The Atomo Diagnostics Ltd (ASX: AT1) share price is up today after news the company's Mylan HIV self-test will be expanded in low and middle-income countries. At the time of writing, Atomo shares are trading for 22 cents apiece, 4.88% higher than yesterday's closing price.
Let's take a closer look at the news driving the Atomo share price today.
A step towards health equality
Atomo announced today that its distributer Viatris Inc has made an agreement with global health agency, Unitaid.
The multi-year partnership will see the cost of the Mylan HIV self-test lowered by 50%. Unitaid announced the test will become available for less than US$2 in 135 eligible countries.
The agency said the agreement was a key factor in meeting the global goal of having 90% of people aware of their HIV status. Currently, an estimated 8 million people do not know their HIV status.
Atomo designs and manufactures the HIV self-test. Unlike standard, multi-component HIV tests, it's a handheld device that Atomo says offers "unmatched usability". It works to detect the presence of HIV antibodies in a fingertip blood sample.
The test is prequalified by the World Health Organisation (WHO). WHO has estimated the global HIV self-testing market will increase by around 163% in coming years, demanding 29 million tests by 2025.
Commentary from management
Atomo's co-founder and managing director John Kelly said the partnership signaled a step-up in demand for the HIV self-tests:
This agreement is not just a significant and important moment in the growth of Atomo, it's also further confirmation of the versatility and performance of our unique all-in-one diagnostic test platforms and drives lower costs across the business.
Not only have they proven themselves to be ideal for novel test applications like COVID-19 and anti-microbial resistance, but they are also suitable for deployment as part of mass-screening programs in decentralised settings.
Atomo share price snapshot
The Atomo share price needs all the good news it can get today – it's had a poor run on the ASX lately.
Currently, the Atomo share price is down 30% year to date and has fallen 55% over the last 12 months.
The company has a market capitalisation of around $83 million, with approximately 568 million shares outstanding.
