Bio-techne to sell exosome diagnostics business to mdxhealth

MINNEAPOLIS - Bio-Techne Corporation (NASDAQ:TECH), a company currently valued at $8.54 billion, announced Tuesday it has reached an agreement to sell its Exosome Diagnostics business to mdxhealth SA, a company specializing in urologic cancer diagnostics. According to InvestingPro data, Bio-Techne maintains a "GOOD" financial health rating, suggesting strong positioning for strategic moves.

The deal includes the ExoDx Prostate (EPI) test, a CLIA-certified clinical laboratory and related assets, while Bio-Techne will retain access to the proprietary exosome-based technology for kit development in its precision diagnostics division.

Under the terms of the agreement, Bio-Techne will receive $5 million in mdxhealth stock along with future considerations. The transaction is expected to close during the first quarter of Bio-Techne’s fiscal 2026.

"Following this transaction, Bio-Techne will strengthen its foundation as a developer of innovative, high value, high margin products, tools and reagents for the life science research and clinical diagnostics markets," said Kim Kelderman, President and CEO of Bio-Techne, in the press release statement. The company’s solid financial position is reflected in its healthy current ratio of 3.71, indicating strong liquidity to support operations.

The ExoDx Prostate test helps men make informed decisions about prostate biopsies, potentially avoiding unnecessary procedures.

Michael McGarrity, CEO of mdxhealth, described the acquisition as "a strong strategic fit" with the company’s growing urology and prostate cancer diagnostic business.

Bio-Techne plans to discuss this transaction and its fourth quarter fiscal 2025 performance during its earnings call on Wednesday.

The Minnesota-based company generated approximately $1.2 billion in net sales in fiscal 2024 and employs over 3,000 people worldwide, according to the company’s statement.

In other recent news, Bio-Techne Corporation has announced a strategic distribution partnership with Spear Bio to expand the reach of its SPEAR UltraDetect immunoassay technology, particularly targeting the neurology research market. This collaboration is set to focus on critical biomarkers relevant to neurodegenerative disease research. Meanwhile, Bio-Techne’s financial outlook has been a topic of discussion among analysts. Benchmark analysts have maintained a Buy rating on the company, projecting fourth-quarter revenues of $315 million for fiscal year 2025, marking a 3% increase from the previous year, with earnings estimated at $0.50 per share.

Scotiabank has adjusted its price target for Bio-Techne to $75, citing a broad range of potential growth rates due to the company’s exposure to various sectors. Stifel has kept its Hold rating with a $60 price target, noting a constructive tone from Bio-Techne’s management despite sector-wide challenges. Additionally, Wells Fargo has initiated coverage with an Overweight rating and a $59 price target, highlighting Bio-Techne’s strong financial position and potential for future strategic acquisitions. These developments reflect a mixed but cautiously optimistic outlook from analysts regarding Bio-Techne’s future performance.

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