Covid testing firm goes public with $1.7bn valuation

Covid testing firm Prenetics is to go public through a merger with special purpose acquisition company (Spac) Artisan Acquisition valuing the combined business at $1.7 billion.

The deal values Prenetics at an enterprise value of $1.25 billion with a combined equity value of about $1.7 billion, “making Prenetics the first unicorn from Hong Kong to be publicly listed in any market”.

Prenetics claims to be the top genomics and diagnostics testing company in Hong Kong and the UK.

Clients include Heathrow, Virgin Atlantic, Eurotunnel Le Shuttle, Hong Kong International airport, the English Premier League and the Hong Kong government.

The company was one of the first private Covid-19 providers listed by the UK government and has 30 locations across the country.

Its revenue is projected to grow at 215% year-on-year from $65 million in 2020 to $205 million this year.

The company, founded just seven years ago, is projecting annual revenues of more than $600 million in 2025.

Artisan, incorporated in the Cayman Islands, is headed by entrepreneur Adrian Cheng.

A joint statement said: “Through combining with Artisan, Prenetics will draw upon Adrian’s well-diversified business portfolio across retail, hospitality, healthcare, property and other strategic businesses, providing tremendous opportunities for closely aligned partnerships and allowing Prenetics to substantially expand its platform.”

Prenetics co-founder and chief executive Danny Yeung said: “This announcement is a significant milestone for Prenetics and for Hong Kong entrepreneurs.

“Our goal is to decentralise healthcare by bringing it closer to millions of patients globally. I am humbled and honoured by Adrian’s trust in us, and we look forward to continuing to work closely across his extensive business network to deliver on the massive potential which exists to disrupt the healthcare market.

“With a strong existing business, an exciting product pipeline, and a clear M&A acquisition strategy for USA geographical expansion, we have first-mover advantage and are well-positioned for our next chapter of growth.”

Cheng added: “It was our core mission to seek out a high impact and high growth global company, and I am very pleased that we have found it with Prenetics.

“We share the vision to provide easily accessible and decentralised healthcare services to millions of people globally.”

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