Memphasys (ASX: MEM) is seeking to break into the multi-billion-dollar global artificial insemination market with a number of projects focused on male infertility in animals and humans on the go.
The Australian-based reproductive medicine company has teamed up with global fertility expert Professor John Aitken and his team at Newcastle University to progress a number of new product projects in niche reproductive biology applications which have potential for high value market opportunities.
Programs include the next generation Felix device for human and wider animal market, diagnostics for animal fertility and semen oxidative stress and development of long-life sperm storage media.
In a major win for Memphasys, Professor Aitken – the top ranked world expert in spermatozoa and sperm capacitation (the physiological changes sperm must undergo to be able to penetrate and fertilise an egg) – has increased his workload with the company with a view to progressing these new product initiatives as rapidly as possible.
In 2020, he stepped down from his major leadership position as Pro Vice Chancellor – Medicine and Science, allowing him to once again focus on research & development initiatives.
Technical feasibility studies are being carried out to establish these products’ operational and economic viability. These studies are planned to be completed by the end of Q4 CY2020, at which time it will be determined if any move into R&D phase.
While our primary objective is to bring our Felix device for human IVF into commercialisation, we are not a one product company,” Memphasys Executive Chairman Ms Alison Coutts said.
“Over the past few months, we have strengthened our relationship with Newcastle University by jointly progressing a number of projects focused on male infertility in animals and humans which are now at technical feasibility study stage.
“If successful and requisite internal and external hurdles are met, then these niche products may provide significant additional revenue streams to the Felix device.”
Ms Coutts said in the global animal artificial insemination industry alone, there are significant potential opportunities with the size of the global vet AI market estimated to reach US$2.5 billion by 2026.
“Professor Aitken and his team at Newcastle University have an international reputation in andrology and reproductive biology,” she said.
“Professor Aitken’s decision to work more closely with MEM in order to advance these important initiatives is a strong endorsement of our MEM team and our continuing achievements in the field of reproductive biology.”
Commercialisation of the Felix device for human IVF remains the key focus for Memphasys with first sales still on target for Q4 CY2020.
