University of Utah autism diagnosis service provider Lineagen has been snapped up in a transaction worth at least $9.6m in cash, stocks and liabilities.
Genome biology analysis firm Bionano Genomics paid $9.6m to acquire Lineagen, a US-based neurodevelopmental diagnostic services provider exploiting University of Utah inventions, on Monday.
The amount includes $1.7m of cash and around 6.2 million common shares in Bionano Genomics.
Bionano has also agreed to assume $2.9m of Lineage’s liabilities and has paid about $1.1m of a loan made to Lineagen under the US government’s coronavirus business support program.
Founded in 2006, Lineagen supplies genomic tests for screening, evaluating and diagnosing the risk of neurodevelopmental disorders such as autism spectrum disorder in children.
Bionano Genomics anticipates the service will add value to its clinical genome diagnostic and research offering, which includes genomic imaging capable of examining structural abnormalities within chromosomes.
Duplications of a section in the X chromosome have been linked to a genetic disorder characterised by what was once known as severe autism.
In addition to testing, Lineagen also provides genetic counselling to advise patients on the diagnostic process and the reimbursement options available for treatment.
Lineagen closed a $15.8m series C round in 2015 having secured the $12.2m second tranche led by HealthQuest Capital and backed by University Venture Fund, a University of Utah student-run investment vehicle, along with Petra Capital Partners, Mountain Group Partners, Sanderling Ventures, Signal Peak Ventures, PrairieGold Venture Partners, Mesa Verde Venture Partners, Archipel Capital and KickStart Ventures.
The company had obtained $12m in equity funding and debt in 2013, according to a regulatory filing, following a $15m series B round in 2011 with Sanderling Ventures, vSpring Capital, PrairieGold Venture Partners and Mesa Verde Venture Partners, according to FinSMEs.
Lineagen closed its series A round in 2010 at $10.8m with the proceeds raised over two tranches that year from PrairieGold, Sanderling Ventures, vSpring Capital and Mesa Verde Venture Partners.
