Sema4 introduced Tuesday that it’s buying GeneDx in a transfer the well being intelligence firm expects will improve its data-driven insights and enhance its market place in girls’s well being and the analysis of uncommon ailments.
The deal between Stamford, Connecticut-based Sema4 and GeneDx’s dad or mum, Miami-based OPKO Well being, additionally introduced in $200 million in a personal transaction from progress and life sciences buyers, together with Pfizer that may strengthen Sema4’s stability sheet.
In a information launch, the newly mixed firm projected it could be “one of many largest and most superior suppliers of genomic scientific testing within the U.S., with a projected $350 million in professional forma 2022 income.”
The CEO of GeneDx, Katherine Stueland, will turn out to be co-CEO of Sema4 alongside Sema4’s founder and chief Eric Schadt; and she or he’ll be part of Sema4’s board of administrators. The most recent transfer comes simply six months after Sema4 went public by way of a virtually $800 million SPAC merger with CM Life Sciences in July final 12 months. Sema4’s inventory worth closed down practically 15% at $3.45 per share Tuesday on the Nasdaq International Choose Market, but it surely started to climb once more in preliminary after-hours buying and selling.
“Sema4 has made important investments to create essentially the most clinically superior knowledge insights engine for sufferers, clinicians, well being methods and biopharma companions,” Schadt stated in a convention name.
“The acquisition of GeneDx will speed up our efforts and improve our price proposition … remodeling Sema4 into a bigger and stronger firm with a quicker path to profitability,” he stated. “From a strategic standpoint, this deal will buttress our present management place in complete reproductive well being genomic testing options and supply us with fast alternatives to leverage GeneDx’s operational excellence.”
He additionally touted the newly shaped management workforce, and particularly, the industrial and operational expertise Stueland brings to Sema4. Along with operational excellence, Stueland can even concentrate on Sema4’s diagnostic enterprise. Schadt stated he’d be specializing in main R&D, the IT platform elements of Sema4, strategic improvement of the corporate’s well being intelligence capabilities, and partnerships with well being methods and biopharma.
Jason Ryan, who was previously the chief monetary officer at Basis Medication, will chair Sema4’s board of administrators.
Stueland stated within the convention name Tuesday that she admired the work being finished at GeneDx even earlier than she formally joined the corporate. “Over time it has been a quiet pioneer in diagnosing the toughest to diagnose sufferers,” she stated.
Now, management count on the mixed firm will likely be in a position transfer much more rapidly and expertly towards enhancing affected person analysis and making precision medication the usual of care. “This can be a actually transformational mixture of corporations, applied sciences and groups,” Stueland stated. “And it’s solely going to speed up each of our progress plans geared in the direction of enhancing healthcare for everybody.”
Photograph: Andy, Getty Photos