*****BREAKING NEWS THIS MORNING***** 

Avalon’s Laboratory Services MSO Acquires Texas Lab with Significant Potential Growth

DE Laboratory in Texas Performs 1,500 Lab Tests Per Month with Focus on Toxicology and Wellness Testing; Expansion Underway

FREEHOLD, N.J., July 24, 2023 (GLOBE NEWSWIRE) — Avalon GloboCare Corp. (“Avalon” or the “Company”) (NASDAQ: ALBT), a developer of innovative precision diagnostics and provider of clinical laboratory services, today announced Laboratory Services MSO, LLC (“LSM”), has acquired DE Laboratory LLC (“DE Labs”), which expands its penetration within Texas and provides significant potential growth opportunities for the combined company. Avalon owns a 40% interest in LSM.

DE Labs is a CLIA-certified and COLA-accredited laboratory located in Houston, Texas that offers a wide range of high-quality testing, including drug testing, genetic testing, urinary testing and COVID-19 PCR testing. LSM is now operating this laboratory as a fully owned subsidiary and has invested growth capital for geographical expansion into the surrounding counties.

“This acquisition is just another step towards our goal of expanding LSM through acquisitions and strategic relationships,” commented, David Jin, M.D., Ph.D., President and Chief Executive Officer of Avalon. “Our strategy is to take advantage of a unique roll-up opportunity within the highly fragmented market for laboratory testing and services. We continue to target laboratories with exceptional performance, positive revenue track records and niche-market advantages. By leveraging LSM’s experience and infrastructure, we expect to achieve significant synergies with respect to revenue growth and market share.”

Hello Everyone,

We have another exciting opportunity that we want you to research immediately for tomorrow’s session.

Pull up ALBT immediately.

This is one that has closed green 4 of the last 5 sessions with accelerating interest.

Take a look at the 10 day chart below.

This one only has 10.2 million outstanding with over 55% insider ownership.  This could be a major contributor to why this one at times has volatile swings to the upside when it gets momentum.

Let’s take a look at the major catalyst for this one:

The global clinical laboratory service market is poised for significant expansion, with an estimated value of $202 billion and projected growth surpassing $315 billion by 2030. This market is primarily driven by the increasing demand for early diagnostic tests and the rising prevalence of chronic diseases. The biotechnology and healthcare industries, particularly in developed regions like the U.S. and Canada, are experiencing rapid growth, further fueling the demand for clinical laboratory services. Government and private investments aimed at developing and expanding these industries are key drivers of market growth. (2)

The rising prevalence of chronic diseases and increased investments in research laboratories have a significant impact on the demand for clinical laboratory services. Additionally, the need for efficient data storage and management, driven by the proliferation of research centers worldwide, contributes to market growth. The adoption of automated technologies to enhance productivity and reduce costs also augments the market’s expansion. Key players in the industry continually introduce new services to meet patient needs, further propelling market growth.

The clinical chemistry segment, which accounted for a significant revenue share, is projected to maintain its dominance throughout the forecast period. This segment benefits from the introduction of new technologies, a wide range of clinical chemistry tests, and the emergence of point-of-care testing methods. Moreover, investments in research activities by healthcare industry players drive the growth of laboratories globally, making the clinical chemistry segment the fastest-growing segment. (2)

The human and tumor genetics tests segment is expected to register the highest growth rate, indicating the increasing importance of genetic testing in diagnosis and treatment.

Among service providers, hospital-based laboratories currently hold the largest revenue share. Factors such as the growing prevalence of cancer, research activities aimed at innovative services, and the rising demand for clinical chemistry services in hospitals contribute to the growth of this segment.

The toxicology testing services segment is anticipated to exhibit the fastest growth rate. Advancements in clinical diagnostic methods and increasing awareness about disease diagnosis and treatment contribute to the growth of this segment.

