With barely a week left in 2021, Co-Diagnostics got a head start on its plans for the new year by announcing and, within just a few days, promptly closing a pair of acquisitions.
In separate agreements that were finalized Dec. 31, Co-Diagnostics scooped up Idaho Molecular and Advanced Conceptions. Co-Diagnostics had already been working closely with both companies to fine-tune its new PCR testing system, and the buyouts are expected to streamline the commercialization of the YourTest device by bringing all related assets and intellectual property under Co-Diagnostics’ control.
“The infectious disease testing landscape has shifted dramatically in the past two years, especially as it relates to COVID-19, and we have long maintained that regular, efficient, affordable PCR tests at the point of care and especially in at-home settings is the only way to truly operationalize testing to the extent necessary to allow for a high quality of life in this changed world,” Co-Diagnostics CEO Dwight Egan said in a statement. “Our strategy going forward is focused on making this next-generation healthcare solution available worldwide.”
Under the terms of the agreements, Co-Diagnostics issued nearly 4.72 million shares of its stock, some of which have been designated as incentives to push Idaho Molecular and Advanced Conceptions to reach certain development and manufacturing milestones as quickly and efficiently as possible. It also doled out another 465,000 common warrants in the transaction.
The total price tag of the joint acquisition wasn’t disclosed.
Since the deals closed at the end of the year, both of the companies have become wholly owned subsidiaries of Co-Diagnostics. Additionally, Kirk Ririe, CEO of Idaho Molecular, has been named president of the subsidiary, while Carl Wittwer, M.D., Ph.D., chief medical officer of Idaho Molecular, has been appointed chairman of Co-Diagnostics’ scientific advisory board.
The YourTest device, built on Co-Diagnostics’ Eikon platform, is designed to make PCR testing more affordable and widely accessible, offering rapid analyses in the home or at the point of care.
The cube-shaped reusable device reads saliva and nasal swab samples inserted in single-use test cartridges. It connects to a user’s smartphone to automatically deliver the test results. To start, Co-Diagnostics is developing a COVID-19 test cartridge to be used with the YourTest, with plans for other respiratory and infectious disease diagnostics to follow.
And with the acquisition complete, Co-Diagnostics is aiming to wrap up the development of the YourTest device and coronavirus test soon, then submit them for FDA review.