(Alliance News) - OptiBiotix Health PLC on Tuesday said it has entered into a one year exclusive distribution agreement with Prosperous Pharma.
Prosperous is a Lebanon-based licensed pharmaceutical distributor marketing medical devices.
The life sciences company - which develops compounds to tackle obesity, cardiovascular disease and diabetes - said the contract grants Prosperous exclusive rights to distribute and commercialise OptiBiotix's SlimBiome Medical to the Gulf Cooperation Council States and the Levant. These are made up of: Saudi Arabia, Kuwait, Qatar, Bahrain, the Sultanate of Oman, Jordan, Egypt, and Lebanon.
Prosperous also secured co-exclusive rights for the United Arab Emirates for an initial period of one year, to be extended if the conditions set in the business plan outlined in the contract are met. Market exclusivity is linked to minimum order quantities, OptiBiotix explained.
"This region has one of the highest prevalence rates in obesity and other chronic diseases. We will leverage our experience in pharmaceutical marketing and access to distribution channels to deliver as much value as we can," said Prosperous Chief Executive Mohammed Kadi.
"Importantly, we have structured the deal to allow for an immediate contribution to our bottom-line and whilst we have initiated work with Prosperous to register SlimBiome Medical with local health authorities, we do not need to wait for the formal approval to start selling our medical device," added Fred Narbel, managing director of Optibiotix's prebiotics division.
AIM-listed OptiBiotix shares were trading 2.4% higher in London on Tuesday at 27.90 pence each.
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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OptiBiotix Health (OPTI)