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AnteoTech (ASX:ADO) raises funding for SARS-CoV-2 test

Health Care
ASX:ADO      MCAP $52.98M
28 April 2021 10:40 (AEST)
AnteoTech (ASX:ADO) - CEO, Derek Thomson

Source: AnteoTech

AnteoTech (ADO) has secured funding for the roll-out of the company’s SAR-CoV-2 test.

The company secured firm commitments to raise $12 million through the issue of 26.2 million new fully paid ordinary shares at an issue price of $0.26 per share. This price represents a 9.9 per cent discount to the 30-day volume-weighted average price (VWAP), and a 20.3 per cent discount to the 10-day VWAP.

The placement was strongly supported by a range of new institutional and sophisticated investors.

Funds from the placement will be used to scale up the roll-out of the AnteoTech’s EuGeni reader and in-vitro rapid diagnostic test for detecting the SARS-CoV-2 nucleocapsid antigen.

The EuGeni COVID-19 Antigen Rapid Test is a single use, diagnostic test used by healthcare professionals to detect SARS-CoV-2 in the upper part of the pharynx from patient who are suspected to carry the COVID-19 infection. The test carries a 97.3 per cent sensitivity and 99.6 per cent specificity rating.

The new capital will also accelerate its pipeline of other assay tests, including its COVID-19, FluA, FluB Multiplex tests and a Sepsis test, as well as general working capital.

“AnteoTech now has the necessary financial flexibility to scale up operations and accelerate the rollout of its EuGeni reader platform and COVID-19 ART test, as well as our growing pipeline of other assay tests which will provide us with a considerable competitive advantage in the current market,” said AnteoTech CEO Derek Thomson.

The company now plans to launch a share purchase plan (SPP) for eligible, existing investors to raise an additional $4 million. The SPP will offer shareholders up to $30,000 worth of new fully paid ordinary shares at the same price as the placement.

The SPP is planned to open on May 4 and close May 18, 2021.  

AnteoTech shares are trading flat at 41.5 cents at 10:00 am AEST.

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