Biotech company genXone has signed a letter of intent to significantly expand its cooperation with Danish gMendel®. The joint efforts of two companies began earlier this year, with trial project for the diagnosis of genetic disorders. The current phase begins with negotiations on an investment agreement and the expected result is the innovative tool for diagnosing rare disease carriers that has global sales potential.
gMendel Aps is an innovative Danish startup that aimes to transform the diagnosis of genetic disorders for better diseases mangement. The goal of the research conducted by gMendel® is to provide the end user with the most precise diagnosis result in the shortest possible time. The technology used by the Danish company combines genomics with artificial intelligence and block chain technology to provide a shorter, safer and more cost-effective path to accurate diagnosis and potential treatment, ensuring the highest security and encryption of patient data. To add, the method is based on multi-level DNA sequencing, resulting in the classification of genetic disorders and the analysis of large numbers of samples.
Achieving the very good results of the cooperation started back in January this year, genXone and gMendel have decided to expand the scope of their research. According to the signed letter of intent, the companies agree to continue their cooperation in the development and launch the international market of a novel tool based on nanopore technology and the Phivea platform for the screening of carriers of rare genetic diseases such as DiGeorge syndrome, spinal muscular atrophy and cystic fibrosis, among others. The project will be prior by the conclusion of an investment agreement, the details of which will be negotiated by both parties. The agreement is expected to regulate the terms and conditions of financing project efforts. Recognizing the global and long-term dimension of cooperation, the companies are discussing new share issues and a possible loan from genXone to gMendel. Such an arrangement will guarantee adequate resources for the project and strengthen R&D cooperation between the companies.
– This agreement means concrete benefits for both partners. Through synergy and joint efforts, we will develop an innovation on a global scale – a test for diagnosing rare disease carriers, based on the Phivea® platform and nanopore sequencing technology. Having the operational potential, advanced bioinformatics competence and experience in implementing such solutions outside the laboratory will allow us to develop a universal and accessible screening tool ready for deployment anywhere in the world. The cooperation with foreign partners, which we are developing systematically, is the realization of one of the key goals of our strategy for the global dissemination of advanced genetic testing methods and tangible business proof that it is possible – and profitable – to make money and create new quality on biotechnology and molecular genetics,” emphasizes Michal Kaszuba, CEO of genXone.
The planned cooperation includes at least three stages. The negotiation phase, which is currently starting, is expected to create a financial framework for the joint venture. Successful conclusion of the talks will open the first research and development stage. Its aim is to develop a basic diagnostic test for carrying rare diseases (so-called BCT – basic carrier test). Satisfactory results of the developed test should lead to the development of a test for the broad diagnosis of rare diseases in newborns in the future. Chris Kyriakidis, CEO and founder of gMendel®, talks about the product, which is the goal of the collaboration between gMendel® and genXone:
This investment demonstrates genXone’s strong confidence in gMendel’s proprietary technology and our shared vision to revolutionise the diagnosis of genetic disorders through gMendel®️Test as an accurate, affordable and rapid screening technology. Over the past months, our partnership has matured and the current investment is an attractive opportunity to expand the delivery capability of the gMendel®️Test in a wider range of genetic disorders and growing its availability in first instance to the people of Poland through genXone’s access to a vast network of diagnostic laboratories. This is a winning innovation on all levels: for patients, for diagnostic laboratories, for medical professionals and for national healthcare systems.
The expansion of cooperation with gMendel is another project recently launched by genXone.