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Digital Journal Daily Herald GenomeWeb markets.post-gazette WRDECOAST TV

Celemics signs an agreement to supply BTSeq™ to Sangon Biotech Co., Ltd., a Chinese genetic analysis company

– Successive global expansion following the signing of a supply contract with Tsingke in July
– Wide range of business expectations, such as expansion of high value-added applications and replacement of Sanger sequencing

October 28, 2021, Seoul, Korea: Celemics, Inc. (CEO Young-hoon Lee, Hyo-ki Kim / www.celemics.com), an NGS-based sequencing solution and
bioinformatics tech company, announced on the 28th that it has signed an annual supply agreement of BTSeq™ (Barcode-Tagged Sequencing)
with Sangon Biotech Co., Ltd., located in Shanghai, China.

Sangon, which successfully signed a supply agreement this time, operates 12 subsidiaries throughout China, including in Nanjing and Qingdao,
with the main focus on its headquarters in Shanghai. With annual sales of 164 billion KRW ($ 140.3 million) in 2020, it is considered one of
the most important Sanger Sequencing companies along with Tsingke and BGI. After signing the first global BTSeq™ supply agreement with
Tsingke in July, Celemics signed the second global supply agreement in three months, securing two top Chinese genetic analysis companies as customers,
and solidified its position in China’s NGS market.

In this annual supply agreement, the minimum supply quantity is 100,000 reactions (rxn), and provides both Celemics’s BTSeq™ kits and bioinformatics software
to various service fields operated by Sangon. It was arranged in a short period as it was determined that the technical skills and commercial value of BTSeq™ were
in line with the future strategic direction of Sangon to expand with a high value-added business such as NGS. A company official explained thatas BTSeq™ can be applied to
various application fields, it can also be used to not only develop high value-added NGS application developments, but also replace Sanger sequencing in the existing flagship businesses.

Sangon CEO Wang Gye-song (王啓松) said, “After we set the business direction by expanding high value-added applications, we expect that our new strategy will gain momentum
through BTSeq™’s wide scalability.”

Young-hoon Lee, co-CEO of Celemics, said, “Even when the schedule was delayed due to the coronavirus pandemic, the fact that the contract with Tsingke was executed through
extensive verification procedures serves as a good reference and is receiving a lot of attention from customers. While promoting BTSeq™’s overseas expansion, we have prioritized
the Chinese NGS market, which has the highest global growth potential. I’m glad we had great results. We will do our best to secure our position in other Asian, and Middle Eastern,
and European countries as well.”

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Celemics signs a supply agreement for BTSeq™ solution with Chinese Sanger sequencing service company

– Celemics enters the Chinese DNA Sequencing market since its establishment
– NGS-based BTSeq™ solution allows for highly accurate DNA sequencing with significantly reduced cost and time
– The agreement scale is equivalent to 87% in celemics’ annual revenue

July.14.2021, Seoul, Korea: Celemics, Inc.(www.celemics.com), an NGS-based sequencing solution and bioinformatics company, Co-CEO Young-hoon Lee and Hyo-ki Kim announced on July 14th
that Celemics has signed an annual supply agreement to provide 4.5 billion KRW ($3.9 million) worth BTSeq™ solution with Tsingke Biological Technology Co., Ltd. (Tsingke), a professional Beijing-based
Sanger sequencing and gene synthesis service company.

The agreement scale is equivalent to 87% of Celemics’ annual sales of 5.2 billion KRW ($4.5 million) in 2020, which is the largest single contract that Celemics has signed since expanding to the
global market in 2017. Celemics will provide BTSeq™ reagents and analysis software, a proprietary genomics analysis platform, in China to Tsingke.

Celemics’ technology supplied to Tsingke with this agreement is BTSeq™ (Barcode Tagged Sequencing) which utilizes NGS technology and Celemics’ proprietary sample preparation reagents and
de novo assembly bioinformatics software. BTSeq™ solution allows for highly accurate DNA sequencing with significantly reduced cost and time. With the conventional method, Sanger sequencing,
the sequencing of a few kb to 20 kb-long DNA takes several days to a few weeks and requires multiple sequencing runs and primer syntheses with high cost. BTSeq™ overcomes these challenges and
enables accurate sequencing of 20 kb-long or longer DNA within 24 hours. With Celemics proprietary reagents and bioinformatics, the cost for NGS-based sequencing and the time required for
analysis is significantly reduced.

Tsingke, Celemics’ Chinese partner for the Chinese genome analysis market, is a professional DNA synthesis and sequencing company established in 2004. Tsingke has 19 subsidiaries in China,
including Beijing, Shanghai and Guangzhou and is a large-scale business proceeding with about 15 million DNA synthesis and sequencing cases annually. Tsingke conducted thorough validation with
various samples in its affiliated companies in Nanjing, Tianjin, etc. to check the BTSeq™ performance and purchased large volume of reagent and analysis software for beta operation.
After about a year of the rigorous validation period, Tsingke decided to introduce Celemics’ BTSeq™ solution.

“We expect to secure exclusive competitiveness in DNA synthesis and sequencing service with the new Celemics’ sequencing technology, BTSeq™, and will pioneer diverse application markets with Celemics.”
‘Tsingke CEO Ma Shijin’

“Celemics is delighted to enter the Chinese NGS market through scrupulous examinations, which reassure the competitiveness of BTSeq™. Celemics will take this contract as a stepping stone to expand
our contribution for researchers and companies in the fast-growing Chinese DNA sequencing market with 1.4 billion population.”
‘Celemics Co-Founder & CEO Hyoki Kim’

Meanwhile, Celemics has been continuously and successfully preparing to expand to the global market. Celemics has recently completed designating distributors in countries such as Spain, Portugal,
United Arab Emirate (UAE) and Japan and concluded partnership arrangements with distinguished international companies.

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