- Molecular diagnostics company Genetic Technologies (GTG) has announced it has entered into a share purchase agreement to raise $1.2 million, before costs.
Institutional investors have agreed to purchase a bundle of 1,476,143 American Depository Shares at USD $0.80 per share with each one representing one hundred and fifty of GTG’s ordinary shares.
Investors have also agreed to purchase warrants of 1,107,107 shares. These warrants will be exercisable immediately after purchase and will expire on the five year anniversary of the date of issue.
The funds will be used for general product research and development, expansion into China’s health market and funding for the development of polygenic risk tests with TGen in the US.
Genetic Technologies offers tests for both Breast cancer and colorectal cancer. Its GeneType for breast cancer determines a woman’s risk of developing sporadic breast cancer over a period of time.
With major factors such as genetic markers, breast density and family history accounting for developing the cancer, GeneType works by combining these risk factors and provides a more accurate assessment of breast cancer risk.
Its GeneType for colorectal cancer determines a patient’s risk of developing colorectal cancer. Similarly to its breast cancer GeneType it combines patient age, family history and genetic markers to provide a more accurate assessment of cancer risk.
In total GT is offering 387,487,500 equity shares under its existing placement capacity without shareholder approval. The offer is expected to close at the end of May 2019 and is subject to the satisfaction of customer closing conditions.