Completion of AffinityDNA Acquisition expanding global direct-to-consumer business

Rhea-AI Summary

Genetic Technologies Limited (NASDAQ: GENE) has completed its acquisition of AffinityDNA's direct-to-consumer eCommerce business and distribution rights, initially announced on May 16, 2022. This strategic move aims to enhance GENE's direct-to-consumer capabilities and tap into the growing consumer genomics market. The acquisition adds 51 tests across 14 categories to GENE's portfolio, including non-invasive prenatal testing and lifestyle genomics. GENE retains AffinityDNA's team in the UK and plans to leverage its market presence to boost sales of its geneType Multi Risk test.

Positive

• Strengthens direct-to-consumer channel for GENE, expanding market reach.
• Increases product portfolio to 51 tests in 14 categories, enhancing revenue potential.
• Retains expertise of AffinityDNA’s team to ensure continuity and growth.

Negative

• None.

MELBOURNE, Australia, July 14, 2022 (GLOBE NEWSWIRE) -- Genetic Technologies Limited (ASX: GTG; NASDAQ: GENE, “Company”, “GENE”), a global leader in genomics-based tests in health, wellness and serious disease is delighted to announce that it has completed the acquisition of the direct-to-consumer eCommerce business and distribution rights associated with AffinityDNA as announced on May 16, 2022¹.

Acquisition Highlights:

• Strategic acquisition strengthens the direct-to-consumer channel for GENE, building on the incremental EasyDNA expansion opportunities recently announced (ASX July 5, 2022²).
• Provides additional platform for growth in the multibillion-dollar consumer genomics market, leveraging AffinityDNA’s well-established marketplace worldwide, including in the US, UK, and Europe.
• The three brands, geneType, EasyDNA and AffinityDNA now anchor revenues for GENE with the most comprehensive portfolio of testing available for individuals and animals including Non-Invasive Prenatal Testing (NIPT), Carrier screen testing, Monogenic diseases and pet care.
• This acquisition now expands GENE’s portfolio of tests to 51 tests in 14 categories across more than 40 countries. Currently Affinity sells a wide range of DNA tests including lifestyle, health and wellbeing genomics-based tests, as well as animal testing relating to allergies and tolerances via online marketplaces including Amazon.
• Under the terms of the agreement, GENE has acquired all AffinityDNA’s assets including websites, brand identities, laboratory testing and distribution agreements consistent with the Company’s announcement on May 16, 2022.
  

This marks the second acquisition by GENE in 12 months as part of its planned expansion into the direct-to-consumer market. In August 2021, the Company acquired EasyDNA, providing access to all its associated brands, websites and reseller agreements across 70 websites in 40 countries and 12 partner laboratories.

Simon Morriss, Chief Executive Officer of GENE said, “AffinityDNA is an exciting addition to the GENE Group. This acquisition builds on our direct-to-consumer sales channel and supports the promotion of the geneType Multi Risk test for serious disease across our target markets worldwide. We are looking forward to working closely with the AffinityDNA team to grow its already impressive sales performance.”

GENE have started onboarding the existing team, retaining the skills and expertise of AffinityDNA’s employees based in the UK. This includes the retention of key management in a consulting role. No changes will be made to the GENE board and key management personnel.

About Genetic Technologies Limited
Genetic Technologies Limited (ASX: GTG; Nasdaq: GENE) is a diversified molecular diagnostics company. A global leader in genomics-based tests in health, wellness and serious disease through its geneType and EasyDNA brands. GENE offers cancer predictive testing and assessment tools to help physicians to improve health outcomes for people around the world. The Company’s Polygenic Risk Scores (PRS) platform is a proprietary risk stratification platform developed over the past decade integrating clinical and genetic risk delivering actionable outcomes from physicians and individuals. Leading the world in risk prediction in Oncology, Cardiovascular and Metabolic diseases. Genetic Technologies continues to develop a pipeline of risk assessment products. For more information, please visit www.genetype.com

About AffinityDNA
AffinityDNA is an industry-leading DNA Testing company with more than 15 years’ experience in the DNA business and established partnerships with some of the most highly accredited DNA testing laboratories in the world. They offer a number of lifestyle and health and wellbeing tests, and animal testing relating to allergies and tolerances. For more information, please visit: https://www.affinitydna.co.uk/

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¹ Acquisition of Global Direct to Consumer Ecommerce Business
² EasyDNA Expands Indian and European Markets

FAQ

What is the significance of Genetic Technologies Limited's acquisition of AffinityDNA?

The acquisition enhances GENE's capabilities in the direct-to-consumer genomics market and expands its product offerings.

How many tests does GENE's portfolio have after acquiring AffinityDNA?

After the acquisition, GENE's portfolio expands to 51 tests across 14 categories.

When was the acquisition of AffinityDNA announced?

The acquisition was announced on May 16, 2022.

What types of testing does AffinityDNA offer?

AffinityDNA offers a range of DNA tests including lifestyle, health, and animal testing.

How will the acquisition impact GENE's future growth?

The acquisition is expected to provide GENE with new growth opportunities in the multibillion-dollar consumer genomics market.