FREDERICK, Md. — Akonni Biosystems Inc. and Chinese in vitro diagnostics company Righton have announced a commercial agreement that enables Righton to sell Akonni’s products for nucleic acid purification and molecular diagnostics to researchers, clinical laboratories and hospitals in China.
The products to be sold include TruTip, Akonni’s best-in-class sample preparation technology, a low-cost, simple and effective method to purify DNA and RNA from the most difficult sample types.
In addition, for diagnostic applications, Righton plans to commercialize Akonni’s TruDiagnosis system based on the proprietary TruArray multiplexed diagnostic solutions.
Righton has made an equity investment of $7.5 million in Akonni’s series D fundraising round, bringing the total investments in the Series D round to $13.9 million.
The two-way license agreement also grants Akonni exclusive rights to Righton’s extensive molecular diagnostic product portfolio outside of China.
Righton has established itself as a major player in the $1 billion molecular diagnostics industry in China, with 28 diagnostic tests approved by the China Food and Drug Adminisration, a well-established customer base, distribution and manufacturing infrastructure, and 2017 annual revenues exceeding 180 million RMB, the Chinese currency, or roughly $28.5 million.
Righton’s established diagnostic tests focus on leukemia, lymphoma and solid tumors in oncology, as well as 30 infectious diseases.
They have an established customer base in more than 400 tertiary hospitals in 29 provinces in China.
Akonni Biosystems was founded in 2003 and has been issued 21 U.S. and 37 international patents.
Righton, founded in 2010, is a high-tech company devoted to research and development, manufacturing, sales and third-party clinical examination services for clinical molecular diagnostic products.