Oxford Nanopore Plans Earnings Breakeven by 2026

Oxford Nanopore shares have experienced an upward surge following the company’s confirmation of its goal to achieve earnings breakeven by 2026. Moreover, bioMerieux has demonstrated its confidence in Oxford Nanopore by investing £70 million ($85 million) in the company through the purchase of shares at a premium price.

As of 07:39 GMT, shares have risen by 15% or 27.5 pence, reaching 215.6 pence.

In addition to this positive development, Oxford Nanopore has also announced a collaborative partnership with the Mayo Clinic. This multi-year joint venture aims to foster the creation of novel clinical tests for various diseases, ultimately enhancing patient care.

Moreover, Oxford Nanopore has restated its plans to achieve adjusted earnings before interest, taxes, depreciation, and amortization breakeven by the conclusion of 2026. The company intends to present its comprehensive strategy for driving growth in the near-to-medium term, with an emphasis on capitalizing on the significant opportunities available in the life-science research-tools market.

Furthermore, bioMerieux has acquired 29 million new shares from Oxford Nanopore, representing an additional 3.5% of the company’s issued share capital. Each share was purchased at a price of 238.0 pence per share, reflecting a premium of 26.5% compared to the closing share price on Wednesday (188.1 pence). This investment not only strengthens the existing partnership between bioMerieux and Oxford Nanopore, which was previously announced in April, but bioMerieux has also expressed its intention to potentially acquire an additional 3.5% of Oxford Nanopore’s shares through market purchases in the future.

The infusion of capital from bioMerieux will provide substantial support for the development of products within Oxford Nanopore’s portfolio, primarily targeting the in vitro diagnostics markets.