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Oncimmune secures distribution agreements to expand into Brazil, Colombia and Moldova
Early cancer detection firm Oncimmune Holdings announced on Thursday that it has signed two exclusive agreements for distribution of its EarlyCDT-Lung test in Brazil and Colombia, and Moldova.
The agreement covering Brazil and Colombia with Valentech International is for a term of five years, includes minimum sales commitments of £3m over the term of the contract, with first sales expected in Q1 2019.
Brazil has 22m smokers out of a total population of 207m and AIM traded company Oncimmune said it hopes to reduce the country's nearly 24,000 annual lung cancer deaths with the EarlyCDT-Lung screening tool.
The technology will also be received by physicians in Colombia where lung cancer occurs among 6.2% of smokers.
Meanwhile, the agreement in Moldova, a relatively small market with just 1 million smokers, is for an initial term of three years and includes minimum sales commitments of £0.2m over the term of the contract with first sales expected in Q3 2018.
Geoffrey Hamilton-Fairley, chief executive of Oncimmune, said: "We are delighted to sign our first distribution agreement in the South America region with Valentech. The agreement in Moldova is our sixth in Europe and now brings our total minimum committed revenues of £2.2 million over the next three years."
The company said its total minimum global minimum committed revenues including Europe, Asia Pacific and South America, now totals £26.8m over the next six years.
"We are well positioned to deliver further distribution deals across the globe in line with our strategy to generate revenues from our platform technology through multiple products, regions and partners," said Hamilton-Fairley.
As of 1120 BST, Oncimmune Holdings' shares were up 3.66% at 127.50p.