Skystar acquires exclusive aquaculture vaccine technology
Skystar Bio-Pharmaceutical Company, a China-based producer and distributor of veterinary and feed products, has purchased an exclusive aquaculture vaccine technology from and signed a collaborative R&D agreement with China's Fourth Military Medical University (FMMU) for RMB 8 million (US $1.2 million).
The contract grants Skystar exclusivity on the vaccine technology patent through 2012.
The vaccine has been shown to be effective in treating and preventing bacterial infections in marine life without harmful side effects.
The patented technology is designed to address the company-estimated $150 million underserved aquaculture market opportunity in China.
Skystar will manufacture its aquaculture vaccine in its new veterinary vaccine facility along with other vaccine products presently produced by the company.
Based on the extended timeline, management currently expects full-year 2010 organic revenue to be between $44.0 to $46.0 million with gross margins between 48% and 54%.
"The purchase of this patented technology and execution of the cooperative research agreement with FMMU represent a significant opportunity for Skystar toward the Chinese aquaculture industry, which we believe represents a sizeable market that has gone underserved by pharmaceutical manufacturers. Our acquisition of this patented technology represents an important and exciting revenue opportunity," said Weibing Lu, Skystar's Chairman and Chief Executive Officer.
The Fourth Military Medical University ("FMMU") is a military institution of higher learning for training middle-and-high level military medical workers for the combined armed forces of the People's Republic of China (People's Liberation Army).
is among the first State Council authorized organizations which confer Doctoral degrees and Masters degrees.
has four product lines (veterinary medicines, micro-organisms, vaccines and feed additives) and over 170 products, with over 40 additional products in the developmental stage.
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