OptiBiotix Health signs MoU with Bened Biomedical
StockMarketWire.com - OptiBiotix Health signed a Memorandum of Understanding (MoU) with Bened Biomedical, Taiwan.
The MoU sets the framework for a strategic partnership to explore licensing and sales opportunities and the potential of combining relevant assets, over the next 12 months.
Bened Biomedical was founded in 2015 as a spin off from National Yang-Ming University (NYMU) by Professor Tsai, Ying-Chieh.
Bened is a leading probiotic research and marketing companies in Asia developing microbiome based products for neuropsychological, allergic, immunological, metabolic and aging-related disorders.
In the past two years, its flagship psychobiotic PS128 products which help improve mental and emotional health, have been sold through both on-line and off-line channels in more than ten countries, generating revenues in the excess of $2m.
The MoU provides a 12 month period to explore opportunities relating to OptiBiotix's cholesterol and blood pressure reducing LPLDL strain and Bened's PS128, a psychobiotic that has shown encouraging results in reducing anxiety and depression in animal studies.
This agreement includes:
- The potential for Bened to commercialise OptiBiotix's LPLDL strain in Taiwan, Japan, Korea, and South East Asia
- The potential for OptiBiotix to commercialise Bened's PS128 strain in Europe and the US
- The possibility of combining relevant assets to broaden the commercial offering and global reach
For OptiBiotix this means:
- Widening OptiBiotix's probiotic portfolio into the area of psychobiotics
- Entering into the area of the "Microbiota-Gut-Brain Axis" where mounting evidence suggests that the microbiome helps shape neural development, brain biochemistry and behaviour
- Opening commercial routes into Taiwan, Japan, Korea and SE Asia for the Company's cholesterol and blood pressure reducing LPLDL strain
- Gaining access to territories in the Asia Pacific region with a total probiotic retail value of $16.1bn, of which supplements are $700m. Japan being the third largest market for probiotic supplements with a predicted 8% growth by 2021 and the Taiwanese markets predicted a 27% growth by 2021
The two parties aim to enter definitive legal agreement on commercial and financial terms during the 12 month period.
This is expected to create mutual value through royalty or asset payments.
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