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Optibiotix inks probiotic deal across Europe
Food supplements developer Optibiotix has entered into a production and commercialisation agreement with Italian group Fine Foods & Pharmaceuticals, granting the latter with an exclusive license for the production and supply of OptiBiotix's anti-cholesterol probiotic in Europe.
Optibiotix will receive royalty payments and a commitment to maximising financial returns for both parties in exchange for the agreement, where it will supply its LP LDL strain for inclusion in five formulations made by Fine Foods. LP LDL is lactobacillus plantarum, a gut bacteria that is meant to help with cholesterol, blood pressure, glucose and energy regulation, vitamin metabolism, and liver function.
The Italian company, which has more than three decades experience in the design, development, and manufacture of customised formulations, is looking to capitalise on its relationships with the likes of Pfizer, Bayer, and Sanofi to expand the LPLDL strain across continental Europe.
One of the five supplements will be designed for glucose control, one for reduction of high blood pressure, one for reduction of cholesterol levels and two for the reduction of cardiovascular risk. These proprietary formulations will be marketed in innovative presentations including sachets and 'melt in the mouth' sticks to Fine Foods' European network in both the pharmaceutical and food supplement industry
For AIM-quoted OptiBiotix the new agreement was part of its business strategy of bringing its science together with a partner's expertise and market reach to create widen its end markets around the world.
Stephen O'Hara, OptiBiotix's chief executive, said, "This agreement extends the range of products and presentations containing OptiBiotix's LPLDL and creates an opportunity to access global pharmaceutical markets with an established industry supplier."
Giorgio Ferraris, chief executive of Fine Foods, added, "We believe this a unique opportunity for us to expand our commercial presence in the European Food Supplement industry, and has the potential to favourably enhance our existing rate of growth over the coming years."
As of 0840 GMT, shares had ticked up 4.32% to 62.59p.