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  • Lumos Diagnostics (LDX) will begin trading on the ASX in July following the completion of an IPO that’s expected to raise up to $63 million
  • The company will issue 30.4 million new shares at $1.25 each, generating roughly $38 million in proceeds
  • A further 20 million shares will be sold by existing shareholders, who will pocket an additional $25 million
  • Upon completion of the IPO, Lumos says it will continue to seek regulatory approval for new and existing products
  • It will also look to grow its Commercial Services business by seeking long-term collaborations with clients
  • Completion of the offer is expected to occur on June 29 before Lumos begins trading on Monday, July 5

Shares in Lumos Diagnostics (LDX) will begin trading on the ASX in July following the completion of an IPO that’s expected to raise up to $63 million.

The developer and manufacturer of rapid, point-of-care (POC) diagnostic solutions said it intended to issue 30.4 million new shares at $1.25 each, generating roughly $38 million in proceeds.

A further 20 million shares will be sold by existing shareholders, who will pocket an additional $25 million.

New shareholders are anticipated to hold around 33.6 per cent of Lumos shares, while existing shareholders will retain a 66.4 per cent stake.

The Lumos business was founded in 2015 as a spin-off from Planet Innovation, a healthcare investment and commercialisation company based in Melbourne.

In 2017, it acquired Kestrel Biosciences and its rapid diagnostic assay development capability, before officially changing its name to Lumos Diagnostics the same year.

In 2019, Lumos merged with Florida-based Rapid Pathogen Screening, which at the time was primarily focused on the development and commercialisation of the POC diagnostic test FebriDx.

FebriDx — designed to identify patients with a microbial infection, and whether that infection is viral or bacterial — was launched last year and has already posted initial commercial sales in markets like the United Kingdom, Germany and Canada.

The test is now under review by the US Food and Drug Administration (FDA) in preparation for a launch in the US.

The early success of FebriDx means Lumos is expected to record $23.8 million in revenue for the 2021 financial year, after tripling its revenue to $11.5 million in the six months ending December 31, 2020.

“The purpose of the offer is to provide funding and financial flexibility to support Lumos’ growth strategy and future growth opportunities,” Executive Chairman Sam Lanyon said.

He also noted that it would “broaden Lumos’ shareholder base and provide a liquid market for shares,” and offer access to “the benefits of an increased brand profile that may arise from being a publicly listed entity.”

Upon completion of the IPO, Lumos said it would continue to seek regulatory approval for new and existing products, as well as putting FebriDx in the hands of more doctors and clinical staff.

It will also look to grow its Commercial Services business — which develops and manufactures POC diagnostic tests for other companies — by seeking long-term collaborations with clients.

Completion of the offer is expected to occur on June 29 before Lumos begins trading on Monday, July 5.

LDX by the numbers
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