- Genetic Technologies (GTG) acquires EasyDNA for around $5.4 million in cash and scrip
- Under the contract, GTG obtains all of Belhealth’s websites, lab testing and distribution agreements associated with its EasyDNA business
- GTG says it will onboard the existing EasyDNA team, retaining the skills of all employees based in Malta and Australia
- The company says the acquisition will provide it with the foundation to grow its portfolio of serious disease tests across well-established websites in 40 countries
- Genetic Technologies closed flat at 0.8 cents per share
Genetic Technologies (GTG) will acquire EasyDNA for around $5.4 million in cash and scrip.
The agreement will see Genetic Technologies acquire the e-commerce business and distribution rights associated with General Genetics Corporation, trading as EasyDNA from Belhealth Investment Fund.
Under the contract, GTG will acquire all of Belhealth’s websites, lab testing and distribution agreements associated with its EasyDNA business for US$4 million (around A$5.4 million).
This will be made up of US$2 million (A$2.7 million) in cash on completion, US$1.5 million (A$2 million) paid in GTG ADRs and US$500,000 (A$677,000) in cash to be held in escrow payable to BelHealth on the first anniversary of closing.
EasyDNA sells paternity, oncology and health genomics-based laboratory tests, with agreements across 12 labs in North America, Europe and Asia. In 2020, Easy DNA had total unaudited revenue of US$4.63 million (around A$6.27 million) through retail sales of its at-home DNA tests via its online sales, and saw its revenue grown by 11 per cent over the past two years.
GTG says the acquisition will provide it with the foundation to grow its portfolio of serious disease tests across well-established websites in 40 countries and provide GTG the platform to build its direct-to-consumer offerings and Lifestyle Division.
Simon Morriss, Chief Executive Officer of GTG said the strong alignment of this brand and platform with GTG’s planned expansion into lifestyle testing was critical to its decision to acquire the business of EasyDNA.
“We look forward to integrating the EasyDNA team into our business and working closely with them to continue to build the existing product portfolio and brand recognition they have already achieved,” Simon Moriss said.
GTG will onboard the existing team, retaining the skills of EasyDNA’s employees based in Malta and Australia.
Genetic Technologies closed flat at 0.8 cents per share.