ASX Health Stocks: GTG set to jump into online after buying ecommerce outfit AffinityDNA
Health & Biotech
Health & Biotech
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Genetic Technologies (ASX:GTG) jumped 16% this morning after entering into an agreement to acquire the UK-based direct-to-consumer ecommerce business, AffinityDNA.
The strategic acquisition is expected to strengthen the direct-to-consumer channel for GTG.
Under the terms, GTG will acquire all of AffinityDNA’s assets (including websites, brand identities, laboratory testing and distribution agreements) for a cash consideration of £555,000 ($980,000).
50% will be paid on completion and, subject to the business attaining certain financial performance parameters, the other 50% will be paid one year from the completion date.
AffinityDNA currently sells a wide range of DNA tests including lifestyle, health and wellbeing genomics-based tests, as well as animal testing related to allergies and tolerances via online marketplaces, importantly including Amazon.
Its revenue has grown substantially over the last two years, and this acquisition will provide incremental distribution channels to GTG’s EasyDNA brand, enabling GTG to capitalise on commercial synergies.
Aged care provider Regis says that it has incurred approximately $14 million of COVID-19 related costs in outbreak homes for the period since the beginning of the year until 30 April.
Of this, $4.5 million was spent in staff expenses, personal protective equipment, infection prevention and control, and employee welfare.
Regis says it was told by the Department of Health that large volumes of COVID-19 related grant reimbursements are currently being processed, and this is causing significant delays in approving claims.
As a result, Regis does not expect to receive approval from the DoH by 30 June 2022 for claims submitted.
However, Regis says that based on previous claims experience, it does expect to be substantially or fully reimbursed for the COVID-19 related outbreak costs incurred.
Respiratory diagnostics specialist 4DX says that findings of its chronic obstructive pulmonary disease (COPD) clinical trial undertaken at Johns Hopkins University Hospital were presented at the International Conference of the American Thoracic Society over the weekend.
The study involved 15 patients with a spectrum of COPD disease severity who received the company’s XV LVASTM scans twice over the duration of the study.
They also underwent other standard assessments of lung function, including CT scans.
The studies concluded that 4DX’s XV Technology demonstrated significant promise as a tool to phenotype or classify COPD disease.
The company says that clinicians and investigators now have access to powerful quantitative imaging biomarkers that can regionally identify functional pathology.