- completed construction of a state-of-the art manufacturing facility, capable of producing Chembio's DPP® Assays, and obtained ISO 13485 certification;
- provided funding to accelerate the development of Chembio's DPP® Dengue Assay, which is expected to be launched in Southeast Asia during the fourth quarter of 2016;
- received regulatory approval to market and sell products in a number of Southeast Asia countries, under both RVR and Chembio brands;
- obtained a key tender award in Malaysia and initiated product sales into Southeast Asia, which RVR expects to result in 2016 revenue in excess of US$1.5 million.
MEDFORD, N.Y., Nov. 04, 2016 (GLOBE NEWSWIRE) -- Chembio Diagnostics, Inc. (Nasdaq:CEMI), a leader in point-of-care (POC) diagnostic tests for infectious diseases, today announced the Company has entered into an agreement to acquire RVR Diagnostics Sdn Bhd (RVR), a Malaysian, privately-held manufacturer and distributor of POC diagnostic tests for infectious diseases. Under the terms of the agreement, Chembio will pay up to US$1.5 million in cash and up to US$2 million in Chembio stock, based on the achievement of certain milestones, and Chembio also will forgive US$250,000 currently owed by RVR to Chembio. The transaction, which is subject to completion of certain due diligence and other matters, is expected to close during the first quarter of 2017, at which time RVR will become a wholly-owned subsidiary of Chembio. In 2014, Chembio and RVR entered into two agreements through which RVR acquired rights to license, manufacture and distribute certain Chembio products, including exclusive distribution rights for Chembio's DPP® HIV 1/2 Assay and DPP® HIV-Syphilis Assay in Southeast Asia. Since entering into these agreements, RVR has achieved a number of important milestones, including: