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Tuesday, March 10, 2020

Aytu Bio up on distribution deal for COVID-19 test

Thinly traded nano cap Aytu BioScience (NASDAQ:AYTU) jumps 322% premarket on robust volume in reaction to its license agreement with L.B. Resources Limited for the exclusive distribution of a point-of-care rapid test for COVID-19 IgG/IgM antibodies in the U.S. for three years with three-year auto-renewals thereafter.
Aytu plans to discuss a regulatory pathway with the FDA and near-term availability under Emergency Use Authorization. It expects to receive an initial supply of product in three-to-four weeks.
Financial terms are not disclosed.
Results from the CE Mark’d immunochromatographic assay can be generated in 2-10 minutes from serum/plasma/whole blood samples. No equipment is needed. In this case, it detects the presence of IgG antibodies (indicating past exposure to the SARS-CoV-2 virus) and IgM antibodies (indicating recent exposure to the virus). The test does not differentiate between the two (just confirms exposure).
An immunochromatography assay, or lateral flow test, combines chromatography and immunochemical reactions. The most common of this type of system is the test strip which generates results as a colored band on a membrane (visual interpretation).
https://seekingalpha.com/news/3550105-aytu-bio-rockets-322-premarket-on-distribution-deal-for-covidminus-19-test

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