Concepta plc ("Concepta" or the "Company")
Chinese Manufacturing Agreement Signed with Shijiazhuang Huanzhong Biotech Limited
Concepta plc (AIM:CPT), the UK healthcare company targeting the personalised mobile health market with a primary focus on women's fertility, announces that it has signed a Manufacturing Agreement ('the Agreement') with Shijiazhuang Huanzhong Biotech Limited ('HZ Biotech'), a leading Chinese manufacturer with operations in Shijiazhuang, to assemble and package Concepta's 'My Lotus' fertility product. This Agreement is in line with the Company's strategy as it builds towards the launch of its My Lotus product for unexplained infertility* into China in H2 2016.
Under the terms of the Agreement, HZ Biotech will exclusively assemble and package Concepta produced components (including bulk tests and electronic meters), to produce Concepta's My Lotus product to specification for the Chinese market. HZ will utilise its manufacturing site and processes, adhering to locally applicable laws and Chinese regulatory requirements. In addition to assembling the final My Lotus product, HZ Biotech will be the sole purchaser of Concepta's My Lotus product and help facilitate its launch to the Chinese market and include post-market surveillance. Concepta will also look to work with a network of distributors in China to help achieve maximum market penetration in China and will update the market on these developments in due course.
Concepta's MyLotus is the only consumer product which allows both quantitative and qualitative measurements of a woman's personal hCG and LH hormone levels in an easy to use home test to facilitate higher conception rates and early diagnosis of any fertility problems. Competitor products currently only allow qualitative measurement and are based on the 'average woman'.
Commenting on the Agreement, Erik Henau, Concepta CEO said: "I am delighted to announce this agreement with leading Chinese manufacturer HZ Biotech, which marks a significant step for Concepta towards the launch of our 'My Lotus' fertility product into China in 2016. With regulatory approvals already in place in China, the Chinese market represents a highly attractive initial launch market for Concepta. An estimated 4 million women in China each year discover that they have unexplained infertility. The sheer scale of the target market, combined with a growing Chinese middle class for whom our My Lotus product is affordable and recent regulatory changes regarding the one-child policy, all create the conditions for an exceptional market opportunity. As such annual revenue potential for this target market is expected to be worth £250m per annum.
"We look forward to updating the market on our progress with HZ Biotech as we roll out our flagship fertility product in our first international market with the UK and Europe targeted for 2017."
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About Concepta Plc:
Concepta plc is a pioneering UK healthcare company that has developed a proprietary platform and products targeted at the personalised mobile health market with a primary focus on women's fertility and specifically unexplained infertility*.
Founded in 2013, Concepta has developed a revolutionary flagship product 'MyLotus' for home self-testing that helps women with unexplained infertility to conceive.
MyLotus is the only consumer product which allows both quantitative and qualitative measurements of measurement of a woman's personal hCG and LH hormone levels in an easy to use home test to facilitate higher conception rates and early diagnosis of any fertility problems. Competitor products currently only allow qualitative measurement and are based on the 'average woman'.
Concepta has a defined route to market for its new 'My Lotus' product with Regulatory approvals for launch in China in place for 2016 and CE-Marking for UK and Europe to follow in 2017 where the revenue potential of the Chinese and EU infertility market is worth c.£600m per annum for the company.
*Unexplained infertility refers to women that have been unable to conceive after 6 months of trying. This highly motivated target group of consumers won't typically be offered medical intervention until 12 months of unsuccessfully trying, with IVF not offered until two years. Research indicates couples start to take positive action ahead of this time and there is little medical support to help them do so.
This information is provided by RNS