Lifera and CENTOGENE, Enter Strategic Collaboration - Forming Saudi Arabian Joint Venture to Increase Access to Leading Data-Driven Multiomic Testing
- Joint Venture (JV) combines CENTOGENE's global leadership in multiomics with local insight of Lifera, a biopharmaceutical company wholly owned by the Public Investment Fund (PIF) based in Riyadh.
- JV focuses on providing state-of-the-art multiomic testing services to patients, health systems, biopharma clients, and research institutions in Saudi Arabia and countries of the Gulf Cooperation Council (GCC). CENTOGENE today is one of the largest providers of genetic testing services to this market.
- High-quality services will translate genetic insights into data-driven, life-changing answers – accelerating precision medicine, expanding population health programs, improving turnaround times on clinical diagnoses, and building capabilities and capacity in Saudi Arabia to foster global research and collaboration.
- The JV will help enable the Saudi Vision 2030 and several other national priority initiatives related to genomic testing and the growth of the Saudi Arabian biotech sector.
- CENTOGENE will receive a $30 million investment in the form of a mandatory convertible loan with a six-month term and a conversion price of $2.20 per share of CENTOGENE's common stock, as well as significant JV performance-related milestone payments and revenue-based royalties until the year 2033.
RIYADH, Saudi Arabia, July 2, 2023 /PRNewswire/ -- CENTOGENE N.V. (Nasdaq: CNTG), the essential life science partner for data-driven answers in rare and neurodegenerative diseases, and Lifera, a biopharmaceutical company wholly-owned by the Public Investment Fund (PIF), have announced a strategic collaboration with the formation of a Joint Venture (JV) to increase local and regional access and rapid delivery of world-class multiomic testing to patients in Saudi Arabia and countries of the Gulf Cooperation Council (GCC). Under the terms of the collaboration, CENTOGENE will receive a $30 million mandatory convertible loan from Lifera.
CENTOGENE, the current market leader in outsourced genetic testing for patients in Saudi Arabia, will provide its leading diagnostics and multiomics expertise to the JV, which together with Lifera's strong local presence and resources, will establish widespread access to local state-of-the-art genetic sequencing tailored to regional needs. The JV will build an advanced laboratory and bioinformatics infrastructure – leveraging the CENTOGENE Biodatabank, the world's largest real-world integrated multiomic data repository in rare disease biobanks globally and neurodegenerative diseases, which has more than 70 million and over 35,000 Saudi Arabian patient datasets. The JV will develop capabilities for genetic testing and interpretation working collaboratively with CENTOGENE globally – serving as a vehicle for large national screening and genomics programs. As such, patients in Saudi Arabia and the GCC, a rapidly growing region with over 56 million inhabitants, will have increased access to the world's most advanced and effective diagnostic offerings, which is at the core of Lifera's strategic objectives, contributing to improving national resilience and health outcomes in Saudi Arabia.
Dr. Ibrahim Aljufalli, Chairman of the Lifera Board, said:
"This strategic collaboration is a reflection of Lifera's mission to grow Saudi Arabia's biopharma sector. With CENTOGENE's expertise in the field of rare, metabolic and neurodegenerative diseases, we see tremendous potential value for the JV to provide more timely and accurate diagnoses which are crucial to patients and their families, driven by a comprehensive diagnostic portfolio that goes beyond standard laboratory testing and medical interpretation. This collaboration will also enable biopharma research in rare diseases and provide resources to foster collaborative research across Saudi Arabia and with global partners."
Kim Stratton, Chief Executive Officer at CENTOGENE, said:
"Teaming up with Lifera marks a significant step forward in our mission to deliver data-driven, life-changing answers to patients around the world and forms a pathway to achieving sustainable growth and profitability for CENTOGENE."
And added:
"As part of Vision 2030, Saudi Arabia has designed impressive programs to improve health outcomes throughout the region. This JV will now build on CENTOGENE's extensive know-how and current leading position in the Saudi market, as well as Lifera's deep understanding of the local healthcare landscape to actively contribute to these healthcare initiatives. This, along with Lifera's investment, secures CENTOGENE a committed strategic partner for the future."
Under the terms of the agreement, Lifera and CENTOGENE will make an investment into the JV. CENTOGENE will also be eligible for significant JV performance-related milestone payments and revenue-based royalties until the year 2033. Both parties will be represented on the board of the JV. The agreement also foresees that two Lifera representatives will join CENTOGENE's Supervisory Board.
Notes:
About Lifera
Lifera is a new biopharmaceutical company dedicated to advancing Saudi Arabia's biopharmaceutical sector and building national health resilience. By developing local manufacturing capacity for vaccines, insulin, plasma therapeutics and other biologics, as well as investing in genetic testing and precision medicine, Lifera aims to ensure people in Saudi Arabia have access to reliable and affordable medicines.
For more information visit www.lifera.com.sa
About CENTOGENE
CENTOGENE's mission is to provide data-driven, life-changing answers to patients, physicians, and pharma companies for rare and neurodegenerative diseases. We integrate multiomic technologies with the CENTOGENE Biodatabank – providing dimensional analysis to guide the next generation of precision medicine. Our unique approach enables rapid and reliable diagnosis for patients, supports a more precise physician understanding of disease states, and accelerates and de-risks targeted pharma drug discovery, development, and commercialization.
To discover more visit www.centogene.com
More information, Forward-Looking Statements & The full press release can be found at:
www.lifera.com.sa
www.centogene.com
SOURCE CENTOGENE; Lifera
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