Why Is AI-Powered Diagnostic Firm Renalytix Stock Soaring On Monday?

Renalytix plc RNLX has received an unsolicited acquisition approach from a large, publicly-listed strategic diagnostics company and is evaluating an acquisition of the entire issued, and to be issued, the share capital of the company.

Renalytix is an artificial intelligence-enabled diagnostics company focused on kidney disease.

The company’s lead product, KidneyIntelX, is a laboratory-developed test.

Renalytix’s stock is trading higher on an increased session volume of 9.26 million, compared to the average volume of 1.42 million as per the data from Benzinga Pro.

Renalytix has commenced a formal sale process to review all available options, including a potential sale of the company or assets, and has commenced a formal sale process, the company said in its SEC filing.

The Board is working with and intends to appoint Stifel Nicolaus Europe Limited as the sole financial adviser.

Last week, Renalytix announced that effective March 1, 2024, the United States Government has approved adding the company’s FDA de Novo Marketing authorized test, kidneyintelX.dkd, to its 10-year Governmentwide Acquisition Contract for early-stage kidney disease bioprognostic testing services. 

Effective January 1, 2024, KidneyIntelX and kidneyintelX.dkd testing has been priced at $950 on the Centers for Medicare and Medicaid Services Clinical Lab Fee Schedule.

Price Action: RNLX shares are trading 26.0% higher at $1.32 on the last check Monday.

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