VolitionRx (NYSE-A:VNRX) Ltd has struck an exclusive $28 million deal with veterinary diagnostic firm Heska Corporation to license and sell the former's Nu.Q vet cancer screening test at the point-of-care for pets.
Heska will receive the worldwide rights to sell the test while VolitionRx will get a $10 million upfront payment on signing and up to $18 million based upon near to mid-term milestones.
The deal gives Heska exclusive rights to commercialize the test for dog cancer screening and monitoring at the point-of-care. It also enables Heska to access a wider test menu for companion animals, including for cat cancer.
"We are thrilled to announce this agreement with Heska, a company dedicated to developing the next generation of rapid, highly affordable, point-of-care diagnostics for companion animals," Dr Tom Butera, the CEO of Volition Veterinary Diagnostics Development told investors.
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"We estimate the total addressable market worldwide for cancer screening and monitoring in canines and felines to be approximately $11 billion and growing. As such, we want to make our Nu.Q Vet Cancer Screening Test as accessible as possible to veterinarians around the world, ensure cancer is detected earlier, and improve outcomes for pets and pet owners," he added.
Meanwhile, Kevin Wilson, Heska's CEO, added: "Upon commercialization, which could begin as early as late 2022, we believe our Heska Nu.Q Vet Cancer Screening Test will allow veterinarians across the globe to detect cancer early, in the clinic, in minutes, and for under $50 to support clinical decisions during annual check-ups, regular wellness exams, healthcare interventions, treatment cycles, and remission."
The Veterinary Cancer Society estimates one in four dogs and nearly 50% of dogs over ten years will develop cancer. According to the National Cancer Institute, in the USA, around 6 million new cancer diagnoses are made in dogs each year.
Volition is a multi-national epigenetics company that has developed simple, easy-to-use, cost-effective blood tests to help diagnose and monitor a range of life-altering diseases including some cancers and diseases associated with NETosis such as sepsis and COVID-19.
The firm is mainly focused on human diagnostics and monitoring but also has a subsidiary focused on animal diagnostics and monitoring.
Contact the writer at giles@proactiveinvestors.com