Portfolio company Inivata acquired by NeoGenomics

RNS Number : 5435X

IP Group PLC

05 May 2021

 

FOR RELEASE ON

05 May 2021

THIS ANNOUNCEMENT CONSTITUTES INSIDE INFORMATION AS STIPULATED UNDER THE MARKET ABUSE REGULATION (EU) NO.596/2014.

IP Group plc - Portfolio company Inivata acquired by Nasdaq-listed NeoGenomics

IP Group plc (LSE: IPO) ("IP Group" or "the Group"), the developer of intellectual property-based businesses, notes that portfolio company Inivata Ltd ("Inivata"), a leader in liquid biopsy, has announced that NeoGenomics, Inc (NASDAQ: NEO. ) has agreed to acquire Inivata.

The acquisition follows a $25 million equity investment by NeoGenomics in Inivata in May 2020, at which time NeoGenomics was granted a fixed price option to purchase the remainder of Inivata for $390 million.

As a result, IP Group will receive approximately $91 million (£66 million*) in cash or, potentially, NeoGenomics stock, at the Group's election and if certain other conditions are satisfied. The Directors anticipate that the transaction will result in an increase in the Group's net asset value of approximately £28 million*. Completion of the transaction is subject to US anti-trust filing.

Dr Craig Richardson, Partner, IP Group Life Sciences, and IP Group's representative on the Inivata Board, said: "This is an excellent outcome for Inivata's shareholders and management team. As part of NeoGenomics, Inivata's innovative liquid biopsy products now have a superb chance of fulfilling their full potential and, most importantly, improving the detection and treatment of cancer, thereby improving patients' lives. In addition, this exit represents a very good financial result for IP Group."

Inivata will remain a separate business division alongside NeoGenomics' growing clinical, pharma and informatics divisions. Current Inivata CEO Clive Morris will become the President of Inivata and will report to Mark Mallon, CEO of NeoGenomics.

* GBP equivalents calculated using 1.39 USD/GBP.

For more information, please contact:

IP Group plc	www.ipgroupplc.com
Greg Smith, Chief Financial Officer Liz Vaughan-Adams, Communications	[phone] [phone]/[phone]
Charlotte Street Partners
David Gaffney	[phone]
Andrew Wilson	[phone]

Notes for editors

About IP Group

IP Group is a leading intellectual property commercialisation company which focuses on evolving great ideas, mainly from its partner universities, into world-changing businesses. The Group has pioneered a unique approach to developing these ideas and the resulting businesses by providing access to business building expertise, capital (through its 100%-owned FCA-authorised subsidiaries IP Capital and Parkwalk Advisors), networks, recruitment and business support. IP Group has a strong track record of success and its portfolio comprises holdings in early-stage to mature businesses across life sciences and technology. IP Group is listed on the Main Market of the London Stock Exchange under the code IPO.

Group holdings in portfolio companies reflect the undiluted beneficial equity interest excluding debt, unless otherwise explicitly stated.

For more information, please visit our website at www.ipgroupplc.com .

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