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BioNexus Gene Lab Corp. Completes Strategic Investment in Fidelion Diagnostics; Secures 15% Equity Stake in Global AI-Oncology Platform and Exclusive Southeast Asian Rights for VitaGuard™
Globenewswire· 2025-12-03 13:45
Core Insights - BioNexus Gene Lab Corp. has completed a strategic transaction with Fidelion Diagnostics and Tongshu Biotechnology, enhancing its position in precision diagnostics and gene-based technologies [1][2] Strategic Acquisition - BGLC has acquired a 15% equity stake in Fidelion Diagnostics, which holds exclusive global commercial rights (excluding Greater China) to the VitaGuard™ Tumor-Naïve AI-oncology platform, providing BGLC shareholders with participation in Fidelion's international expansion [3] - The transaction allows BGLC to secure exclusive, perpetual rights to manufacture, market, and distribute the VitaGuard™ platform across all ASEAN markets, establishing it as the sole provider of this technology in a rapidly growing oncology region [4] Market Opportunity - The healthcare landscape in Southeast Asia is modernizing, with increasing demand for precision diagnostics and non-invasive cancer management tools, positioning BGLC to capture early-mover advantage [5] Transaction Structure - The deal was structured to maximize balance-sheet strength and minimize dilution, enabling BGLC to accelerate market entry and expand regional sales functions while preserving shareholder value [6] Value Creation Model - The transaction establishes a dual-asset value creation model, combining a high-margin commercial asset through exclusive ASEAN rights and an investment asset via the equity stake in Fidelion, ensuring benefits from both immediate commercial activity and long-term enterprise value creation [7][8] Financial Arrangement - The equity stake was acquired through a non-cash share exchange, aligning long-term interests between BGLC and Fidelion, while the commercial license fee is payable over 24 months, matching outflows to expected inflows [9] Management Commentary - The CEO of BGLC emphasized that this partnership elevates the company's strategic position, providing two distinct value levers: regional commercial expansion and exposure to Fidelion's international growth [10]