Abingdon Health (ABDX ) said it has signed a significant contract with a European customer for the manufacture of lateral flow device (LFD) components for a COVID-19 antigen test.
The contract, which is for an initial period of 12 months with an option to extend, will start with the primary production of the key biochemical-sprayed nitrocellulose component of the LFD.
There is also an option to expand to other aspects of device manufacture including production and lamination of other membrane components and production of complete foiled devices.
Abingdon, which develops and manufactures rapid tests, said the contract is with a European customer with the initial phase worth a minimum of £2.7m (based on minimum specified monthly order quantities and pricing at current GBP/USD exchange rates) for the first year.
While all raw materials required for production will be provided by the customer, there will be an initial technical transfer process which is anticipated to take approximately two months.
Commenting on the announcement this morning, Chris Yates, CEO of Abingdon Health, told investors: “We are pleased to have signed this contract with our European partner.”
The contract highlights the strengths of Abingdon’s flexibility in being able to offer a range of first-class contract services across primary and secondary production. We continue to make commercial progress in other areas and look forward to updating the market in due course.”
Abingdon Health, a Yorkshire-based company that was founded in 2008, said it continues to make commercial progress in other areas, adding that it will update the market in due course.
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