Prenetics Announces Acquisition of ACT Genomics, Aiming for the Multi-billion Market of Precision Oncology
Prenetics Global Limited, which specializes in genomics and diagnostic testing, announced on December 16 that it is acquiring a majority stake in ACT Genomics, a genomics company with operations in Hong Kong, Taiwan, Japan, Singapore, Thailand and the UK.
Under the terms of the transaction agreement, Prenetics has agreed to issue 19.9 million shares of Prenetics’ class A ordinary shares and pay $20 million in cash for a majority stake in ACT. The acquisition is expected to complete on or around December 30, 2022 and Prenetics expects ACT to contribute approximately US$25-30 million in revenues in 2023.
Dr. Hua Chien Chen, CEO of ACT, said “The investment and partnership of Prenetics into ACT will significantly broaden our horizon in terms of product offerings, business strategy and vision. The synergy and combined resources will enable us to provide more comprehensive solutions and better services to more patients and pharmaceutical companies in greater geographies.”
ACT’s Promising Assets in Precision Oncology
With strong expertise in next-generation sequencing (NGS), bioinformatics and precision oncology, ACT currently runs more than 30,000 clinical tests and collaborates with more than 2,200 doctors, including about 900 oncologists. The company has also established partnerships with major pharmaceutical companies and leading research institutes worldwide. In November 2021, ACT merged with Sanomics, a Hong Kong-based biotech company specialized in lung cancer diagnostics.
ACT has a multi-diagnostic technology platform and offers a comprehensive range of products in clinical services. Notable examples include ACTLung, a NGS-based assay for the screening of lung cancer related actionable genes; ACTMonitor, a liquid biopsy for early detection of cancer recurrence and drug resistance; and ACTOnco+, a comprehensive cancer genomic profiling service which assists doctors in choosing treatment strategies.
Targeting the Multi-billion Global Precision Oncology Market
The need to prevent and detect the deadliest cancers at earlier, more treatable stages is urgent, and cancer genomic profiling can be an impactful solution for cancer treatment. With the acquisition of ACT, Prenetics’ financial strength and commercialization capabilities will benefit the combined R&D team’s endeavor in transforming the future of cancer diagnostics. and allow the company to tap into the global market in cancer genomics at a scale of over $80 billion. Moreover, Prenetics would have the scientific rigor necessary to bring tests to patients at every step of their cancer journey, from prevention, and screening to minimal residual disease, recurrence monitoring, and therapy selection.
“With the addition of ACT’s technologies, capabilities and team, Prenetics will be well-positioned to accelerate the utilization of genetic information throughout a cancer patient’s journey. Starting from risk profiling and diagnostic testing, moving to therapy optimization, monitoring and recurrence surveillance”, said Danny Yeung Co-founder and Chief Executive Officer of Prenetics. “Every year in Asia, there are 9 million+ cancer patients with limited options. It is our goal to democratize testing and make cancer genomics accessible to all.”
“Our flagship ACTOnco+ has provided oncologists and cancer patients with valuable biomarker information for therapy selection. This transaction provides ownership in a combined company with enhanced financial strength and the commercial and R&D capabilities to continue to drive significant growth, especially in the Asia-Pacific region”, said Prof. Tony Mok, Chairman of the Board of ACT.©www.geneonline.com All rights reserved. Collaborate with us: firstname.lastname@example.org