Investors

OptiBiotix Health plc (AIM: OPTI), a life sciences business developing compounds to tackle obesity, high cholesterol, diabetes and skin care, announces it has entered into license agreement with ALFASIGMA S.p.A. ("ALFASIGMA") to exclusively commercialise food supplements containing OptiBiotix's cholesterol and blood pressure reducing LP_LDL® strain in Italy.

The agreement is a 10 year exclusive license agreement with an upfront payment and royalties with five figure guaranteed annual minimum payments. Under the terms of the agreement, ALFASIGMA will obtain the license to promote food supplements containing LP_LDL® throughout Italy for cardiovascular health, with the aim of maximising the financial return for both parties.

ALFASIGMA, is an integrated multinational pharmaceutical company with 2017 revenue in excess of €1 billion and 2800 employees globally. Outside of its core Italian market, ALFASIGMA has 16 subsidiaries in Europe, Asia, North & Central America and Africa, and has authorised distributors in more than 70 countries. More than 44% of ALFASIGMA turnover comes from internally developed proprietary products. One of these, Normix/Xifaxan, has reached a worldwide turnover in excess of €1.3 billion through ALFASIGMA partners.

This agreement follows on from the launch of LP_LDL® in the USA and is a strategic step to access high value high growth markets around the world. It extends the commercialisation of LP_LDL® into Italy, the largest probiotic supplement market in Europe, and the second largest market in the world. Italy is an estimated >$500 million probiotic supplements market with a 25% per annum growth forecast to 2021*.

*Market data from 'TRENDS, INNOVATIONS AND OPPORTUNITIES DRIVING THE GLOBAL PROBIOTICS MARKET' (Euromonitor International June 2017).

Per Rehne, Commercial Director of OptiBiotix, commented: "We are excited to announce this 10 year exclusive agreement with ALFASIGMA which expands sales of LP_LDL® into Italy, the largest and fastest growing probiotic market in Europe. ALFASIGMA are one of the largest pharmaceutical companies in Italy with a strong track record in food supplements and pharmaceuticals for cardiovascular health. This agreement provides upfront and guaranteed minimum future payments with LP_LDL® offered in multiple product solutions to consumers in Italy. This agreement is another deal from a very strong pipeline with industry partners of increasing size and revenue potential targeted at the largest and fastest growing markets around the world."

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About OptiBiotix - www.optibiotix.com

OptiBiotix was formed in March 2012 to develop compounds which modify the human microbiome - the collective genome of the microbes in the body - to prevent and manage human disease.

The aim of OptiBiotix is to discover and develop microbial strains, compounds and formulations, which modulate the human microbiome and can be used as food ingredients and supplements or active compounds for the prevention and management of human metabolic diseases, examples of which include obesity, cholesterol and lipid distribution and diabetes.

OptiBiotix has established a pipeline of microbiome modulators that can impact on lipid and cholesterol management, energy harvest and appetite suppression. The development pipeline is fuelled by its proprietary OptiScreen® and OptiBiotic® platform technologies designed to identify metabolic pathways and compounds that impact on human physiology and bring potential health benefits.