Genedrive receives R&D tax credit, plans fundraise

Point-of-care pharmacogenetic testing company Genedrive announced the receipt of a research and development tax credit totalling £0.8m on Friday, taking its unaudited cash balances to £1.2m.

The AIM-traded firm said its strategic direction, as outlined in its audited final results on 30 November, entailed evaluating its necessities, and exploring various funding avenues.

It said it was seeking to bridge the financial gap until revenue generation rendered the company self-sufficient.

To facilitate those plans, the board said it was intending to pursue further equity investment in the coming weeks.

The primary objective behind the proposed equity raise would be to furnish Genedrive with a long-term financing solution to propel its initiatives, including the augmentation of sales for its two tests in approved markets.

Additionally, Genedrive said it would pursue US Food and Drug Administration (FDA) approval for its AIHL test in the lucrative United States market, which was expected to emerge as a significant revenue stream in the future.

Genedrive said it would report its interim results for the six months ended 31 December on 28 March.

At 1407 GMT, shares in Genedrive were down 9.82% at 3.72p.

Reporting by Josh White for Sharecast.com.