Valley Diagnostics and Sona Nanotech sign Heads of Terms agreement to advance commercialization of Bovine TB Assay

Valley Diagnostics has signed Heads of Terms with Sona Nanotech Inc, establishing a licensing agreement for the commercialization of a Bovine Tuberculosis (bTB) Assay developed by Sona using ValleyDX biomarker IP under licence from Aberystwyth University.

The agreement provides ValleyDX with exclusive rights to the bTB lateral flow assay for the UK and Ireland with first refusal for additional territories. It outlines a milestone-based licensing structure, ensuring commercial scalability for all parties aligned to market success.

The assay has been developed by Sona from ValleyDX-licensed IP that is derived from ground-breaking research at Aberystwyth University, instigated and led by Professor Luis Muir and Dr. David Rooke.

bTB remains a significant challenge for the agricultural industry, with accurate and timely detection, herd management, and movement control being critical to its eradication. Currently, a bTB diagnosis is confirmed through post-mortem examination and tissue culture, a process that can take up to 12 weeks. Infected and exposed animals are typically destroyed, causing substantial losses to farmers.

In the UK alone, bTB costs the government in the region of £100 million each year, and without intervention, government estimates project costs to exceed another £1 billion over the next ten years. The disease also remains a pressing issue in Europe, where many millions of statutory bTB screening tests were carried out across multiple countries in 2018, including France, Belgium, Italy, as well as the UK.

“The bTB lateral flow assay developed by Sona has the potential to be a game-changer in the fight against bTB. By enabling faster, more accessible and cost-effective testing, this solution can significantly improve disease management and help reduce the financial and operational burdens placed on farmers and regulators. We are excited to partner with Sona to bring this technology to market and support its adoption in key regions” said David Taylor, CEO at Valley Diagnostics.

Darren Rowles, Head of Diagnostics at Sona Nanotech, added, "This test has the potential to have a significant positive impact on how bTB is managed and help in the eradication of this disease from the UK and Ireland. By partnering with a UK based entity associated with Aberystwyth University as the originator of the biomarker discovery research, and structuring license fees and royalties around commercial success, we’re creating a sustainable and growth-driven partnership that benefits all parties."

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