21st Jan 2025 12:16
(Alliance News) - hVIVO PLC on Tuesday said subsidiary hLAB has signed its "largest contract to date" with an unnamed US-based biotechnology client.
The London-based contract research organisation that tests vaccines for infectious and respiratory diseases said the new contract is valued at GBP2.7 million, bringing the total value of the client project to date to GBP3.2 million.
hLAB is the group's standalone virology and immunology laboratory service provider.
The contract will see hLAB act as the single contracted virology lab for an international phase 2 field study on the client's influenza drug candidate, with study work due to begin "immediately".
Most of the contract's revenue is expected to be recognised in 2025, with the remained in 2026. The other, earlier contract with the client began in the second half of 2024.
Chief Executive Officer Yamin Khan said: "It is wonderful to see hLAB secure its largest contract to date, following the launch of its standalone services in September 2024. hLAB is highly specialisaed and a leader in its field with over 20 years' experience in infectious and respiratory disease drug development.
"This contract underlines another benefit of the move to the group's new Canary Wharf facility, with the additional lab capacity enabling hLAB to service standalone contracts in addition to our human challenge trial work, as well as offering field studies. These services support the group's 'optimise, scale and diversify' growth strategy, by leveraging our existing infrastructure and staff to provide a high-margin new revenue stream."
Shares in hVIVO were up 1.7% at 18.20 pence each in London on Tuesday afternoon. Its shares have fallen 30% over the last twelve months.
By Emily Parsons, Alliance News reporter
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