OBJ (ASX:OBJ) has executed a collaboration agreement with an international manufacturing and distribution partner, initially focused on the commercial development of OBJ’s BodyGuard technology.
The company said the partner is a well-renowned manufacturer and distributor of industrial adhesive tapes for the electronics, automotive, health care, medical devices, packaging and construction industries.
It said in addition to the commercial development of BodyGuard, the agreement will contain provisions for various outcomes from the collaboration including granting the partner first right of refusal to manufacture the BodyGuard product range. The partner will also have the non-exclusive right to distribute the BodyGuard product range in certain markets once it is fully commercialised.
OBJ said it will contribute its knowledge and expertise in formulation and claims support development, while the partner will contribute manufacturing, production engineering, distribution and packaging expertise.
"The partnering corporation is one of the largest adhesive companies in the world, with sales in excess of US$7 billion and more than 100 manufacturing centres globally. It produces transdermal drug patches, medical devices, medical materials, taping products, kinesiology and sports tapes," said OBJ in a statement.
“It is the partner’s vast experience in the manufacture of the world’s leading kinesiology tape products that first attracted us to this potential working relationship,” said Glyn Denison, OBJ’s Non-Executive Chairman.
“Establishing a high-volume, low-cost manufacturing capability is a major objective for BodyGuard as it allows for the development of various formulations required by distributors. The establishment of this collaboration agreement with such a reputable company is a major step forward in the last stage of BodyGuard’s development program, that being a commercial end product that can be economically manufactured. The potential to encompass distribution in the same agreement is an excellent outcome for OBJ.”
OBJ said the collaboration agreement will also lead to it introducing its micro-array technology for possible integration within the partner’s existing product range.