NEW YORK (GenomeWeb) – Avalon GloboCare said today that its newly formed, majority-owned subsidiary GenExosome Technologies has acquired 100 percent of the outstanding capital stock of a Chinese exosome technology company called Beijing Jieteng (Beijing GenExosome) Biotech.
The new Avalon-owned GenExosome subsidiary has also closed an asset purchase agreement with the Beijing firm's CEO Yu Zhou, which pertains to Zhou's IP, patents and patent applications for research, development, and commercialization of exosome technologies.
According to Zhou — who will serve as coCEO of Avalon's new GenExome subsidiary along with Avalon's President and CEO David Jin — the company's exosome isolation system allows for the efficient capture of exosomes from especially small volumes of body fluids.
"We believe our system is transformative to the industry as the technology will allow for the diagnosis of certain diseases that were previously impossible to accurately determine due to the limited availability of patient samples," he said in a statement. "Our studies have shown that our isolation system is more efficient and effective than what is available today."
Avalon said that additional details of the transaction are available in a form filed with the Securities & Exchange Commission on Oct. 27. Specifics include an agreed payment from GenExosome to Zhou of $876,087 in cash as well as 500,000 shares of Avalon common stock and 400 shares of GenExosome common stock.
This is in addition to a $450,000 stock purchase agreement with Zhou's Beijing GenExome for all of the company's issued and outstanding securities.