This was another great announcement with some great insight into where we are going. Some interesting nuggets that provide some insight into how they might increase production.....
Decentralised Global Manufacturing Approach AnteoTech has developed a decentralised approach to its lateral flow rapid test manufacturing strategy, which has a number of key benefits:
1) Increased speed to market by focusing lateral flow strip manufacture on 1 or 2 sites initially.This approach will decrease the time required for technical transfer to a third party for new tests and will leverage mass production capability at each site to produce a volume of lateral flow strips to meet demand at any point in the future. The first lateral flow strip manufacture site is the recently announced contracted capacity with Operon (refer ASX announcement: 17 May 2021).The second site for this element of the strategy will be our own facility to be set up at Eight Mile Plains in Brisbane. With no lengthy technology transfer required, AnteoTech will be able to bring new tests to the market quickly, or support Operon with additional manufacturing should demand exceed their ability to supply.
2) Decreased production costs by implementing multiple cassette assembly and packaging facilities close to the markets they serve.Lateral flow test strips are easily transportable, enabling them to be sent to locations around the world for cassette assembly and test kit packaging. AnteoTech’s strategy is to engage with cassette and kit assembly partners in Europe, Mid-Asia, Australia and North America and utilise these facilities as demand increases. This strategy has several benefits, including the reduced reliance on one assemblypartner, decreasing the logistics risks associated with transporting kits globally from a single location, and reduced contract supply and global supply chain risks.
ADO Price at posting:
32.5¢ Sentiment: Hold Disclosure: Held