The global clinical laboratory service market offers promising growth prospects, driven by the increasing demand for early diagnostic tests and the rising prevalence of chronic diseases. Investments in research laboratories, automation technologies, and the introduction of new services by key players further contribute to market expansion. (2)

As the market evolves, opportunities for growth and innovation abound. One little-known company to keep an eye on in this sector is Avalon GloboCare Corp. (Nasdaq: ALBT). This company could be extremely well-positioned to capitalize on these opportunities and make significant contributions to the advancement of the industry. (8)

Avalon GloboCare Corp. (Nasdaq: ALBT) Gains A Foothold In A $315B Diagnostics Market…(2)(6)

Avalon GloboCare Corp. (NASDAQ: ALBT) recently announced its acquisition of a 40% interest in Laboratory Services MSO, LLC (LSM), a premier clinical diagnostics and reference laboratory. The transaction marks the launch of Avalon’s new rollup strategy targeting toxicology and pharmacogenetic laboratories. (6)

Headquartered in Costa Mesa, California, LSM provides a wide range of diagnostic tests, including drug testing, toxicology, pharmacogenetics, and various test services, from general blood work to anatomic pathology. The laboratory also has a sophisticated and state-of-the-art facility for clinical diagnostics and reference laboratory.

The total consideration for the transaction was $21 million, with $9 million paid in cash, $11 million in shares of the Company’s Series B preferred stock, and $1 million in cash payable on February 9, 2024. The seller is also eligible to receive certain earnout payments upon achieving specific operating results, which could amount to $10,000,000. (6)

The parties entered into an operating agreement in connection with the transaction, which includes a pro-rata percentage of LSM’s net income. Additionally, Avalon has an exclusive option to purchase an additional 20% of LSM for $6 million in cash and $4 million in additional shares of the Company’s Series B preferred stock.

David Jin, M.D., Ph.D President and Chief Executive Officer of Avalon, stated that this transaction is expected to be accretive to earnings and will add strong clinical and rollup synergies to the existing Avalon portfolio and future growth plan. Dr. Jin also expressed excitement about the potential to acquire a controlling interest in LSM within the next nine months.

Avalon aims to leverage LSM’s experience and infrastructure to achieve significant synergies with respect to revenue growth and market shares by targeting laboratories with exceptional performance, positive revenue track records, and niche-market advantage.

David Jin, M.D., Ph.D., President and Chief Executive Officer of Avalon, commented, “We are excited to close this initial investment as a first step, and anticipate acquiring a controlling interest within the next nine months. Not only is this transaction expected to be accretive to our earnings, but we believe it also adds strong clinical and rollup synergies to the existing Avalon portfolio and future growth plan. By combining LSM’s established infrastructure with Avalon’s cutting-edge diagnostic and cellular immunotherapy platforms, it provides us with an established roadmap and framework in the context of integrating our CellTech/therapeutic programs with precision medicine.”

Avalon GloboCare Corp. (NASDAQ: ALBT)’S Strategic Investment Pays Off: LSM Records $14.7 Million Revenue And $6.3 Million Net Income (1)

Avalon GloboCare Corp. (NASDAQ: ALBT) recently announced its financial results for Laboratory Services MSO, LLC (LSM) for the twelve months ending December 31, 2022. The company, headquartered in Freehold, New Jersey, reported impressive figures, with LSM achieving a revenue of $14.7 million and a net income of $6.3 million during the period. (1)

The financial highlights for LSM in 2022 demonstrate its strong performance and profitability. Avalon GloboCare Corp. (NASDAQ: ALBT)’s strategic investment in LSM, acquiring a 40% interest in February 2023, has been validated by these results. The collaboration with LSM, a premier clinical diagnostics and reference laboratory based in Costa Mesa, California, has proven to be a successful endeavor.

LSM offers an extensive range of diagnostic tests, including drug testing, toxicology, pharmacogenetics (PGx), as well as general blood work, anatomic pathology, and other specialized services. With its quick turnaround times and state-of-the-art facility, LSM has built a stellar reputation for customer service satisfaction.

David Jin, M.D., Ph.D., President, and Chief Executive Officer of Avalon GloboCare, expressed satisfaction with LSM’s financial performance, emphasizing the company’s goal to further grow LSM’s top and bottom line. Leveraging LSM’s expertise and infrastructure, Avalon GloboCare plans to capitalize on the highly fragmented market for laboratory testing and services by targeting laboratories with exceptional performance and niche-market advantages. The aim is to achieve significant synergies through a strategic rollup approach.

