Cancer Genetics

The New Jersey-based cancer drug-discovery services provider said it had signed agreements to sell the shares to unnamed institutional investors.

The firm plans to use the net proceeds for general corporate purposes, including working capital and capital expenditures.

The drug discovery and preclinical oncology services provider attributed the revenue decline to the impact of the SARS-CoV-2 pandemic on its customers.

Maple Grove, Minnesota-based Stemonix will merge in an all-equity transaction with a newly formed subsidiary of Cancer Genetics, which expects to remain listed on the Nasdaq.

For the three-month period ended June 30, Cancer Genetics posted total revenues of $1.4 million compared to $1.5 million in the year-ago quarter.

For the three months ended March 31, Rutherford, New Jersey-based Cancer Genetics posted revenues of $1.4 million versus $1.8 million in Q1 2019. 

For the three months ended Dec. 31, 2019, the firm reported total revenues from continuing operations of $1.9 million compared to $1.7 million in Q4 2018.

The company's revenues were generated entirely by its discovery services operations, which includes contract research for cancer drug development.

The new name better reflects its business model combining MDx testing with the drug discovery and development services business it acquired from Cancer Genetics.

Cancer Genetics announced its planned merger with NovellusDx in September 2018, but scuttled the deal with the Israeli company a few months later.