Oncocyte Announces Five-Year VA Contract for DetermaRx

Rhea-AI Summary

Oncocyte Corporation (Nasdaq: OCX) has secured a five-year Federal Supply Schedule Contract with the US Department of Veterans Affairs for its DetermaRx™ lung cancer test. This agreement allows veterans receiving care at 1,293 VA facilities access to the test, which evaluates recurrence risk post-surgery. DetermaRx™ is currently the only reimbursed test for early-stage lung cancer that guides treatment decisions. The test identifies high-risk patients who may benefit from therapies while allowing low-risk patients to avoid unnecessary treatment, as evidenced by a 94% survival rate without chemotherapy.

Positive

• Secured a five-year contract with the US Department of Veterans Affairs, enhancing market reach.
• DetermaRx™ is the only reimbursed test available for early-stage lung cancer, positioning it uniquely in the market.
• High-risk patients identified by DetermaRx™ may benefit significantly from treatment, improving patient outcomes.

Negative

• None.

IRVINE, Calif., Aug. 30, 2022 (GLOBE NEWSWIRE) -- Oncocyte Corporation (Nasdaq: OCX), a precision diagnostics company with the mission to improve patient outcomes by providing personalized insights that inform critical decisions throughout the patient care journey, today announced that the US Department of Veterans Affairs (“VA”), the largest integrated health care system in the United States, has awarded a Federal Supply Schedule Contract for the Company’s DetermaRx™ test. The VA provides care at 1,293 health care facilities, including 171 VA Medical Centers and 1,112 outpatient sites of care of varying complexity to over 9 million veterans enrolled in the VA health care program. The contract is for a period of five years.

“We are excited by the VA’s recognition of the value of DetermaRx,” said Ron Andrews, Chief Executive Officer of Oncocyte. “Veterans and their families treated at VA and Military Health System medical centers will now have access to our lung cancer test, which informs timely, life-saving treatment decisions following surgery DetermaRx is the only reimbursed test today that can be used prior to treatment initiation to assess the risk of recurrence for patients with early-stage lung cancer.”

Over the past two years, targeted and immune therapies are being used in earlier-stage disease due to lower toxicity relative to chemotherapy. DetermaRx identifies patients at high-risk of recurrence following surgery, which is likely due to the presence of micro-metastasis. Studies have shown that these patients benefit from treatment to eliminate metastatic cells, regardless of the treatment chosen. Conversely, patients identified as low risk by the test had a 94% survival rate without chemotherapy treatment, suggesting that these patients may avoid the expense and side effects associated with treatment and may instead be candidates for surveillance.

About Oncocyte
Oncocyte is a precision diagnostics company with a mission to improve patient outcomes by providing personalized insights that inform critical decisions throughout the patient care journey.

Through its proprietary tests and pharmaceutical services business, the Company aims to help save lives by accelerating the diagnosis of cancer and advancing cancer care. The Company’s tests are designed to help provide clarity and confidence to physicians and their patients at every stage. DetermaRx™ identifies early-stage lung cancer patients who are at high risk for cancer recurrence and who may benefit from adjuvant chemotherapy. DetermaIO™ is a gene expression test that assesses the tumor microenvironment to predict response to immunotherapies. The Company’s pipeline of tests in development also includes DetermaTx™, which will assess mutational status of a tumor, DetermaCNI™, a blood-based monitoring test, DetermaMx™, a long-term recurrence monitoring test, and VitaGraft™, a blood-based solid organ transplantation monitoring test. In addition, Oncocyte’s pharmaceutical services provide companies that are developing new cancer treatments a full suite of molecular testing services to support the drug development process.

DetermaRx™, DetermaIO™, DetermaTx™, DetermaCNI™, DetermaMx™ and VitaGraft™ are trademarks of Oncocyte Corporation.

Forward-Looking Statements
Any statements that are not historical fact (including, but not limited to statements that contain words such as “will,” “believes,” “plans,” “anticipates,” “expects,” “estimates,” “may,” and similar expressions) are forward-looking statements. These statements include those about the future expectations, beliefs, goals, plans, or prospects expressed by management. Forward-looking statements involve risks and uncertainties, including, without limitation, the potential impact of COVID-19 on Oncocyte or its subsidiaries’ financial and operational results, risks inherent in the development and/or commercialization of diagnostic tests or products, uncertainty in the results of clinical trials or regulatory approvals, the capacity of Oncocyte’s third-party supplied blood sample analytic system to provide consistent and precise analytic results on a commercial scale, potential interruptions to supply chains, the need and ability to obtain future capital, maintenance of intellectual property rights in all applicable jurisdictions, obligations to third parties with respect to licensed or acquired technology and products, the need to obtain third party reimbursement for patients’ use of any diagnostic tests Oncocyte or its subsidiaries commercialize in applicable jurisdictions, and risks inherent in strategic transactions such as the potential failure to realize anticipated benefits, legal, regulatory or political changes in the applicable jurisdictions, accounting and quality controls, potential greater than estimated allocations of resources to develop and commercialize technologies, or potential failure to maintain any laboratory accreditation or certification. Actual results may differ materially from the results anticipated in these forward-looking statements and accordingly such statements should be evaluated together with the many uncertainties that affect the business of Oncocyte, particularly those mentioned in the “Risk Factors” and other cautionary statements found in Oncocyte’s Securities and Exchange Commission (SEC) filings, which are available from the SEC’s website. You are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date on which they were made. Oncocyte undertakes no obligation to update such statements to reflect events that occur or circumstances that exist after the date on which they were made, except as required by law.

Investor & Media Contact
Caroline Corner
ICR Westwicke
Tel: 415.202.5678 
caroline.corner@westwicke.com

FAQ

What is the significance of the Federal Supply Schedule Contract awarded to Oncocyte Corporation?

The contract allows Oncocyte to provide its DetermaRx™ lung cancer test to veterans across the VA's extensive healthcare system, expanding its market presence.

How does the DetermaRx™ test work?

DetermaRx™ assesses the risk of recurrence in early-stage lung cancer patients post-surgery, guiding treatment decisions to improve patient outcomes.

What are the expected benefits of the DetermaRx™ test for patients?

Patients identified as high-risk may receive targeted treatments, while low-risk patients can avoid unnecessary chemotherapy, potentially leading to better survival rates and reduced treatment costs.

How many facilities will have access to DetermaRx™ under the VA contract?

DetermaRx™ will be available at 1,293 VA facilities, including 171 VA Medical Centers, providing care to over 9 million veterans.