new-recommended-broker-banner new-recommended-broker-banner

Omega Diagnostics Shares Surged 11.7% Today, Here’s Why

Practice Stock Trading
Updated: 20 October 2020

Shares of Omega Diagnostics Group Plc (LON: ODX) today rallied 11.7% after revealing that it has signed a supply contract with Abingdon Health, a leading UK rapid testing consortium for Covid-19.

The medical diagnostics company clarified that the contract formalised an agreement for Abingdon Health to supply AbC-19 rapid tests to the Department of Health and Social Care.

The deal comes after the British government ordered 1 million Covid-19 lateral flow antibody tests from the consortium.

The contract will see Abingdon Health undertake its own manufacturing with Omega and BBI Solutions also manufacturing and supplying rapid tests to Abingdon Health.

CIGA Healthcare will also conduct assembly services, while Omega will manufacture not less than 25% of the demand from total orders placed, either from the UK government or, where allowed, third party customers.

The company said that: “Pricing of the tests is confidential, however, Omega expects to receive revenue per test which is slightly ahead of market expectations as outlined on 22 June 2020 analyst forecasts.”

Omega Diagnostics share price

Tradingview chart of Omega Diagnostics share price 20102020

Omega  Diagnostics shares today surged 11.7% to trade at 105p having rallied from Monday’s closing price of 94p.

People who read this also read: