Medical diagnostics testing platform developer Fluxergy LLC, a locally grown firm that quickly pivoted from equine diagnostics to address the coronavirus pandemic in March, is growing its footprint and headcount in the Irvine Spectrum.
The 7-year-old company, which has built a test platform with test cards and software that quickly interprets test data, last week said it added a 20,000-square-foot facility for manufacturing at the corner of Alton Parkway and Irvine Boulevard.
The new facility at 15 Musick increases its quickly growing area operations to more than 65,000 square feet, with its operations spread across a portion of five buildings, all within walking distance of each other.
Fluxergy has doubled its team to 56 employees, with more positions to fill in the coming months as manufacturing ramps to 1 million virus test kits per month by the end of the year.
The company is charging ahead “with full force” to meet this goal, which will ultimately help the nation reopen safely with a faster, more effective testing process for COVID-19, said Chief Commercial Officer Ali Tinazli.
The company’s portable diagnostic testing system, a home computer-sized product that includes the Fluxergy Analyzer and Fluxergy Test Card, promises to detect the SARS-CoV-2 virus, which causes COVID-19, in under one hour.
Of the company’s decision to keep production in the area, Tinazli said it provides an advantage to the business from an operational standpoint. In addition, he believes automation capabilities will drive down manufacturing costs, despite the higher cost of office space in the area.
“We expect our new facility will enable us to significantly scale our current automated production process,” added co-founder and Vice President Ryan Revilla, and “ultimately allow us to provide cost-effective, accessible testing to a much larger audience.”
Adoption Strategy
The company is seeking partners “that want to become early adopters of Fluxergy’s rapid multifunction testing platform,” it said.
In the short term, Fluxergy is targeting health systems such as its existing partner Mass General Brigham in Massachusetts and University of California-San Diego, which are using the platform for coronavirus-related research purposes.
These systems have “the reach and resources,” as well as the advanced laboratory infrastructure to the use platform, Tinazli said.
Health systems with CLIA-certified high-complexity laboratories would be allowed to use the Fluxergy system to diagnose COVID-19 in patients, once the test receives Emergency Use Authorization from the Food and Drug Administration, the company said.
Longer term, the company seeks to gain federal clearance to bring its platform to the point-of-care, such as the patient’s bedside or community clinics, Tinazli added.
Multi-Billionaire Backer
Fluxergy expected to launch its first commercial product in veterinary health this year. It switched gears when the pandemic struck.
Fluxergy has no shortage of funds to enable its expansion.
Its principal investor is John Tu, who runs Orange County’s largest private company with revenue of $12.8 billion, Fountain Valley’s Kingston Technology Corp., with co-founder David Sun. Tu provided Fluxergy with a $30 million investment to boost test capacity in May, bringing its total funds to about $50 million.
Tu and Sun rank No. 4 on this week’s OC’s Wealthiest Special Report, each with a fortune the Business Journal estimates at around $5.8 billion (see stories, pages 8 and 22).
Tu’s son, Jonathan, is Fluxergy’s chief financial officer.
Of the company’s motivations to scale, and his decision to invest, the elder Tu told the Business Journal in May, “I had a feeling they want to do this not only because they want to be like [tech icons] nowadays—a startup company, successful, IPO, making millions of dollars—that seems to be not really their primary goal.”
“I have a feeling they want to do it because of what they will come up with, [wanting to be] part of life-saving technology, and to be part of this medical field saving lives.”
