BGI Genomics, Chinese genetic testing unit of BGI Group, has collaborated with U.S. drugmaker Natera to commercialize its signatera minimal residual disease test in China.

Under the pact, BGI intends to pay about $50 million, made up of upfront licensing fees, prepaid royalties, and future milestones for the China rights to Natera cancer test

The two companies will also work together to establish reproductive health tests in select markets on BGI's sequencing instruments using its nanoball sequencing next-generation technology platform.

In the fiscal year 2016, BGI generated about $251 million in revenue.