- Anti-ageing specialist and meditech researcher Cellmid (CDY) has extended its distribution deal for the Wondfo COVID-19 test kit in Australia
- Cellmid and distribution partner Australia Application have extended their distribution deal for the TGA-approved test kit until December 30, 2020
- The kit is designed to diagnose COVID-19 in just 15 minutes
- Cellmid says the test kits have valuable applications in vaccine and drug trials and in the clinical management of coronavirus patients
- However, no sales figures for the product have been released yet
- Shares in Cellmid are trading 20 per cent higher today, worth 12 cents each in mid-afternoon trade
Anti-ageing specialist and meditech researcher Cellmid (CDY) has extended its distribution deal for the Wondfo COVID-19 test kit in Australia.
The company initially struck the deal with Chinese biotech company Guangzhou Wondfo Biotech in late March. Already approved by the Therapeutic Goods Administration (TGA) as a point-of-care test kit for the coronavirus, the product is designed to diagnose COVID-19 in less than 15 minutes. Moreover, it only requires basic lab equipment, making it especially attractive for conducting tests in rural Australia.
Today, Cellmid and distribution partner Australia Application have extended their agreement to run until December 30, 2020.
Importantly, previous minimum order requirements have been scrapped from the deal, meaning Cellmid no longer needs to rely on big orders to distribute the test kit but can send off smaller purchases.
Cellmid said with the Australian government lockdown measures implemented when the virus struck hard in March, COVID-19 cases are remarkably low in the country, even accounting for the recent outbreak in Victoria. Thus, the need for testing kits in Australia might seem to be diminishing.
However, the company explained that as the pandemic progresses, serological testing will have an important role in widespread population surveys, research and development work, and drug and vaccine trials relating to COVID-19. Further, Cellmid cited a recent somewhat-mixed review of the Wondfo product by the Doherty Institute as proof of the value of antibody tests in the clinical management of COVID-19 patients.
Yet, today’s news came with no update as to how many of the Wondfu test kits have actually been sold in Australia. As such, while the company continues to tout the demand for the product, shareholders might be wary until actual figures are released.
Regardless, investors responded well to today’s distribution deal extension, with Cellmid share trading 20 per cent higher in mid-afternoon trade. Shares are currently worth 12 cents each.