Highlights

• Nexsen has secured more than A$1.5 million in non-dilutive funding.

• The company has been admitted as an industry partner to the Australian Research Council-backed SAGE-Manufacturing program.

• The five-year collaboration will provide Nexsen with access to two full-time researchers embedded at its Australian research and development facility.

• Nexsen will contribute A$35,000 in annual cash funding and A$35,000 in annual in-kind support.

• The partnership aligns with the company's 2026 strategy to strengthen research capability and manufacturing readiness ahead of future commercialisation.

Nexsen Limited (ASX:NXN) has announced that it has secured more than A$1.5 million in non-dilutive funding support through its admission as an industry partner to the Australian Research Council (ARC) Industrial Transformation Training Centre for Sustainable and Green Economy Manufacturing (SAGE-Manufacturing). The collaboration is designed to assist the company in expanding manufacturing capability and further optimising its proprietary rapid diagnostics platform.

Nexsen shares were trading flat at AUD 0.22 during the afternoon session on 25 June 2026. While the stock was unchanged on the day, it remains down 19.64% over the past 12 months.

Company Overview

Nexsen Limited is an Australian medical technology company developing rapid point-of-care diagnostic solutions aimed at delivering laboratory-quality results within significantly shorter timeframes. The company's technology is focused on medical conditions where delayed laboratory testing can impact clinical decision-making and patient outcomes.

Its lead product is the GBS Rapid Sensor, designed to detect Group B Streptococcus, a condition that represents an important unmet need in maternal healthcare. Beyond maternal health, Nexsen is also developing rapid diagnostic tests targeting Acute Kidney Injury and Chronic Kidney Disease, conditions that collectively affect more than 850 million people worldwide according to the company.

The business is also advancing additional diagnostic programs across human healthcare, agricultural technology and biosecurity, while continuing to build manufacturing capability to support future commercialisation.

Funding Supports Manufacturing Expansion

The newly secured funding will be directed towards manufacturing scale-up and further optimisation of Nexsen's proprietary rapid diagnostics platform.

According to the company, the platform is being developed to provide rapid and reliable diagnostic results for conditions that have traditionally depended on laboratory-based testing, where turnaround times can delay treatment decisions.

Rather than raising additional equity, Nexsen has secured the support through a non-dilutive funding arrangement, allowing the company to expand its research and manufacturing capability without issuing new shares under this initiative.

Management said the collaboration directly supports its 2026 objective of strengthening research capacity and improving manufacturing readiness through capital-efficient partnerships.

Partnership Brings Research Institutions Together

As part of the program, Nexsen will work alongside SAGE-Manufacturing and RMIT University on research aimed at enhancing its rapid diagnostics platform.

The collaboration will focus on applying advanced catalysis science to improve several aspects of the company's technology. Areas of research include catalytic signal enhancement together with scalable diagnostic device manufacturing.

The project is intended to evaluate potential improvements in detection sensitivity, testing reliability and performance consistency across Nexsen's expanding diagnostic pipeline.

By working with researchers from the national program, the company aims to accelerate technical development while supporting future manufacturing requirements.

Embedded Researchers to Expand Internal Capability

One of the key elements of the partnership is the addition of dedicated scientific resources within Nexsen's Australian research facility.

Through the five-year program, the company will receive access to two full-time researchers who will work directly alongside Nexsen's scientific team.

These researchers will be embedded within the company's Australian R&D operations and will contribute to manufacturing optimisation as well as ongoing platform development.

According to Nexsen, this additional research capability supports its broader strategy of building scalable manufacturing processes ahead of future commercial deployment.

Funding Structure Provides Significant Leverage

The financial structure of the partnership is another notable aspect of the announcement.

Nexsen said the support is valued at more than A$1.5 million over the five-year program. In return, the company will provide an annual cash contribution of A$35,000 together with A$35,000 of annual in-kind support.

Based on this arrangement, management said the company will receive funding support valued at more than eight times its annual cash contribution.

The non-dilutive structure enables Nexsen to access research expertise and manufacturing support while limiting the capital required from the company.

What is SAGE-Manufacturing?

SAGE-Manufacturing is the Australian Research Council Industrial Transformation Training Centre for Sustainable and Green Economy Manufacturing.

The five-year national research centre has total funding of A$4.84 million and is led by Monash University in collaboration with RMIT University, the University of Melbourne, Deakin University and CSIRO.

Its research focuses on advancing sustainable and circular manufacturing through catalysis science. According to Nexsen, catalysis plays an important role in modern chemical manufacturing and is estimated to be involved in approximately 90% of commercially produced chemical products.

Research undertaken by SAGE-Manufacturing spans catalysis for the green circular economy, bioprocessing and sustainable energy applications.

Through admission as an industry partner, Nexsen gains direct access to this collaborative research network while applying relevant scientific expertise to its own diagnostic technologies.

Partnership Supports Commercial Readiness

Beyond research, Nexsen said the collaboration also supports its broader manufacturing strategy.

The company is seeking to build scalable production capability that can support future commercial launch of its diagnostic products. Improvements in manufacturing processes and platform performance are intended to strengthen the pathway toward larger-scale production.

Management said expanding research capability through partnerships that minimise shareholder dilution remains a priority during 2026.

The company believes the latest collaboration aligns with that objective while supporting continued advancement of its proprietary diagnostic platform.

Leadership Highlights Capital-Efficient Growth

Executive Chairman Reece O'Connell said the partnership reflects Nexsen's strategy of strengthening its technology through collaborations with leading Australian research organisations.

Management also noted that the arrangement provides access to experienced researchers while advancing manufacturing capability through non-dilutive funding, consistent with the objectives outlined for 2026.

The company views the collaboration as another step in supporting development of its rapid diagnostic platform and future manufacturing readiness.

What This Means for Investors

Nexsen's latest announcement focuses on strengthening its research and manufacturing capability rather than raising additional equity capital. Through its participation in the ARC-backed SAGE-Manufacturing program, the company will receive support valued at more than A$1.5 million while making a comparatively modest annual cash contribution.

The collaboration provides access to embedded researchers, advanced manufacturing expertise and university-led research focused on improving detection sensitivity, reliability and manufacturing scalability. As Nexsen continues developing its rapid point-of-care diagnostic portfolio, the partnership supports its stated objective of expanding research capability and preparing manufacturing processes for future commercialisation.