Therma Bright Enters Into a Binding Letter of Intent with Orpheus Medica to Develop a Rapid Test to Detect COVID-19 Virus in Saliva
Toronto, Ontario--(Newsfile Corp. - July 7, 2020) - Therma Bright Inc. (TSXV: THRM) ("Therma" or the "Company"), a progressive medical device technology company, is pleased to announce that it has entered into a binding letter of intent with Orpheus Medica Inc. ("Orpheus") to partner in the development of a rapid saliva test for the detection of the virus (SARS-CoV-2) causing COVID-19. Therma will provide funding for the project in phases ("Phase" or "Phases") as certain milestones are achieved and will provide medical device expertise to support accelerating the development of the rapid COVID-19 screening test to address the ongoing pandemic situation.
The initial Phase 1 participation by Therma will involve the issuance to Orpheus of 1,000,000 Therma common shares and 1,000,000 warrants exercisable at $0.05 per share with a 5-year expiry. The shares and warrants will be issued to Orpheus upon achieving certain milestones in the course of Phase 1, which is expected to be completed in the next 30 days. Should the parties decide to move forward, funding in the amount of $300,000 will be provided by Therma for Phase 2 and additional funding should the parties decide to move forward to Phase 3.
The project will integrate Orpheus' novel biologics platform, coupled with third party rapid detection and portable device technology, to develop a reliable palm-sized test for screening of COVID-19 virus in saliva. Orpheus and its academic collaborators have already spent over $500,000 on the development of a series of novel biologic-based detection reagents that are protected by existing intellectual property and know-how.
The proposed COVID-19 rapid saliva test is intended to have unique features such as high sensitivity, accuracy and specificity while delivering results in less than 20 minutes. Orpheus has substantial experience developing rapid tests, including roadside THC drug screening kits for saliva and other biological samples. The design and development of the fundamental components of the proposed test has already begun, which will allow Therma and Orpheus to deliver a solution quickly to the Canadian and global market.
The parties' arrangement is subject to completion of due diligence and successful negotiation of comprehensive terms and conditions of a definitive development project agreement. The parties' arrangement, including the issuance of shares and warrants to Orpheus as described above, is subject to acceptance by the TSX Venture Exchange.
Dr. Saeid Babaei, Chairman & CEO of Orpheus Medica commented, "We are pleased and encouraged to enter into this partnership with Therma and our academic collaborators to fast track our unique saliva rapid test. This relationship further validates our ability to develop and commercialize novel screening and diagnostic biological molecules combined with our development partner's medical device platforms and access to COVID-19 patient samples."
Mr. Rob Fia, CEO of Therma Bright commented, "We are very pleased to have entered into this joint development arrangement with Orpheus Medica. The companies recognize the mutual business benefit that could be achieved through collaboration. More importantly, the test would make large scale screening and detection more readily accessible to more individuals worldwide. In addition to offering a reliable test that would be cheaper, less invasive and easier to use, it would also reduce the risk posed by routine COVID-19 testing to both patients and front-line medical professionals."
As outlined in a press release on May 11, 2020, Therma continues to work towards producing personal protective equipment and is currently awaiting a response from government agencies for the grants and other funding Therma has applied for. Therma will report back to investors as information materializes.
About Therma Bright Inc.
Therma Bright is a progressive medical device technology company focused on providing consumers and medical professionals with quality medical devices that address their medical and healthcare needs. The Company's initial breakthrough proprietary technology delivers effective, non-invasive and pain-free skincare. Therma Bright received a Class II medical device status from the FDA for its platform technology that is indicated for the relief of the pain, itch, and inflammation of a variety of insect bites or stings. The Company received clearance for the above claims from the US FDA in 1997.
About Orpheus Medica Inc.
Orpheus Medica is a privately held Canadian biotech company focused on the development and commercialization of innovative diagnostic and therapeutics for unmet medical needs. Orpheus, with its fully integrated R&D infrastructure, provides strategic partners and collaborators access to its proven and proprietary discovery and development of novel biopharmaceutical products. Our team has over 15 years of proven and validated computational capabilities for analysis and optimization of antibodies and peptides as well as small molecules.
For further information, please contact:
Rob Fia, CEO
Saeid Babaei, Chairman & CEO
FORWARD LOOKING STATEMENTS
Certain statements in this news release constitute "forward-looking" statements. These statements relate to future events such as development and commercialization of a rapid COVID-19 viral assay and related instrumentation, manufacturing PPE and hand sanitizers and applying for government grants to support the Company's future performance. as described in the news release. All such statements involve substantial known and unknown risks, uncertainties and other factors which may cause the actual results to vary from those expressed or implied by such forward-looking statements. Forward-looking statements involve significant risks and uncertainties, they should not be read as guarantees of future performance or results, and they will not necessarily be accurate indications of whether or not such results will be achieved. Actual results could differ materially from those anticipated due to a number of factors and risks. Although the forward-looking statements contained in this news release are based upon what management of the Company believes are reasonable assumptions on the date of this news release, the Company cannot assure investors that actual results will be consistent with these forward-looking statements. The forward-looking statements contained in this press release are made as of the date hereof and the Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
This press release is not an offer of the securities for sale in the United States. The securities have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an exemption from registration. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful.
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