.
Capping off these new planned product launches will be MDx control panels to test for respiratory pathogens and tropical diseases, all potentially large markets for Microbix MDx control products.
To support the launch of its new MDx product line, Microbix is developing social media tools to create an awareness campaign using Facebook and LinkedIn. This will coincide with the launch of the Company’s new website in the coming weeks.
Phil Casselli, the Company’s Senior Vice-President, Business Development commented, “It’s exactly the right time to invest in our diagnostics business and develop products for the MDx market. We are global leaders in the manufacture of infectious disease antigens for traditional diagnostics products and our expansion into the MDx space gives us access to very significant and exciting new growth opportunities. Indeed, the MDx market is growing at rates of four to five times that of the conventional diagnostics market and its natural fit with Microbix uniquely positions us to serve this emerging area.”
Microbix is also expanding its product offering in growth segments of the immunoassay market, such as widespread tropical diseases. The Company has already developed a leadership position in Dengue Fever, a mosquito-borne tropical illness, with the premier line of Dengue Fever antigens being sold to diagnostics and vaccine developers. The incidence of Dengue Fever is increasing rapidly in its traditional tropical areas and it is also spreading throughout the Caribbean and parts of North America.
Dr. Amer Alagic, Director, Research and Development at Microbix said, “In December we completed development of the remaining three Dengue Fever virus strains, which puts Microbix in the unique position of being able to offer all Dengue Fever viruses. These products are currently being evaluated by key customers, which will help them design more sensitive tests for diagnosing Dengue Fever. At the same time, we are implementing state-of–the-art technologies to accelerate the development and commercialization of new products.”
Upgrading Manufacturing Facility
Strong growth in Virology Product sales had pushed the Company’s manufacturing operation close to its capacity limit. In response, Microbix has invested in new process equipment and facility renovations to significantly expand production capacity and improve operating efficiencies.
Kathryn Froh, Vice president Diagnostic Products, said, “It was important to address capacity restrictions to keep pace with growing customer demand, and ensure that we remain competitive. The new technologies will deliver significant operating efficiencies and a substantially reduced manufacturing footprint. Renovations to the facility are nearly complete and major equipment is now being installed.”
Vaughn Embro-Pantalony, Microbix’ Chief Executive Officer said, “We are committed to growing our Virology Products business by building on our market-leading position in infectious diseases. Molecular Diagnostics is the fastest growing segment in the $8 billion global infectious disease diagnostics market. We will continue investing to expand our product offering for these new and growing markets and to strengthen our competitive advantage, in light of our strategic objective, to maintain and enhance Microbix’ leadership position in infectious diseases.”
About Microbix Biosystems
Microbix Biosystems Inc. specializes in the research and development of biological solutions, including products for human health applications, namely in the vaccine, therapeutic and diagnostic markets, as well as animal reproductive markets worldwide. The Company manufactures and distributes a wide range of infectious disease antigens to a worldwide customer base. The Company’s pipeline of innovative technologies and products also includes LumiSort semen sexing technology for the livestock industries, Kinlytic, a thrombolytic drug with several approved and potential applications including the treatment of life-threatening blood clots, and VIRUSMAX, a proprietary technology for increasing virus yields in the manufacture of influenza vaccine. Established in 1988, Microbix is a publicly traded company, listed on the Toronto Stock Exchange, and headquartered in Mississauga, Ontario.
Molecular diagnostics is a technique used to analyze biological markers in an individual’s genetic code to diagnose disease on a more timely and accurate basis than is possible using conventional diagnostic testing techniques.
Forward-Looking Statements
This press release contains forward-looking statements which are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in the forward-looking statements including the risks associated with development projects, operations in foreign jurisdictions, risks associated with engineering and construction generally, risks associated with production including control over costs, quality, quantity and timeliness of delivery of products, foreign currency and exchange rate risk, and risks of raising capital on acceptable terms or at all. These forward-looking statements represent the Company’s judgment as of the date of this press release. The Company disclaims any intent or obligation to update these forward-looking statements.
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For further information:
Visit www.microbix.com or contact: Vaughn C. Embro-Pantalony, CEO, (905) 361-8910 x 350; or Charles Wallace, CFO, (905) 361-8910 x 255.
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