Skip to main content
Premium Trial:

Request an Annual Quote

Invitae Announces $73.5M Private Placement; Releases Preliminary Q2 Earnings

NEW YORK (GenomeWeb) – Invitae announced after the close of the market on Monday that its preliminary second quarter revenues grew 157 percent year over year.

Additionally, the company said it had entered into a definitive agreement to sell $73.5 million of its stock in a private placement that will include existing and new investors, and is slated to close around Aug. 3.

In Q2, Invitae said it is expecting revenues of $14.3 million compared to $5.6 million in the same period in 2016. The company projected accessioning more than 30,400 samples in the second quarter, marking a 139 percent increase from the year-ago period. Invitae also reduced its cost of goods sold per sample accessioned from $500 in Q2 2016 to $345 in Q2 2017.

The company is expecting a net loss in Q2 of $28.6 million, or a $.66 loss per share, compared to a net loss of $24.8 million, or a $.77 loss per share, in Q2 2016. As of June 30, Invitae's cash, cash equivalents, restricted cash, and marketable securities totaled $80.4 million.

The net proceeds from the private placement of more than 8.6 million shares of common and convertible preferred stock at $8.50 per share will be used for general corporate purposes and for growing the company's menu of tests in new markets through acquisitions.

Toward that end, Invitae announced separately on Monday that it would expand its genetic test offerings into reproductive health through the purchase of Good Start Genetics and CombiMatrix. 

In January, Invitae acquired data company AltaVoice, which operates several programs allowing research organizations to track patient data and recruit subjects for clinical trials. Then, in June, Invitae bought health software developer Ommdom and its genomic management tool CancerGene Connect, a platform for collecting and managing genetic family histories. 

During Tuesday morning trading Invitae's stock was up 9 percent to $10.12.