The future looks promising for Avalon GloboCare Corp. (NASDAQ: ALBT)  and LSM, as their 40% profit-sharing arrangement with LSM is expected to result in significant future cash flow to the company. With a strong focus on expanding LSM’s operations and leveraging its experience and infrastructure, Avalon GloboCare aims to create further success within the clinical diagnostics and reference laboratory sector. (1)

LSM’s commitment to excellence and its broad portfolio of diagnostic tests, combined with Avalon GloboCare’s strategic vision, position the partnership for continued growth and success. With over 600,000 tests completed since its inception and two operational locations in California, LSM is well-positioned to make a lasting impact in the industry.

Avalon GloboCare Corp. (NASDAQ: ALBT) continues to make strides as a commercial stage company dedicated to developing and delivering innovative, transformative, precision diagnostics and clinical laboratory services. The company remains dedicated to driving growth and achieving synergies within the laboratory testing and services market. With its focus on strategic investments and the strong performance of LSM, Avalon GloboCare Corp. (NASDAQ: ALBT) is a company to watch closely as it navigates the rapidly evolving landscape of the healthcare industry. (1)

Avalon GloboCare Corp. (NASDAQ: ALBT) Inks Deal For
Breakthrough AI-Driven Breathalyzer (13)

Avalon GloboCare Corp. (NASDAQ: ALBT) recently announced a significant agreement with Qi Diagnostics Limited (Qi Diagnostics). This agreement grants Avalon exclusive distribution rights to market Qi Diagnostics’ groundbreaking KetoAir breathalyzer device and associated accessories, including future models. The distribution will cover North America, South America, the U.K., and the European Union. KetoAir functions as a companion diagnostic and monitoring device for ketogenic dietary management and will initially focus on the diabetes reversal and weight management markets. (13)

Qi Diagnostics is a renowned medical device company specializing in the development and manufacturing of proprietary Volatile Organic Compound (VOC) nanosensor-based in vitro diagnostic and screening devices. Their latest innovation, KetoAir, combines a breathalyzer with artificial intelligence (AI)-powered nutritionist consultation, providing invaluable support for ketogenic health management. The device has received approval from the United States Food and Drug Administration.

In addition to the distribution agreement, Avalon GloboCare Corp. (NASDAQ: ALBT) and Qi Diagnostics have plans for a collaborative effort to co-develop a breathalyzer device aimed at screening and early detection of lung cancer. The companies will share joint ownership of any intellectual property resulting from this co-development.

Expressing his enthusiasm about the partnership, Dr. David Jin, President and CEO of Avalon GloboCare, stated, “We are very excited to partner with Qi Diagnostics to exclusively distribute KetoAir in key markets. Our initial focus will be on diabetes reversal and obesity management. Scientific evidence has increasingly demonstrated that nutritional ketosis is an effective and sustainable approach for reversing diabetes and managing weight. A properly implemented ketogenic diet has been clinically proven to lower blood sugar, enhance insulin sensitivity, and reduce inflammation.” (13)

Dr. Jin further emphasized the significance of KetoAir, stating, “KetoAir is the first breathalyzer on the market that combines an AI-powered nutritionist with a nanosensor-based breathalyzer for ketogenic health management. It detects and quantifies acetone levels in the breath, allowing users to monitor their ketosis state while receiving 24/7 nutritional advice. We are eager to bring KetoAir to the market and assist individuals with diabetes and weight management needs.” (13)

Although the parties intend to finalize a definitive agreement regarding the terms and pricing, there is no guarantee that such an agreement will be reached or deemed acceptable to Avalon GloboCare Corp. (NASDAQ: ALBT). Nonetheless, the collaboration between Avalon GloboCare and Qi Diagnostics holds great promise for advancing the field of ketogenic health management and potentially revolutionizing the way diabetes and weight management are approached. (13)

Avalon GloboCare Corp. (NASDAQ: ALBT) Secures 16 Patents For Revolutionary Medical Technologies (17)

valon GloboCare Corp. (NASDAQ: ALBT) has recently announced the issuance of a key U.S. patent by the United States Patent and Trademark Office (USPTO). The patent, numbered 11,555,060 and titled “QTY Fc Fusion Water Soluble Receptor Proteins,” was jointly filed with Dr. Shuguang Zhang of the Massachusetts Institute of Technology (MIT). This significant achievement expands Avalon’s intellectual property portfolio, showcasing its commitment to advancing medical technologies. (17)

The granted patent encompasses the composition of matter and methodology for multiple novel QTY-code modified cytokine and chemokine protein receptor molecules. At the core of this breakthrough is the “QTY Code,” a revolutionary technology developed in collaboration with MIT. This innovative platform has the remarkable ability to transform water-insoluble transmembrane receptor proteins into water-soluble proteins, significantly enhancing the solubility of designer peptides and proteins. As a result, the repertoire of selected therapeutic targets against cancers and other diseases is expanded, opening new avenues for medical advancements.

