Contribution of $2.75 Million to Scale-up, Meet Demand, and Create Highly-Skilled Jobs
MISSISSAUGA, July 30, 2019 – Microbix Biosystems Inc. (TSX: MBX, Microbix®), an innovator of biological products and technologies, is pleased to announce the execution of a contribution agreement with the Federal Economic Development Agency for Southern Ontario (FedDev Ontario).
Today, the Honourable Navdeep Bains, Minister of Innovation, Science and Economic Development, Minister responsible for FedDev Ontario, and Member of Parliament for Mississauga–Malton, announced a FedDev Ontario contribution of $2,752,500 for Microbix to scale-up production at its state-of-the-art antigen manufacturing facilities – among the largest and most efficient operations of their kind.
Microbix, a developer and manufacturer of biological and technological solutions for human health and wellbeing, produces antigens for infectious disease diagnostic tests. Detection of infectious diseases allows healthcare professionals to better diagnose, treat and prevent the spread of disease worldwide.
FedDev Ontario’s contribution will allow Microbix to outfit its newly-acquired 10,000 square-foot facility, located adjacent to its current 14,000 square-foot facility, and add advanced equipment to boost production of its range of antigens at higher efficiency, greater volume, and superior quality – to meet growing global market demand. This expansion project will also enable Microbix to scale-up operations for the production, filling, labeling, and validation of its quality assessment products (QAPs™) at the new facility. QAPs are used to assess the accuracy of medical tests, leading to optimal patient care.
With this investment, Microbix intends to create up to 100 highly-skilled jobs in science and manufacturing in Mississauga – more than doubling the company’s current workforce. This project also supports the Government of Canada’s Economic Strategy Table on Health and Biosciences by growing our health and biosciences firms to support a more sustainable health system while advancing Canada’s prosperity.
“The life sciences sector in Canada has tremendous potential to become a key driver for our economy. By investing in companies like Microbix, we are boosting our economic growth and creating skilled jobs, while protecting and improving health outcomes in Canada and around the world.”
- The Honourable Navdeep Bains, Minister of Innovation, Science and Economic Development, Minister responsible for the Federal Economic Development Agency for Southern Ontario, and Member of Parliament for Mississauga–Malton
“FedDev Ontario support will be critical in helping Microbix to increase the breadth of its Quality Assessment Products (QAPs™) and to scale-up our production to meet customer needs. We are grateful for this support and excited about the export opportunities that this funding helps to enable. Microbix is proud to be based in Mississauga and to represent our life sciences innovations globally.”
- Cameron Groome, Chief Executive Officer and President, Microbix Biosystems Inc.
- Established in 1988, Microbix Biosystems Inc. is a biotechnology company, listed on the Toronto Stock Exchange, which supplies key biological ingredients (antigens) for infectious diseases tests to over 100 diagnostics companies globally. Its current catalogue of antigens covers over 30 bacterial and viral pathogens implicated in various diseases.
- More than 95 percent of Microbix’s revenue is generated through export sales to American, European and Asian markets.
- Microbix received the Mississauga Board of Trade (MBOT) 2018 Innovation Award as a part of MBOT’s Business Awards of Excellence Program.
- The FedDev Ontario contribution of $2,752,500 will be disbursed over the next four years and will leverage $7.15 million in further investment by Microbix over the same period. The FedDev Ontario contribution is an interest-free subordinated loan that will be repayable over the subsequent six years ending in 2029. The contribution will thereby support up to 30% of expenditures to broaden Microbix’s QAPs portfolio and expand its production.
- This year marks 10 years of FedDev Ontario delivering funding and business services to support innovation and growth in southern Ontario.
This news release includes “forward-looking information,” as such term is defined in applicable securities laws. Forward-looking information includes, without limitation, discussion of the Agreement with FedDev Ontario and its potential benefits, Microbix’ business and business results, goals or outlook, risks associated with financial results and stability, development projects such as those referenced herein, sales to foreign jurisdictions, engineering and construction, production (including control over costs, quality, quantity and timeliness of delivery), foreign currency and exchange rates, maintaining adequate working capital and raising further capital on acceptable terms or at all, and other similar statements concerning anticipated future events, conditions or results that are not historical facts. These statements reflect management’s current estimates, beliefs, intentions and expectations; they are not guarantees of future performance. The Company cautions that all forward looking information is inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond the Company’s control. Accordingly, actual future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. All statements are made as of the date of this news release and represent the Company’s judgement as of the date of this new release, and the Company is under no obligation to update or alter any forward-looking information.
Please visit www.microbix.com or www.sedar.com for recent Microbix filings.
For further information, please contact Microbix at:
Cameron Groome, CEO
Jim Currie, CFO
Deborah Honig, Investor Relations
Adelaide Capital Markets
(647) 203-8793 firstname.lastname@example.org