REG - Deepverge PLC - Testing Services Framework Ag with Abingdon Health

DeepvergeAnnouncement

30/05/2022 07:15

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RNS Number : 1617N  Deepverge PLC  30 May 2022

30 May 2022

 

DeepVerge PLC

 

("DeepVerge" or "the Company" or "the Group")

 

DeepVerge and Abingdon Health sign Testing Services Framework Agreement

Development of new Lateral Flow Test range

 

DeepVerge plc (AIM: DVRG), announces that Innovenn  UK Limited ("Innovenn")
has signed a Testing Services Framework Agreement ("Agreement") with Abingdon
Health plc ("Abingdon") for development and manufacture by Abingdon of a range
of Lateral Flow Tests ("LFT") for the Modern Water, Labskin and Skin Trust
Medical divisions of the Group. This follows on from the Memorandum of
Understanding, announced in the RNS of 29 March 2022.

 

The Agreement provides for development of a range of LFT units over the next
12 months in the following areas of interest:

1.   Traceable Polymer System (i.e. field test kits) offer operational
insight for the use of polymers as dispersants in cooling water and as
traceable scale inhibitors for oil and gas that require methods to measure the
excess polymer added as a treatment to each system. The new LFT units enable a
greater understanding of the water chemistry and the ability to optimise
treatment levels, and may ultimately prevent over/underdosing.

2.   Sulfate Reducing Bacteria (SRB) optimisation. Used by corrosion
engineers to determine the presence of SRB, the current kit format uses
multiple sample preparation steps and a colour-change end point. The
conversion of this test to LFT accelerates the results by reducing the number
of steps compared to tests currently on the market. The SRB business is
currently worth in excess of $100k to Modern Water and this easy to use
upgrade expands the reach into wider corrosion test markets.

3.   1.7 billion of the world population does not have access to drinkable
water i  (#_edn1) . The increasing regulatory support and legislation for high
standard maintenance of food and beverage products, pharmaceuticals and other
industries, are further increasing the applications of chemically tested
water. Environmental LFT tests will include acrylamide, microcystins, algae in
the second phase of development.

4.   Detecting PFAS - "Forever Chemicals" (Per- and Polyfluoroalkyl
Substances) is an exciting new area of interest. PFAS has been added to the US
Environmental Protection Agency drinking water treatability database ii 
(#_edn2) which creates the need to make informed decisions about the level of
PFAS in drinking water. This creates a very large opportunity for LFT single
use testing in private homes, hospitals, hotels, pubs, restaurants and food
and beverage manufacturing.

5.   Wellness tests for Skin Trust Club will include Vitamin D, Cortisol,
Menopause, Kidney and Liver function with the potential to extend the test
service and product offering, including supplements.

DeepVerge will fund the costs of the projects being undertaken under the
Agreement.  Abingdon will be exclusive developer and manufacturer of the
products subsequently transferred into manufacturing.

 

The Agreement is effective from 27 May 2022 and remains in force for an
initial period of one year. The Agreement shall automatically be renewed for
successive one year increments unless either party requests, at least ninety
days prior to the anniversary date, that the Agreement not be renewed.

 

Gerard Brandon, CEO of DeepVerge plc, commented:

"With a strong reputation now cemented for delivering innovartive real-tme
test solutions to aid the prevention of the spread of a range of diseases, we
are now focused on upgrading our offering through the conversion of existing
multi-step field tests to single-use Lateral Flow Test. This range of new
LFT's has the potential to generate multiple revenue streams throughout Modern
Water's 60+ country distribution network and Skin Trust Club's rapidly growing
club members in the UK, Ireland and the US. Added to the growing list of
products and services the LFT range of tests  is expected to contribute to
Group revenues in early 2023."

 

Chris Yates, CEO of Abingdon Health plc, commented:

"We are pleased to have signed this commercial agreement with DeepVerge. This
strategic partnership will allow both companies to build a long-term
collaboration to enable DeepVerge to leverage Abingdon's lateral flow
development and manufacturing engine to launch a range of innovative tests
into its core markets. This agreement underlines Abingdon's reputation as a
knowledge leader and expert in the rapidly-growing lateral flow testing
market"

What is a lateral flow immunoassay?

A lateral flow test, or immunoassay is a simple to use diagnostic device used
to confirm the presence or absence of a target analyte, such as pathogens or
biomarkers in humans or animals, or contaminants in water supplies,
foodstuffs, or animal feeds. The most commonly known type of lateral flow
rapid test strip is the pregnancy test or testing the presence of the COVID-19
virus.

 

What are PFAS?

