Shineco signs $8.7M tech services contract, announces BICC collaboration

Shineco (SISI) subsidiary, Xi’an Dong’ao Health Management has signed a technology services contract valued at $8.7M with Xinke Future Biotechnology for the research and development of “microalgae-derived extracellular vesicles” technology. Separately, a delegation from Singapore’s biotechnology company, BICC, completed a productive site visit to Dong’ao Health on September 10. The parties reached a broad consensus on key collaboration areas, including establishing a joint laboratory and a technology exchange mechanism, marking a substantive step forward in Shineco’s “technology industrialization and global synergy” strategy in the biocellular field. As the core entity executing Shineco’s strategy in the biocellular market, Dong’ao Health’s new contract focuses on cutting-edge microalgae-derived extracellular vesicles technology. The service period runs from August 25, 2025, to December 31, 2026, with the goal of building a comprehensive, end-to-end R&D system from basic research to process development and product translation. Specific tasks include functional validation during the basic research phase; breaking bottlenecks in large-scale separation and extraction processes to achieve mass production; and developing at least two therapeutic products with full regulatory support to effectively transition the technology from the lab to the market. The total value of $8.7M will be paid in phases, with an initial payment of $560,000 already received. Subsequent payments are tied to R&D milestones, ensuring stable revenue recognition and creating long-term profit growth drivers through the “develop once, deploy multiple times” nature of the technology. Concurrent with this R&D progress, Shineco’s international cooperation achieved a key milestone. BICC sent a high-level delegation to Dong’ao Health from September 6-10, including Chairman Yang Shengnan, CEO Barbara Tan, CFO Jon Lim, Chief Scientist Chen Yanming, and shareholder Chen Laifu. The delegation conducted on-site inspections of Dong’ao Health’s four core segments-the Health and Wellness Center, Cell R&D Center, under-construction Alzheimer’s Disease Care Town, and partner “Anhe Meige Medical Aesthetic Hospital”-to evaluate potential synergies. The parties agreed to establish a joint laboratory, implement a technology exchange mechanism, integrate BICC’s network of over 3,000 agents in Southeast Asia with Dong’ao Health’s domestic wellness channels, and co-establish stem cell transfusion centers to promote standardized clinical services.