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Strategy and Objectives

Biohit Strategy

Biohit Oy divested its liquid handling function on 14 December 2011 in order to focus its operations on the diagnosis of gastrointestinal (GI) conditions and cancer prevention through its innovative product and service range, while observing best practice and the principle of corporate social responsibility.
The company’s newly launched strategy is based on developing and building its global product and service brand identity:

Biohit HealthCare
Innovating for Health
Cancer Prevention

Biohit Oyj will dedicate its resources – both financial and human – to developing its Biohit HealthCare business and harness the opportunities presented by the extensive and fast-growing international market potential in this area.

• GI conditions are resulting in fast-rising and uncontrollable healthcare costs worldwide.
• Some treatment methods are outdated and ineffective and may lead to serious medical errors.
• Many patients suffering from abdominal complaints go without safe and effective treatment or are dissatisfied with the care they receive. 
• Patients who do not receive a diagnosis for their condition often resort to high-risk self-management strategies, including over-the-counter proton-pump inhibitors (PPIs) to treat heartburn and yoghurt to treat other digestive problems.
• Some 20-40% of Western populations are estimated to suffer from upper GI complaints, with more than half of the world’s population infected with H. pylori.
• In view of the ageing demographic profile, the need for safe and cost-effective diagnostic techniques and preventative methods is growing ever more urgent. 
• In October 2009, the World Health Organisation (WHO) defined acetaldehyde as a Class 1 carcinogen (a substance capable of causing cancer).
• Almost all Class 1 carcinogens, including asbestos, tobacco smoke and acetaldehyde, are subject to the same ethical and legal restrictions.
• Every possible effort must be made to limit exposure to all Class 1 carcinogens in the body and through food. This applies to both lifestyle and environmental exposure.
  
• Acetaldehyde exposure is linked to more than three million GI cancer diagnoses worldwide, accounting for 25% of all cancers.
  

In the inital phase, we will focus on building robust sales and marketing functions and an international distribution network. The company will invest in production technology development and the development and commercialisation of new products and services based on the GastroPanel and Acetium innovations:

• The GastroPanel assay is a stomach health check, which provides highly useful information on the condition and functioning of the mucous membrane lining the stomach. The cutting edge GastroPanel test replaces the more problematic 13C urea breath test, stool antigen test and other antigen tests, traditionally used in the diagnosis and monitoring of dyspepsia and H. pylori infections.

The GastroPanel assay allows healthcare professionals to identify patients suffering from dyspepsia and those at risk of stomach cancer and other conditions and to refer them for gastroscopy. The test is designed to allow the efficient use of these limited and cost-intensive examinations and measures biomarkers that indicate the condition and functioning of the mucous membrane through a simple blood test. GastroPanel can be used to diagnose H. pylori infections and atrophic gastritis, which is often symptomless and can lead to stomach and oesophageal cancers or the malabsorption of Vitamin B12, iron, calcium and certain medicines.

Before the launch of GastroPanel, histological analysis of biopsies taken during gastroscopy was the sole diagnostic technique available for investigating atrophic gastritis and related stomach cancer and other health risks – often carried out once the symptoms are an indication of widespread disease beyond curative treatment (State of the art GastroPanel and Acetium Innovations (pdf, 357Kb)).  

• The Acetium capsules are currently the only method available for binding and inactivating the carcinogenic acetaldehyde in achlorhydric stomachs. This can help prevent stomach and oesophageal cancers, as acetaldehyde has been identified as a key factor ( www.acetium.com/test reveals acetaldehyde exposure) in stomach cancer in particular. Available from pharmacies over-the-counter, the Acetium capsules are recommended in conjunction with meals and alcohol consumption for the following patients:
  - Achlorhydria sufferers (diagnosed using GastroPanel) – affects approximately 500 million people worldwide, some 150,000 in Finland alone
  - Patients with untreated severe H. pylori infections (diagnosed using GastroPanel) – affects approximately 500 million people worldwide
  - Antacid users – 5-10% of Western populations, more than 500,000 in Finland
  - Post-gastric surgery – over one million
  - People with an acetaldehyde-related genetic defect, hundreds of millions affected, especially in Asia
  

• Acetium tablets bind and inactivate the carcinogenic acetaldehyde present in saliva exposed to cigarette smoke. Trials currently investigating potential as a smoking cessation aid. 
  

• BioAcetium capsules (with or without antibiotic)
  Trials currently underway to investigate potential as a treatment for H. pylori infections.
  

• BioFood method to bind and inactivate acetaldehyde in foodstuffs and alcoholic beverages.

• BioFilter effectively binds acetaldehyde in cigarette smoke and may support smoking cessation.  

Our strategy is designed to increase sales to facilitate the further development of the company and to allow us to pay dividends to our shareholders.