LBT Innovations lands European sales deal for AI-based laboratory tech
Health & Biotech
Health & Biotech
AI-based biotechnology company LBT Innovations (ASX:LBT) has landed a sale in Europe for its APAS Independence platform.
The company announced a five-year licensing deal for the technology with Germany-based Limbach Group, which operates around 30 laboratories across the country.
Shares in LBT got a bit of a boost in early trade, climbing more than 10 per cent at the opening bell to 13.5c.
LBT’s Automated Plate Assessment System (APAS) uses AI (artificial intelligence) and machine learning to assist in the automated imaging and analysis of culture plates in lab testing.
Following a multi-year development process, company has achieved regulatory approval for the technology in both the US (FDA) and European (CE Mark) markets.
The transaction with Limbach was completed by Clever Culture Systems, a joint venture company 50 per cent owned by LBT.
The deal was struck with Labor Dr Gärtner (LDG), one of Limbauch’s laboratories based in southern Germany, following a six-month evaluation process.
LDG will run LBT’s analysis software used in the detection of MRSA (staph) infections.
Another feature of the agreement was that it was reached via LBT’s direct sales network, separate from its distribution agreement with global diagnostics company Beckman Coulter that was announced in early July.
Speaking with Stockhead, LBT’s head of corporate development Jack Brown said the Adelaide-based company is looking to execute on a two-pronged strategy into global markets.
“Since getting regulatory approval we’ve put in place a European sales executive and a US sales executive,” Brown said.
“What we’re doing with our feet on the ground is to identify early adopters of the tech and complete sales directly.”
“But we want to do that while at the same time, looking to build partnerships that really add scales to what we’re able to do on our own.”
“Those brands (such as Beckman Coulter) have been in this game for 30 or 40 years and they’ve got deep relationships with customers with global recognition.”
“So the strategy is to have our own feet on the ground, and build those direct customer relationships to complement our existing partnerships.”
The APAS instrument will be installed, calibrated and maintained by a local firm, oneservice AG, procured through LBT’s subsidiary Clever Culture Systems (CCS).
Once installed, the company’s European sales executive will conduct “in person user training with the Labor Dr Gärtner staff to ensure the laboratory obtains maximum output”, LBT said.
Along with the five-year software licensing agreement, Limbauch will also pay an ongoing service contract for the APAS instrument.