View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
  2. Company News
  3. Deal News
September 16, 2021

Covid-19 testing firm Prenetics agrees to go public with SPAC merger

The company will use the merger proceeds to support continued growth and geographic expansion.

Hong Kong-based Prenetics Group has signed an agreement to go public on the Nasdaq through a merger with special purpose acquisition company (SPAC) Artisan Acquisition Corporation.

Free Report
img

What is driving M&A activity in the MedTech space?

The COVID-19 pandemic has left an indelible mark on the MedTech landscape. Changes in how healthcare is delivered, and new treatment modalities, are creating opportunities and challenges for both new and traditional players. As companies sought out opportunities during the pandemic-driven downturn, the number and value of mergers and acquisition deals in the MedTech space increased. Companies worked to reposition themselves in the newly aligned healthcare world, but with further economic turmoil expected: will these trends be repeated? And what tech areas should firms be looking to expand their capabilities into? GlobalData’s report, “Themes driving M&A activity in the Medical Devices Sector, Q1 2022,” draws upon GlobalData’s extensive MedTech deals databases, highlighting major trends and hot themes in M&A activity. This report will assist you in:
  • Understanding value and volume trends in M&A from Q1 2018 to Q1 2022
  • Understanding regional trends in M&A activity
  • Understanding which medical device sectors are leading M&A activity, and which are lagging
  • Understanding the leading tech trends in Q1 2022 M&A activity
  • Knowing the key deals that occurred during Q1 2022
Download the full report to understand what to expect and how to align your business for success.
by GlobalData
Enter your details here to receive your free Report.

The deal values the Covid-19 testing firm at $1.25bn.

The transaction, which will have nearly $1.7bn combined equity value, is expected to generate $459m in total proceeds, including a PIPE, $120m worth forward purchase agreements and up to $339m of cash currently held in Artisan’s trust.

This marks Prenetics as the first Hong Kong-based unicorn to become publicly traded in any market.

Founded in 2014, the company focuses on rapid diagnostics for Covid-19 and other infectious diseases, as well as genomic testing and colorectal cancer screening.

Last month, Prenetics introduced a CE-IVD point-of-care diagnostics and at-home rapid detection health monitoring system, called Circle HealthPod, in Hong Kong.

The system is initially designed for Covid-19, but research and development (R&D) activities are ongoing for tests for influenza and sexually transmitted diseases (STDs).

Created at the University of Oxford, the Circle HealthPod technology provides results comparable to laboratory polymerase chain reaction (PCR) in 20 minutes on the device or a smartphone.

Prenetics is working to obtain Emergency Use Authorization from the US Food and Drug Administration for Circle HealthPod by the first quarter of next year.

The company is growing its production capacity to meet the rising worldwide demand for Covid-19 tests.

It also provides a one-stop laboratory PCR testing solution for Covid-19, with more than five million tests conducted so far.

Prenetics ’ portfolio additionally includes a consumer DNA test called CircleDNA, which uses whole exome sequencing technology to deliver health reports.

Other products in the company’s pipeline are ColoClear, a non-invasive colon cancer stool DNA test, at-home blood testing device Circle Snapshot, and Circle Medical genetic testing for physicians.

Prenetics expects proceeds from the SPAC merger to support its further growth and will leverage the funds for strategic acquisitions, R&D, product rollout and expansion into the US, EMEA and Southeast Asia.

Prenetics CEO and co-founder Danny Yeung said: “With a strong existing business, an exciting product pipeline, and a clear mergers and acquisitions strategy for USA geographical expansion, we have first-mover advantage and are well-positioned for our next chapter of growth.”

Related Companies

Free Report
img

What is driving M&A activity in the MedTech space?

The COVID-19 pandemic has left an indelible mark on the MedTech landscape. Changes in how healthcare is delivered, and new treatment modalities, are creating opportunities and challenges for both new and traditional players. As companies sought out opportunities during the pandemic-driven downturn, the number and value of mergers and acquisition deals in the MedTech space increased. Companies worked to reposition themselves in the newly aligned healthcare world, but with further economic turmoil expected: will these trends be repeated? And what tech areas should firms be looking to expand their capabilities into? GlobalData’s report, “Themes driving M&A activity in the Medical Devices Sector, Q1 2022,” draws upon GlobalData’s extensive MedTech deals databases, highlighting major trends and hot themes in M&A activity. This report will assist you in:
  • Understanding value and volume trends in M&A from Q1 2018 to Q1 2022
  • Understanding regional trends in M&A activity
  • Understanding which medical device sectors are leading M&A activity, and which are lagging
  • Understanding the leading tech trends in Q1 2022 M&A activity
  • Knowing the key deals that occurred during Q1 2022
Download the full report to understand what to expect and how to align your business for success.
by GlobalData
Enter your details here to receive your free Report.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Friday. The medical device industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Medical Device Network