Lexagene Holdings Inc (CVE:LXG) (OTCMKTS:LXXGF) was one of the biggest gainers on thursday as the stock went up on above average volume after the news. The stock has been witnessing a nice uptrend over the past month with a jump of around 27%. Will the Rally continue?

LexaGene detects a slow-growing bacterium at least 36-times faster than conventional methods with the potential to increase vaccine safety and supply

Key Highlights:

• announced it has successfully utilized the MiQLab™ System to detect the presence of a slow growing bacterium, responsible for millions of dollars of damages to biopharmaceutical manufacturers.
• Contamination within bioreactors is a common occurrence as it is dependent on mammalian culture. It is critical to keep bioreactors free of unwanted microorganisms. Vaccines made from culture must be free of microorganisms for safety and contaminated batches must be destroyed.
• Recently, Emergent Biosolutions had to discard 15 million doses of the Johnson & Johnson Covid-19 vaccine due to quality issues when it was most needed in order to ensure a safe vaccine supply.1,2 Microbial contamination has been responsible for vaccine recalls and vaccine scarcity highlighting the need for rigorous contamination testing during manufacturing process.3,4 One of the more common contaminants in bioreactors is Cutibacterium acnes (C. acnes), a commensal bacterium on human skin.

Key Quote:

Dr. Jack Regan, LexaGene’s CEO and Founder stated, “Last fall, a global biopharmaceutical manufacturer contacted LexaGene and purchased a MiQLab System as they wanted to improve their already stringent quality assurance program centered around their bioreactor work. This manufacturer continues to regularly use the MiQLab System. As a result of discussions with this customer, LexaGene is working to expand the number of targets included in its bioreactor contamination panel and we expect our efforts supporting this customer and the industry in general will drive additional sales this summer.”

Market Reaction

On Thursday, LXG stock jumped by 20.35% to C$0.71 with more than 847K shares shares traded hands, compared to its average volume of 143 shares. Over the past year, the stock has moved within a range of $0.4800 – 1.5400.