Lumos Diagnostics (ASX:LDX) withdraws from RAT manufacturing facility project with VIC government – ​​The Market Herald


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  • Lumos Diagnostics (LDX) withdraws from its deal with the Victorian Government to establish a local rapid antigen tests (RAT) manufacturing facility
  • Lumos announced that the Victorian State Government intended to potentially support the company in building a RAT manufacturing facility in Victoria.
  • However, LDX CEO Doug Ward says Lumos is now not in a position where it can commit to providing the capital investment and human resources required to support the facility
  • Meanwhile, Lumos has filed an appeal to the US Food and Drug Administration (FDA) regarding the regulator’s rejection of the Lumos FebriDx product application last month
  • LDX shares are up 7.69 per cent to trade at 5.6 cents per share as of 1:43 pm AEST

Lumos Diagnostics (LDX) has backed out of its deal with the Victorian Government to establish a local rapid antigen test (RAT) manufacturing facility.

Earlier this year, Lumos announced that the Victorian State Government intended to potentially support Lumos in building a RAT manufacturing facility in Victoria.

However, Lumos CEO Doug Ward today said the company was not currently in a position where it could commit to providing the capital investment and human resources required to support the establishment of such a facility within the intended timeframes.

“While we continue to see great potential for establishing a diagnostics capability in
Victoria, at this time Lumos needs to focus on leveraging its existing assets rather than investing in new assets,” Mr Ward said.

“Lumos is currently concentrating on securing regulatory clearances to drive commercial sales revenue from its portfolio of point-of-care diagnostics products, and on leveraging its reader technology and established development services and manufacturing capability in Carlsbad, to grow its commercial services business.”

In line with this, the company also announced this morning it had filed an appeal to the US Food and Drug Administration (FDA) regarding the regulator’s rejection of the Lumos FebriDx product application last month.

Lumos said it continued to believe the product could play an important role in the States in differentiating between viral and bacterial infections in patients.

Meanwhile, last week, the company said it would be closing its operations facility in Sarasota, Florida, to reduce spending and improve cash flow.

LDX shares were up 7.69 per cent to trade at 5.6 cents per share as of 1:43 pm AEST.

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