Per and Polyfluoroalkyl Substances (PFAS) have been nicknamed 'forever
chemicals' as they don't breakdown, leading to bio-accumulation in our
environment and in the human body over time. These compounds are man-made and
were developed in the 1940s. Their useful properties include being non-stick
and water resistant.

 

According to the Nordic council of Ministers iii  (#_edn3) , the cost of
inaction regarding PFAS in the environment and for human health has been
estimated at €50 - €82 billion Euro per year, for all European Economic
Area. With the known health issues the accumulation of PFAS causes, government
bodies around the world iv  (#_edn4) are increasing their commitment to
address this issue. Although there are more countries implementing regulation
for the monitoring of PFAS, there is still the need for real-time data of
these compounds in wastewater treatment facilities.   Remote analytical
testing will help improve the monitoring and remediation of PFAS, for this
more portable and accessible detection methods are required.

Growing Consumer Interest in Water Safety and Quality

The rising number of waterborne disease outbreaks, adulteration cases, and
toxicity have increased the threat to water safety. According to the Centers
for Disease Control and Prevention (CDCP), diseases spread through water
affect over 7 million people in the United States every year. In addition,
waterborne diseases are responsible for many different types of illnesses,
including respiratory illnesses, neurological illnesses, skin problems,
gastrointestinal illnesses, and bloodstream infections. Also, people are
infected by waterborne germs not just when they drink water but also when they
breathe in contaminated water droplets or when water gets in their ears or
nose. With the increasing incidences of diseases and awareness about
waterborne diseases across the world, the current water safety testing market
is shifting toward rapid microbiological tests. Growing consumer interest in
water quality has propelled high technological advancements, thereby driving
the water safety testing market in both developing and developed countries.
Enhanced surveillance and detection methods have also contributed to the
growth of water safety testing scenarios, specifically in developed economies.

 

 

 

 DeepVerge plc                                   Gerard Brandon, CEO         +44 (0) 7340 055 648

 SPARK Advisory Partners Limited                 Neil Baldwin/Andrew Emmott  +44 (0) 113 370 8974

 (Nominated Adviser)

 Turner Pope Investments (TPI) Limited (Broker)  Andy Thacker/James Pope     +44 (0) 20 3657 0050

 

Market Abuse Regulation (MAR) Disclosure

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS STIPULATED UNDER
THE UK VERSION OF THE MARKET ABUSE REGULATION NO 596/2014 WHICH IS PART OF
ENGLISH LAW BY VIRTUE OF THE EUROPEAN (WITHDRAWAL) ACT 2018, AS AMENDED.  ON
PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS
INFORMATION IS CONSIDERED TO BE IN THE PUBLIC DOMAIN.

 

About DeepVerge plc (www.deepverge.com)

DeepVerge is an environmental and life science group of companies that
develops and applies AI and IoT technology to analytical instruments for the
analysis and identification of bacteria, virus and toxins; Utilising
artificial intelligent data analytics to scientifically prove the impact of
skincare product claims on skin

 

About Abingdon Health (www.abingdonhealth.com)

 

Abingdon Health is a world leading developer and manufacturer of high-quality
rapid tests across all industry sectors, including healthcare and COVID-19.
Abingdon is the partner of choice for a growing global customer base and takes
projects from initial concept through to routine and large-scale manufacturing
and has also developed and marketed its own labelled tests.

 

The Company offers product development, regulatory support, technology
transfer and manufacturing services for customers looking to develop new
assays or transfer existing laboratory-based assays to a lateral flow
format.  Abingdon Health aims to support the increase in need for rapid
results across many industries and locations and produces lateral flow tests
in areas such as infectious disease, clinical testing including companion
diagnostics, animal health and environmental testing. Faster access to results
allows for rapid decision making, targeted intervention and can support better
outcomes. This ability has a significant role to play in improving life across
the world. To support this aim Abingdon Health has also developed AppDx®, a
customisable image capturing technology that transforms a smartphone into a
self-sufficient, standalone lateral-flow reader.

 

Founded in 2008, Abingdon Health is headquartered in York, England.

 

 i  (#_ednref1)
https://www.mordorintelligence.com/industry-reports/water-testing-market

 ii  (#_ednref2)
https://www.waterworld.com/drinking-water/treatment/press-release/14203633/epa-adds-new-pfas-to-its-drinking-water-treatability-database

 

 iii  (#_ednref3)
https://norden.diva-portal.org/smash/record.jsf?pid=diva2%3A1295959&dswid=-5995

 

 iv  (#_ednref4)
https://www.waterworld.com/drinking-water/treatment/press-release/14203633/epa-adds-new-pfas-to-its-drinking-water-treatability-database

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