Anybody got thoughts on the announcement by EKF Diagnostics that they wants to spin off its investment in Trellus Health Ltd (“Trellus”) by issuing its Trellus shares to EKF Shareholders. While i can read the website information i don't really have a feel for the company. I can find any information on trading, so i'm assuming close to zero revenue.
It’s what Ekf Diagnostics Holdings (LON:EKF) do. They spun out Renalytix Ai (LON:RENX), and shareholders I believe got shares in that company, which has done brilliantly since. Holders of Renalytix Ai (LON:RENX) then say Verici Dx (LON:VRCI) spun out, and that has gone from 20p to 50p in its first few weeks after IPO. So getting the free shares is great. Whether you want to add in the IPO is another issue: the success rate has been good, but you are generally buying a pre-revenue biotech/Pharma/diagnostics company, so you have to take a bit of a leap of faith on fundamentals, but so far those that have trusted the EKF approach have prospered
