Biomagnetics Creates JV to Aid in the Establishment of a Chinese Subsidiary
The company signed on ACGT DNA as a partner for its ties to China’s medical industry.!--h2>
Biomagnetics Diagnostics (BMGP) has formed a joint venture (JV) with ACGT DNA Technologies to establish a presence in China. The JV will work to create a BMGP subsidiary in that country. The goal is to apply for listing on the Shenzhen or Hong Kong Stock Exchange and expand the use of BMGP’s stem cell and genetic engineering platforms.
Since ACGT already has an operating division in China, BMGP will leverage ACGT expertise and ties in the country. BMGP believes that this will help its Chinese division qualify for funding assistance from the government's high-tech Incubator Program.
The new entity will also work on obtaining revenues in China through BMGP'S diagnostics system within the country’s healthcare and food industry. Preliminary letters of intent for providing BMGP's technology in China are currently being finalized.
Additionally, the JV will assess stem cell and genetic engineering opportunities in China. The country does not have the restrictions on stem cell research like the U.S., BMGP notes.
BMGP’s says that its diagnostics platform tests for any viral or bacterial disease using any body fluid. Initial tests will include HIV, hepatitis B, H. Pylori, and HPV. The firm will perform clinical trials in Mexico, Thailand, India, and China in the first or second quarter of 2009 followed by trials in the U.S. and Europe. Biomagnetics plans to have products in use in China by late 2009 or early 2010, followed by U.S. and European sales sometime in 2011.
Clayton Hardman, CEO of BMGP, reports that the company is also currently reviewing a proposal from an Austrian-based genetic engineering company and an independent research foundation that will grant BMGP access to their patented cancer treatment system, viral painting technology, scientists, and laboratories to further explore BMGP's technology.