NEW YORK — UK-based clinical diagnostics firm Novacyt has agreed to acquire Yourgene Health for approximately £16.7 million ($21.2 million) in cash, the companies said on Monday.
Yourgene, based in Manchester, UK, offers a range of molecular diagnostics including tests for prenatal screening, male infertility, thrombosis risk, and cystic fibrosis. It also provides genomic medicine services for healthcare, research, and biopharmaceutical clients.
According to Novacyt, the acquisition will bolster its efforts to expand its product portfolio and geographic footprint, prompted by falling demand for its COVID-19 testing services. Novacyt cited Yourgene's Ranger technology for target DNA enrichment, as well as its noninvasive prenatal testing and PCR offerings, as particularly valuable assets.
Under the terms of the deal, Novacyt will acquire Yourgene for .522 pence per share, representing an approximately 168 percent premium to the company's closing price of .195 pence per share at the end of June. The transaction is expected to close in the third quarter of this year.
The announcement of the proposed acquisition comes just weeks after Yourgene divested its Taiwan-based genomics business to Singapore's Inex Innovate for up to $4 million in an effort to reduce operating costs.