A potential takeover at Renalytix plc has fallen through.
The Welsh MedTech, which is targeting kidney disease and is dual-listed in New York and London, said in March it had received an unsolicited approach from a ‘large and well-capitalised publicly listed strategic diagnostics company’.
“The board of the company has determined that based on outreach, dialogue and discussions to date, it does not believe there is a realistic prospect of an offer for the issued, and to be issued, share capital of Renalytix being forthcoming in the near term,” it stated this morning.
“As such, the board has decided to terminate the formal sale process… the company is therefore no longer in an offer period.”
In June Renalytix said it was appealing against a delisting from the US Nasdaq exchange for failing to meet a minimum bid price over 30 consecutive business days while its market value of listed securities also failed to meet the $50 million threshold required.
However, today it said it is in advanced discussions with key stakeholders, who have “indicated their support for management to achieve the company’s goals of the refreshed business plan”.
This includes focused expenditure and investment alongside reduced operating costs, as well as a “suitable capital structure and funding”.
Renalytix has achieved FDA approval in the US for its KidneyIntelX technology, as well as a Medicare coverage determination for its kidneyintelX.dkd testing with an established price of $950 per test.
“Renalytix has made positive progress operationally this year in addition to the financings completed earlier in 2024,” it added. “The company believes that the total addressable market opportunity for KidneyIntelX provides potential for significant growth in revenues over the next three years, subject to funding and continued development of commercial partnerships.
“Subsequent to the financings that were successfully completed earlier in 2024, the company has cash runway extending into Q4 2024, with an unaudited cash position of $4.7m.”
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