Distributor agreement with Ayalla Marketing

RNS Number : 2205Z

OptiBiotix Health PLC

17 September 2020

 

OptiBiotix Health plc

("OptiBiotix" or the "Company")

Exclusive distributor agreement with Ayalla Marketing

Deal signed by Probiotix Health Ltd

OptiBiotix Health plc (AIM: OPTI), a life sciences business developing compounds to tackle obesity, high cholesterol, diabetes and skin care, announces that its wholly-owned subsidiary, ProBiotix Health Ltd ("ProBiotix"), has entered into an exclusive distribution agreement with Ayalla Marketing ("Ayalla") for the distribution of its cholesterol reducing probiotic, LP_LDL®, as an ingredient and as four finished products (CholBiome, CholBiome_X3, CholBiome_BP and CholBiome_VH) within the CholBiome® portfolio for Brazil.

The new agreement:

· Includes distribution of LP_LDL® as bulk ingredient; as well as four additional products: CholBiome, CholBiome_X3, CholBiome_BP and CholBiome_VH

· Offers an agreed and expected first order within 30 days from approval of the authorities of both the ingredient LP_LDL®, as well as one of the CholBiome products

The agreement is for an initial period of 12 months and has modest minimum order quantities for each product providing the Company security of income and revenue growth.

Ayalla was founded in 1973 with the purpose of providing APIs (Active Pharmaceutical Ingredients) for the pharmaceutical industry.  The company has a diverse product portfolio developed to meet the need of veterinary, food, cosmetics and fragrance industries.  It has three business units: Pharmaceuticals, Nutraceuticals, and Technologies which includes bringing new drug molecules to market.  LP_LDL® will be distributed by its Nutraceutical business unit.  Ayalla has developed a network of suppliers in Europe, the U.S. and Asia, which enables the company to offer high quality products and services and is a well-known and established distributor of pharmaceutical and nutraceutical products in Brazil.

Cardiovascular diseases (CVD), are estimated to account for 28% of all deaths in Brazil in the last five years and for 38% of deaths in the productive age range (18 to 65 years).  The estimated costs of CVD were $6.9billion USD in 2015, a 17% increase in the period from 2010 to 2015¹. Whilst statins remain the first choice of drug treatment, non-drug treatment including exercise and the use of nutritional supplements are increasingly being seen by clinicians and health care professionals as a naturally safe and effective approach to reducing cardiovascular risk.

1.  Analysis of the Economic Impact of Cardiovascular Diseases in the Last Five Years in Brazil Arq. Bras. Cardiol. vol.109 no.1 São Paulo July 2017 Epub June 01, 2017

Mikkel Hvid-Hansen, Commercial Director of ProBiotix Health commented: "We are pleased to announce the signing of this distribution agreement with Ayalla. Ayalla is an established distributor with a national reputation and wide network of contacts.  We chose Ayalla because of its reputation and expertise in commercialising pharmaceutical and non-drug products with strong science and clinical studies in the Brazilian market."

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.

Enquires:

OptiBiotix Health plc		www.optibiotix.com
Stephen O'Hara, Chief Executive		Contact via Walbrook below
Cairn Financial Advisers LLP (NOMAD)		Tel: [phone]
Liam Murray / Jo Turner / Ludovico Lazzaretti
finnCap (Broker)		Tel: [phone]
Geoff Nash / Kate Bannatyne (Corporate Finance)
Walbrook PR Ltd	Mob: [phone]
Anna Dunphy

About OptiBiotix - www.optibiotix.com  

OptiBiotix Health plc (AIM: OPTI), which was formed in March 2012, brings science to the development of compounds which modify the human microbiome - the collective genome of the microbes in the body - in order to prevent and manage human disease and promote wellness.

OptiBiotix has an extensive R&D programme working with leading academics in the development of microbial strains, compounds, and formulations which are used as active ingredients and supplements. More than twenty international food and healthcare supplement companies have signed agreements with OptiBiotix to incorporate their human microbiome modulators into a wide range of food products and drinks.

OptiBiotix is also developing its own range of consumer supplements, and health snacks and food products. The Company's current areas of focus include obesity, digestive health, cardiovascular health, and diabetes.

Caution regarding forward looking statements

Certain statements in this announcement, are, or may be deemed to be, forward looking statements. Forward looking statements are identified by their use of terms and phrases such as ''believe'', ''could'', "should" ''envisage'', ''estimate'', ''intend'', ''may'', ''plan'', ''potentially'', "expect", ''will'' or the negative of those, variations or comparable expressions, including references to assumptions. These forward looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding OptiBiotix's future growth, results of operations, performance, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, business prospects and opportunities. Such forward looking statements reflect the Directors' current beliefs and assumptions and are based on information currently available to the Directors.

 

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