Dr. David Jin, President and Chief Executive Officer of Avalon GloboCare Corp. (NASDAQ: ALBT), expressed his satisfaction with the patent issuance, highlighting the company’s ongoing commitment to intellectual property development. With a total of 16 jointly filed patent applications, Avalon has established fruitful collaborations with esteemed partners, including top-tier universities, renowned research centers, and leading developers in the field. This strong portfolio reinforces Avalon’s position as an innovative contributor to medical advancements.

The QTY code protein design platform, developed in conjunction with Professor Shuguang Zhang’s laboratory at MIT, offers a transformative solution for working with water-insoluble proteins found within cellular membranes. By rendering these proteins water-soluble, the QTY technology enables their utilization in numerous clinical applications. Notably, soluble, antibody-like cytokine/chemokine decoy receptors derived through the QTY protein design hold great potential in various areas, including mitigating the “cytokine storm” associated with certain conditions and broadening the range of therapeutic targets addressable by advanced therapies. (17)

Dr. Jin concluded by emphasizing Avalon GloboCare Corp. (NASDAQ: ALBT)’s commitment to innovation and collaboration. In addition to the recently granted patent, the company has also made notable strides in other areas. For instance, Avalon GloboCare Corp. (NASDAQ: ALBT) has plans for a collaborative effort with Qi Diagnostics to co-develop a breathalyzer device aimed at screening and early detection of lung cancer. This collaboration will result in joint ownership of any intellectual property arising from the co-development, further highlighting Avalon’s dedication to advancing medical technologies and improving patient outcomes. (8)

“We are also pleased to submit a new patent application to the USPTO related to QTY glucose transporters, which are important cancer therapy targets. We believe using the QTY technology will accelerate our understanding of these proteins and the development of antibodies against them to treat cancer,”

Dr. Jin.⁽³⁵⁾

Avalon GloboCare’s Laboratory Services MSO Signs Exclusive In-Network Lab Services Agreement Providing Significant Expansion Opportunity into 21 States

MSA Signed with GeneX Laboratory, an In-Network Laboratory Licensed in Multiple States Including Medicare and Medicaid

Laboratory Services MSO will be the Exclusive Testing Provider for Toxicology Testing, Genetic Testing and Others

FREEHOLD, N.J., July 19, 2023 (GLOBE NEWSWIRE) — Avalon GloboCare Corp. (“Avalon” or the “Company”) (NASDAQ: ALBT), a developer of innovative precision diagnostics and provider of clinical laboratory services, today announced Laboratory Services MSO, LLC (“LSM”), has signed an exclusive Master Service Agreement (“MSA”) with GeneX Laboratory Professional Corp. (“GeneX”). Avalon owns a 40% interest in LSM.

Genex is a CLIA-certified and CAP-accredited laboratory located in Orange County, California that has been dormant and seeking a partner to utilize their valuable license networks. GeneX has licenses with major providers such as Aetna California, Anthem BC of California, United Health Care, Cigna, Noridian Medicare, TRICare West, and Medicaid in 21 states, including Alaska, Alabama, Arizona, California, Colorado, Idaho, Indiana, Iowa, Kentucky, Mississippi, Maine, Montana, Nebraska, New Mexico, North Dakota, Ohio, Oklahoma, Oregon, South Carolina, Texas and Washington.    GeneX offers a range of high- quality testing, including Liquid Chromatography-Mass Spectrometry (LC-MS) drug testing, genetic testing, urinary testing and COVID-19 PCR testing. Those tests will now be performed utilizing the LSM infrastructure and resources providing significant expansion opportunity for LSM to perform services through in-network insurance providers previously unavailable.

David Jin, M.D., Ph.D., President and Chief Executive Officer of Avalon, commented, “This agreement is a key step in expanding LSM’s service offering to customers and providing them access to refer business in-network. GeneX provides top-tier, comprehensive laboratory testing services and works with major providers in addition to Medicaid in 21 states. This further expands our geographic testing footprint and should result in significant revenue for Avalon.”

