REG - Renalytix PLC - Termination of Formal Sale Process

RenalytixAnnouncement

20/08/2024 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20240820:nRST9865Aa&default-theme=true

RNS Number : 9865A  Renalytix PLC  20 August 2024

Renalytix plc

("Renalytix" or the "Company")

 

Termination of Formal Sale Process

 

LONDON and NEW YORK, 20 August 2024 - Renalytix plc (NASDAQ: RNLX) (LSE:
RENX), an artificial intelligence-enabled in vitro diagnostics company,
focused on optimizing clinical management of kidney disease to drive improved
patient outcomes and advance value-based care, provides the following update
in respect of its Formal Sale Process.

 

As announced on 4 March 2024, the Company commenced its Formal Sale Process
after receiving an unsolicited approach from a large and well-capitalised
publicly listed strategic diagnostics company, which was evaluating an
acquisition of the entire issued, and to be issued, share capital of the
Company.

 

The Board of the Company (the "Board") 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. As such, the Board has decided
to terminate the Formal Sale Process under the Takeover Code and the Company
is therefore no longer in an Offer Period.

 

The Company confirms that it is in advanced discussions with key stakeholders
of the business, who have indicated their support for management to achieve
the Company's goals of the refreshed business plan, with focused expenditure
and investment alongside reduced operating costs, and a suitable capital
structure and funding. The Company will continue to assess options to maximise
value for its shareholders and further updates will be made as appropriate.

 

Having achieved significant milestones for the business, including FDA
approval for KidneyIntelX, and a final Medicare coverage determination for the
Company's 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. The Company believes that the total
addressable market opportunity for KidneyIntelX provides potential for
significant growth in revenues over the next 3 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 as at 30 June 2024.

 

 

For further information, please contact:

 

 Renalytix plc                                                            www.renalytix.com (http://www.renalytix.com)
 James McCullough, CEO                                                    Via Walbrook PR

 Stifel (Nominated Adviser, Joint Broker and Sole Financial & Rule 3      Tel: 020 7710 7600
 Adviser)
 Nicholas Moore / Nick Harland / Ben Good

 Walbrook PR Limited                                                      Tel: 020 7933 8780 or renalytix@walbrookpr.com
                                                                          (http://renalytix@walbrookpr.com)
 Paul McManus / Alice Woodings                                            Mob: 07980 541 893 / 07407 804 654

 CapComm Partners
 Peter DeNardo                                                            Tel: 415-389-6400 or investors@renalytix.com (http://investors@renalytix.com)

 

About Renalytix

Renalytix (NASDAQ: RNLX) (LSE: RENX) is an in-vitro diagnostics and laboratory
services company that is the global founder and leader in the new field of
bioprognosis™ for kidney health. The leadership team, with a combined 200+
years of healthcare and in-vitro diagnostic experience, has designed its
KidneyIntelX laboratory developed test to enable risk assessment for rapid
progressive decline in kidney function in adult patients with T2D and early
CKD (stages 1-3). We believe that by understanding how disease will progress,
patients and providers can take action early to improve outcomes and reduce
overall health system costs. For more information, visit www.renalytix.com
(https://www.globenewswire.com/Tracker?data=ThoNM1PDWeVIxIN1XNvxXoh0EK3Og6d0k06ZfN9GrAjS1_QubydWs_nD7MTPteCUCpzWMT-T9VtSxqrwDhSDHeCPMgeDBf4ZA-6KeA6aJT4=)
.

Important Notices

Stifel Nicolaus Europe Limited is authorised and regulated in the United
Kingdom by the Financial Conduct Authority ("FCA") and is acting exclusively
for the Company and for no one else in connection with the subject matter of
this announcement and will not be responsible to anyone other than Renalytix
for providing the protections afforded to its clients nor for providing advice
in relation to the subject matter of this announcement.

This announcement is not intended to, and does not, constitute or form part of
any offer, invitation or the solicitation of an offer to purchase, otherwise
acquire, subscribe for, sell or otherwise dispose of, any securities whether
pursuant to this announcement or otherwise.

This announcement (including any information incorporated by reference in this
announcement), oral statements made regarding the formal sale process, and
other information published by the Company contain statements about the
Company that are or may be deemed to be forward looking statements. Without
limitation, any statements preceded or followed by or that include the words
"targets", "plans", "believes", "expects", "aims", "intends", "will", "may",
"anticipates", "estimates", "projects" or words or terms of similar substance
or the negative thereof, may be forward looking statements.

These forward-looking statements are not guarantees of future performance.
Such forward-looking statements involve known and unknown risks and
uncertainties that could significantly affect expected results and are based
on certain key assumptions. Many factors could cause actual results to differ
materially from those projected or implied in any forward-looking statements.
Due to such uncertainties and risks, readers should not rely on such
forward-looking statements, which speak only as of the date of this
announcement. The Company disclaims any obligation or responsibility to update
publicly or review any forward-looking or other statements contained in this
announcement, except as required by applicable law.

The distribution of this announcement in jurisdictions outside the United
Kingdom may be restricted by law and therefore persons into whose possession
this announcement comes should inform themselves about, and observe, such
restrictions. Any failure to comply with the restrictions may constitute a
violation of the securities law of any such jurisdiction.

Inside information and responsibility

The information contained within this announcement is deemed to constitute
inside information as stipulated under the Market Abuse Regulations (EU) No.
596/2014. Upon the publication of this announcement this inside information is
now considered to be in the public domain. The person responsible for making
this announcement on behalf of Renalytix is James McCullogh, Chief Executive
Officer.

Publication on website

In accordance with Rule 26.1 of the Takeover Code, a copy of this announcement
will be made available (subject to certain restrictions relating to persons
resident in restricted jurisdictions) on Renalytix's website at
https://investors.renalytixai.com/investors
(https://investors.renalytixai.com/investors) by no later than 12 noon (London
time) on the first business day following the date of this announcement. For
the avoidance of doubt, the content of the website referred to in this
announcement is not incorporated into and does not form part of this
announcement.

 

LEI: 213800NTOH3FK3WER551

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  MSCGZGMRVLDGDZM