[SINGAPORE] Cordlife said that the full resumption of its Singapore operations is an “encouraging step” in restoring client confidence and regaining operational momentum, even though collection rates remain below average levels from before a storage lapse in December 2023.
The cord blood bank resumed operations earlier this year after the Ministry of Health (MOH) renewed its licences for cord blood banking and human tissue banking services with effect from Jan 14. The ministry had suspended it from carrying out operations after uncovering lapses in the storage of its cord-blood tanks.
In a Friday (Jun 6) business update, the embattled private cord blood bank said that it is continuing to engage customers affected by the incident.
As at May 30, 2025, 56 per cent of affected customers have accepted Cordlife’s offers to refund annual fees they paid from the start of the temperature lapse, as well as its offers to waive all subsequent fees for active customers whose children’s cord blood units (CBU) are stored in the damaged, high-risk tanks, and to continue storing the CBU of affected customer’s children until their child turns 21.
It added that it has received correspondence from clients, assessing the losses resulting from alleged breaches of contract, negligence and misrepresentation, and that it is “actively monitoring” these matters in consultation with legal advisers and taking steps at appropriate junctures.
To return to pre-incident levels of performance, Cordlife said, it will continue to expand its outreach initiatives in order to maintain a strong sales pipeline.
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It sank into the red with a S$6.3 million net loss for its second half ended Dec 31, 2024, reversing from a S$1.3 million net profit in the previous corresponding period, as a result of the fallout from the lapses.
Loss per share for the half-year stood at S$0.0247, from earnings per share of S$0.0051 previously. Its revenue plunged 32 per cent to S$18.7 million, from S$27.4 million, due to the suspension of its Singapore operations until Sep 14, 2024, after the lapses were discovered.
In May this year, the group received a voluntary conditional cash partial offer from Medeze Treasury, a wholly owned subsidiary of Thai-listed stem cell company Medeze Group. The offer was for a 10 per cent stake in the group as Medeze is seeking to explore business opportunities with Cordlife.
The group added that it has been taking “active steps” to raise public awareness on the importance of cord blood banking and its role in safeguarding future health outcomes by ramping up marketing efforts.
These measures include participating in baby fairs and engaging with the medical community to strengthen its ecosystem of doctors and hospitals.
The group said it has strengthened and renewed relationships with the medical community in Singapore by engaging stakeholders in the community to inform them of its rectification efforts and improved procedures.
It added that it is working closely with the Association for the Advancement of Blood and Biotherapies and the Foundation for the Accreditation of Cellular Therapy to restore its accreditations for Singapore.
Shares of Cordlife ended Thursday 1.9 per cent or S$0.005 higher at S$0.275, before the announcement.