“Our strategy is to take advantage of a unique roll-up opportunity within the highly fragmented market for laboratory testing and services. We continue to target laboratories with exceptional performance, positive revenue track records and niche-market advantages. By leveraging LSM’s experience and infrastructure, we expect to achieve significant synergies with respect to revenue growth and market shares,” concluded Dr. Jin.

Avalon GloboCare Provides Update on New Commercial Strategy

Company Continues to Implement Major Change in Strategy Focused on Acquiring and Operating Accretive Revenue Generating Laboratories and Related Commercialized Products

Company Plans on Developing and Delivering Innovative, Transformative, Precision Diagnostics, Genetic Testing and Clinical Laboratory Services

FREEHOLD, N.J., July 10, 2023 (GLOBE NEWSWIRE) — Avalon GloboCare Corp. (“Avalon” or the “Company”) (NASDAQ: ALBT), a developer of innovative precision diagnostics and provider of clinical laboratory services, today provided the following letter to shareholders from the Company’s President and CEO, David Jin, M.D., Ph.D.:

“We are excited to provide an update on our new commercial strategy focused on laboratory acquisitions and diagnostics. Avalon is dedicated to developing and delivering innovative, transformative, precision diagnostics and clinical laboratory services. Our evolving strategy involves acquiring ownership or license rights to precision diagnostic assets, genetic testing and clinical laboratory companies through joint ventures, share ownership structures or distribution rights. We intend to play a leading role in the innovation of diagnostic testing, utilizing proprietary technology to deliver precise, genetics-driven results. As a first major step into the laboratory market, we acquired a 40% interest in Laboratory Services MSO, LLC (“LSM”), which closed in February 2023. LSM generated revenue of $14.7 million and net income of $6.3 million in 2022. In turn, we believe our profit-sharing arrangement with LSM will result in significant future cash flow to Avalon. Since the acquisition, LSM has executed on its growth plan and has expanded their service offering to customers seeking to utilize providers within their insurance network. In addition, they have continued to evaluate additional accretive acquisitions.

Our goal is to take advantage of a unique roll-up opportunity within the highly fragmented market for laboratory testing and services. By targeting laboratories with strong financial track records and niche-market advantages, we believe we can effectively leverage LSM’s experience and infrastructure to achieve significant synergies with respect to revenue growth and market share.

Additionally, LSM is focused on commercialization of genetic-based proprietary testing. The first area of focus in this area is confirmatory genetic testing during toxicology screening and genetic testing to screen for addictive predisposition. LSM plans to focus on diagnostic testing utilizing proprietary technology to deliver precise genetic-driven results.

During 2023, we also secured exclusive distribution rights and are making rapid progress towards commercialization of the KetoAir™ breathalyzer device and related accessories, including current and future models, in North America, South America, the U.K. and the European Union. KetoAir™ functions as a monitoring device for ketogenic dietary management and will initially target the diabetes reversal and weight management markets. KetoAir™ uses an AI nutritionist bundled with the nanosensor-based breathalyzer for ketogenic health management, which has been approved by the United States Food and Drug Administration. We had a successful pilot launch and exhibition of the KetoAir™ breathalyzer in this year’s KetoCon conference in Austin, Texas which was held in April 2023. Currently, we are evaluating options for commercialization, including identifying distribution partners or distributing KetoAir™ ourselves.

Regarding the R&D front, we are focused on bringing forward intellectual property through joint patent filings with the Massachusetts Institute of Technology (MIT). We completed a sponsored research and co-development project with MIT led by Professor Shuguang Zhang as Principal Investigator. Using the unique QTY code protein design platform, six water-soluble variant cytokine receptors have been successfully designed and tested to show binding affinity to the respective cytokines. We look forward to advancing the intellectual property associated with this program by continuing to prosecute our joint patent applications.

We believe 2023 will be a pivotal year in the company’s history as we laid the foundation over the past few years to accomplish major achievements and successes in the coming year,” concluded Dr. Jin.

Avalon GloboCare Announces Closing of Strategic Investment in Laboratory Services MSO, a Leading Clinical Diagnostics and Reference Laboratory Company

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Avalon Globocare (AVCO) – Investor Forum at the World Stem Cell Summit

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