Mr. Cameron Groome reports

MICROBIX ACHIEVES NEW QAPS SALES RECORD

Microbix Biosystems Inc. has secured record purchase orders (POs) for over $1-million of its quality assessment products (QAPs) from a leading global maker of infectious disease diagnostic tests, QuidelOrtho Corp., for its largest set of QAPs POs to date.

The POs are for Microbix QAPs formatted onto Copan FLOQSwabs to support the use of point-of-care tests (POCTs) for multiple infectious diseases and disease categories. The QAPs will be supplied to QuidelOrtho for two applications: (i) inclusion into kits/boxes of test consumables at a fixed ratio on a white-label basis, and (ii) as Microbix-branded ONBOARDx kits for verification, validation and training at new instrument-user installations. When included in kits/boxes, test users should use a test cartridge and the QAP every time a new box is opened -- to verify operator competency, cartridge and reagent function, and instrument operation as an integral part of the POCTs' quality management system.

The POs are targeted for delivery principally in the fourth quarter of calendar 2023. This set of POs is nearly equivalent to a full quarter's worth QAPs sales from 2022 and is indicative of Microbix beginning to realize its targeted sales growth for this segment. The unit number of QAPs supplied under the POs is in the tens of thousands and Microbix expects continuing sales to QuidelOrtho, with which it executed a purchase and supply agreement on Aug. 10, 2022.

Management believes this order substantiates diagnostics industry trends that are beneficial to Microbix and its QAPs business. Specifically, that (i) there is a growing volume of POCT sales; (ii) diagnostics makers must integrate test controls (QAPs) with their POCTs for quality management and regulatory compliance; and (iii) safe, reliable, room-temperature stable and FLOQSwab-formatted QAPs are the optimal in-kit controls for POCTs. These trends relate to both antigen and molecular test formats, as do the POs.

Cameron Groome, chief executive officer and president of Microbix, stated: "We're delighted to advance our relationship with QuidelOrtho and support their emerging POCTs with our expertise and capabilities. We're thankful for their confidence and look forward to the success of their diagnostic tests across the global marketplace while we continue expanding our manufacturing capacity and range of QAPs, reagents and antigens."

Phil Casselli, senior vice-president of sales and business development of Microbix, also commented: "Over the last several years, we've refined our expertise and expanded our product range supporting the POCT industry. These orders are the result of those efforts. We strongly believe multipathogen POCTs will become more prevalent in society as they can deliver more timely results, improved access and net cost savings. Our team is proud to be helping to enable this evolution."

About Microbix Biosystems Inc.

Microbix Biosystems creates proprietary biological products for human health, with over 100 skilled employees and annualized sales now targeting $2-million per month. It makes a wide range of critical ingredients and devices for the global diagnostics industry, notably antigens for immunoassays and its laboratory quality assessment products (QAPs) that support clinical lab proficiency testing, enable assay development and validation, or help ensure the quality of clinical diagnostic workflows. Its antigens drive the antibody tests of approximately 100 diagnostics makers, while QAPs are sold to clinical lab accreditation organizations, diagnostics companies and clinical labs. Microbix QAPs are now available in over 30 countries, supported by a network of 10 international distributors. Microbix is ISO 9001 and 13485 accredited, U.S. Food and Drug Administration registered, Australian Therapeutic Goods Administration registered, and Health Canada establishment licensed, and provides CE marked products.

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