Lumos Diagnostics (ASX: LDX) has completed the first milestone under Phase 2 of its development agreement with Hologic (NASDAQ:HOLX).
This marks a significant step in developing a new fetal fibronectin test.
The development agreement, announced in January, along with an intellectual property agreement, is part of a US$4.7 million ($6.9 million) collaboration to enhance Hologic's pre-term birth diagnostic product.
The first Phase 2 milestone, focused on assay feasibility, earned Lumos US$300,000 ($440,898), with potential total payments under this phase amounting to US$600,000 ($881,795).
Lumos CEO and Managing Director, Doug Ward, stated, "We are proud to receive this milestone payment, which demonstrates the strong progress the Lumos and Hologic are making in developing a new fetal fibronectin test."
With the initial Phase 2 milestone achieved, Lumos is progressing on the remaining milestones.
The fFN test is crucial for pre-term birth diagnostics in the United States, addressing an annual market of approximately 2.5 million tests.
Lumos will keep the market informed as it advances through the remaining milestones under the development agreement.
Lumos Diagnostics specialises in point-of-care diagnostic test technology to help healthcare professionals diagnose and manage medical conditions. The company offers customised assay development and manufacturing services for POC tests and digital reader platforms.
At the time of reporting, Lumos Diagnostics’ share price was $0.032.