Immuron taps NZ dairy for colostrum production

Immuron (ASX:IMC) has contracted New Zealand's Synlait Milk to produce hyperimmune colostrum for its products, including its Travelan treatment for travellers' diarrhoea.

Melbourne-based Immuron has made the arrangement to accommodate an expected ramp-up in the volume of Travelan production.

In November, Immuron signed a deal worth up to C$115 million ($113.5 million) with Canadian pharmaceutical company Paladin Labs, covering distribution of Travelan in Canada, Latin America and sub-Saharan Africa.

Immuron CEO Joe Baini said the deal with Synlait is key to fulfilling the expected demand from this and other potential distribution contracts.

“As Immuron embarks on an era of increased global distribution of Travelan and other products, it is imperative to have a partner able to accommodate the anticipated significant increase in supply capacity,” he said.

The company produces the antibodies used in its products from bovine colostrum, the first milk a cow gives after its young is born. Colostrum is naturally rich in antibodies.

As part of Immuron's production process, cows are immunised prior to the production of the colostrum. The resulting hyperimmune colostrum is then freeze-dried into a powder.

Synlait Milk is a dairy processing company specialising in producing infant and adult nutritional formulations, functional food ingredients and specialised health products.

Early this year, Immuron entered a partnership with Monash University to develop products to prevent and treat C difficile infections using Immuron's colostrum technology.

The company is also at the trial stage for an influenza treatment, and in November last year submitted an Investigational New Drug (IND) application with the US FDA, covering a drug for the treatment of fatty liver diseases including Nonalcoholic steatohepatitis (NASH).

IMC shares were trading 5.88% higher at $0.018 as of 2:30pm on Monday, the day the partnership was announced.