Todos Medical Ltd (OTCQB:TOMDF) announced Thursday that it has entered into a sales agreement with a New York-based laboratory to supply it with the necessary COVID-19 polymerase chain reaction (PCR) testing equipment and supplies.
Under the $4.5 million, 12-month contract, Todos said it will supply automated extraction machines, liquid handlers and PCR machines.
Todos also has been granted a priority right to supply the lab with up to 75,000 COVID PCR tests per day in the event the laboratory sees significant additional testing demand.
“It’s imperative the United States maintain a high standard of testing,” said Andrew Blumenthal, Todos’ vice president of business development, in a statement. “With this deal, Todos continues its support of USA-based laboratories’ initiatives to ensure the appropriate resources are available and provided at the community level in anticipation of a potential winter surge of COVID-19 cases.”
CEO Gerald Commissiong noted a recent breakthrough by Abbott Laboratories (NYSE:ABT), which just won US marketing authorization for a COVID-19 portable antigen test that can deliver results within 15 minutes and will sell for $5.
“The recent approval of Abbott’s antigen test shows the strong commitment from the US FDA to bring new screening testing into the market to help quickly triage those at higher risk of an active COVID-19 infection so they can be segregated and advanced to confirmatory testing,” Commissiong said.
“We expect this will give greater confidence to communities to re-open more fully. As a result, we expect to see a surge in demand for that reflex confirmatory testing using the gold standard COVID-19 test, polymerase chain reaction known as PCR.”
He added: “Labs are continuing to scale up their PCR testing capacity to meet the current influx of reflex testing that we expect will grow significantly this upcoming fall and winter as active or prior COVID infections are uncovered with antigen testing. We continue to be laser focused on helping local labs rapidly transition into or expand their COVID testing capabilities in order to get faster results to patients and other stakeholders in the COVID-19 testing ecosystem.”
Headquartered in Rehovot, Israel, Todos also develops diagnostic solutions to screen for a variety of cancers and neurodegenerative disorders.
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