Nanogen, Inc. a developer of advanced diagnostic products, and American Bio Medica Corporation, a global provider of immunoassay diagnostic test kits, has announced that they have entered into a supply agreement, in which ABMC will sell its rapid drugs of abuse (DOA) tests to Nanogen. Nanogen will market the tests, under their own Tox STATus brand name, to customers in hospital related markets using its existing sales force and distribution network.
The immunoassay DOA tests, which can be used to detect up to 15 commonly abused substances including cocaine, methamphetamine and THC (active ingredient in marijuana), are FDA cleared and CE Marked.
Nanogen currently manufactures and markets its Cardiac STATus immunoassay tests for rapid emergency room detection of heart attacks on a global basis. The ABMC-manufactured tests can deliver results using Nanogen's portable hand-held I-Lynx reader. Nanogen expects to begin distribution of the DOA rapid tests before the end of the year.
"The drugs of abuse products supplied by ABMC expand our ability to meet the point of care needs of our current customers," said Howard Birndorf, Nanogen's chairman and CEO, "and they will also help to attract additional customers. We examined a number of potential partners for penetrating the growing DOA diagnostic market, and we are very pleased with the performance of the ABMC tests."
ABMC CEO Stan Cipkowski stated: "Establishing a partnership to reach markets including hospitals has been a priority for ABMC for some time. I am excited about this opportunity with Nanogen and what it means for sales of ABMC products in markets in which we currently have minimal presence." To date, ABMC's customer base has consisted mainly of the workplace and law enforcement DOA market segments.
A recently issued report from the Substance Abuse and Mental Health Services Administration showed that more than a million emergency department visits in 2004 were related to drug misuse or abuse. According to a Biotechnology Associates Report, the point of care DOA market is expected to exceed $100 million in 2007.