Biocartis and MRCT are planning to develop a range of molecular diagnostic assays for Biocartis' fully automated Idylla platform.
The subsidiary is being formed in support of Biocartis' recent US distribution deal with Thermo Fisher Scientific.
The firm said that the test may be validated as a prognostic test for colorectal cancer and a predictive test for cancer immunotherapies.
A decline in collaboration revenues more than offset revenue gains for the company's Idylla platform and test cartridges.
The firm also announced that it plans to expand its RAS biomarker testing collaboration with Amgen in Europe.
The combination of the new test with Biocartis' existing KRAS assay offers customers a complete solution for testing metastatic colorectal cancers as reccomended by professional guidelines.
The firm offered a qualitative assessment of third quarter business activities, and announced a private placement and a US distribution deal with Thermo Fisher.
The funding will support manufacturing of the firm's Idylla PCR-based diagnostics platform and worker training at its Mechelen, Belgium facility.
An expansion of its oncology test menu helped drive installations of its Idylla molecular diagnostics system and cartridge sales in the first half of 2016.
Assessments of the firm's rapid molecular BRAF and EGFR tests by researchers in Italy and South Korea showed high sensitivity and a fast turnaround time.