SGX queries Biolidics on A*Star licence deal

Singapore

THE Singapore Exchange (SGX) on Wednesday posed a series of queries to Biolidics about the details of a licence agreement the Catalist-listed firm had inked as well as the timing of its trading halt and announcement.

In a filing late Tuesday night, Biolidics said it had on July 9 entered into a five-year licence agreement with Accelerate Technologies, the commercialisation arm of the Agency for Science, Technology and Research (A*Star), to use the agency's technology for the detection of Covid-19 viral spike/Angiotensin-Converting Enzyme 2 (ACE2) blocking antibodies.

Biolidics added that it was aiming to develop new serology tests which incorporate the technology.

Shares of the Covid-19 test kit maker jumped 29.3 per cent on Monday before the firm called for a trading halt at 12.19pm. It made the A*Star announcement on Tuesday after market close.

SGX asked Biolidics to provide reasons for the delay in announcing the agreement, seeing as it was signed several days ago, and whether its sponsor was aware and consulted on the disclosure of the matter, and what advice the sponsor gave.

The bourse operator also asked when Biolidics' board and sponsor had approved the announcement.

Under the five-year licence pact, Accelerate Technologies is granting Biolidics non-exclusive worldwide rights to the technology for diagnostic use, to further develop the technology and to market new serology tests that incorporate the technology. SGX asked Biolidics whether it provided any consideration or outlay for being granted these rights to use A*Star's technology. Biolidics is also required to disclose the rights assignment for the products and technologies that it will subsequently develop using the technology.

As for Biolidics's intention to further develop the technology, the bourse operator questioned the company on its ability and efforts to do so. SGX requested for any projected timeline for Biolidics to successfully develop the technology.

SGX also asked whether there were conditions to be met before Biolidics can market the serology tests that incorporate the technology, into its Covid-19 antibody test kit or into any other form of serology tests.

Lastly, Biolidics is required to disclose when it expects to be able to market the serology tests that incorporate the technology, as well as how far along the company is in successfully incorporating the technology into its Covid-19 antibody test kit or any other form of serology tests.

Biolidics must respond via a filing on SGXNet by Thursday.

Biolidics said on Tuesday that most commercially available serology tests against Covid-19, including its own Covid-19 antibody test kit launched on March 30, are not able to detect specific antibodies which bind to the novel coronavirus and interfere with its ability to infect target cells. As such, these tests are currently used only as an assistive detection tool.

Biolidics said serology tests incorporating A*Star's technology allow for the detection of Covid-19 viral spike/ACE2 blocking antibodies that may interfere with the ability of the virus to infect target cells, and could provide an indication of protective immunity against Covid-19.

But it said that there is currently little information on the level of antibodies sufficient to confer protective immunity to an individual, and how long such protective immunity against Covid-19 may last in an individual. "There is no certainty that the group will be able to successfully commercialise the serology tests which incorporate the technology, if developed."

Shares of Biolidics ended Wednesday at 43.5 Singapore cents, down 8.5 Singapore cents. Some 53.1 million shares changed hands.