Therma Bright Investigates Spinoff of its Consumer Products
Toronto, Ontario–(Newsfile Corp. – November 4, 2020) – Therma Bright Inc. (TSXV: THRM) (“Therma Bright” or the “Company”), a progressive medical device technology company announces that it has created a new venture, called Torion Biosciences Inc. (“Torion”) with a mandate to develop, license and commercialize a rapid antigen test for screening of both symptomatic and asymptomatic individuals, infected or suspected of being infected with the COVID-19 virus. Therma Bright will control 50% of Torion with the remaining 50% controlled by others including a number of veteran biotech executives as the primary shareholders of Torion.
Therma Bright has terminated its co-development agreement with Orpheus Medica, and key personnel from Orpheus will be consulted by Torion as required. Torion is currently in late-stage discussions to acquire a series of biological candidates as primary reagents for CoviSafe™. These molecules have demonstrated excellent sensitivity and specificity in initial feasibility studies. CoviSafe™ will be advanced into patient sample validation followed by prospective clinical studies with the newly acquired biological molecules. CoviSafe™ product development will be carried out by nanoComposix, as announced on October 21, 2020.
As reported on September 15, 2020 the initial application of the CoviSafe™ test will be for symptomatic patients and administered by health care professionals for which Therma Bright will seek FDA, Health Canada and the CE mark for fast track or expedited approval. Within several weeks Therma Bright will test the performance of CoviSafe™ by validating the technology through pilot testing in symptomatic patients. Once CoviSafe™ is validated and regulatory approvals secured, it will be rolled out as a screening test for home-use to monitor large populations of healthy individuals that are asymptomatic for illness. The goal is to provide our solution for routine and widespread testing at homes, schools, workplaces, or sporting events.
In light of the recent advancements with CoviSafeTM, the Board of Directors of Therma Bright is evaluating the merits of a potential transaction to transfer its consumer products to a new subsidiary (“SpinCo”) that would then be spun out to the Therma Bright securityholders. The intent of the transaction would be twofold: (1) permit Therma Bright to focus its efforts on advancing the CoviSafeTM and products; and (2) position SpinCo to operate as an independent company that would seek a separate public listing and focus on building and advancing the consumer products that were the basis of the Company’s business prior to its involvement with CoviSafeTM.
Therma Bright makes no assurance that a spinout will occur as it would be subject to many conditions that include the CoviSafeTM and products being sufficiently advanced so as to permit the Company to maintain its stock exchange listing without the consumer products, SpinCo satisfying stock exchange listing requirements, the assessment of legal and tax consequences; determining the specific details of such a transaction, receipt of shareholder approval, receipt of all regulatory and other required approvals, the availability of financing for SpinCo and market conditions. Therma Bright will provide further details if and when available.
Rob Fia, CEO of Therma Bright commented, “By creating Torion, Therma Bright will own a significant percentage of the venture and the future commercial sales of CoviSafe™. Our capacity, through our partners, will enable us to manufacture pilot test kits for feasibility and research purposes very quickly. We are looking forward to reporting back on this pilot testing in the near future.”
Therma Bright is not making any express or implied claims that its product, CoviSafe™, has the ability to eliminate or cure COVID-19 (or SARS-CoV-2 virus).