Collagen Solutions PLC (LON:COS) shares moved up in early trading Tuesday after it signed a manufacturing agreement for the Excellagen product with Olaregen Therapeutix, a New York-based firm focused on products in the wound care market.
Under the agreement, AIM-listed Collagen will manufacture Excellagen for Olaregen following a deal signed in September 2018 between the latter and US biotechnology firm Gene Biotherapeutics, for whom Collagen originally made the product and assisted in its development.
Collagen said that following the agreement between Olaregen and Gene Bio, it was supporting the launch of Excellagen, which is scheduled for the first half of 2019.
Excellagen is designed to treat wounds that are often complex and difficult to heal such as diabetic foot ulcers, burns, and venous (leg) or pressure ulcers among others.
Jamal Rushdy, Collagen’s chief executive, said the new agreement was consistent with the group’s strategy of moving up the value chain by “collaborating with industry partners to develop and launch innovative products”.
Anthony J Dolisi, the chief executive of Olaregen, said the firm had “the utmost confidence” in Collagen, adding that the agreement “may be our most important partnership”.
Shares were up 1.4% at 3.7p.