Trinity Biotech Stock Surges After $45M Capital Infusion From Korea-Based Firm

Trinity Biotech plc TRIB announced a $45 million investment and partnership with MiCo Ltd, a KOSDAQ-listed and Korea-based company.

• MiCo is engaged in the biomedical business through its affiliate MiCo BioMed and provides cutting-edge technology-driven solutions in the semi-conductor and green energy sectors.
• MiCo's investment consists of approximately 11.2 million ADSs at $2.25 per ADS, representing a 130% premium to Trinity Biotech's closing price of $0.98 on April 8.
• MiCo will hold 29.9% of Trinity Biotech's voting share capital following this investment.
• In addition to the newly issued equity, the company has agreed to issue a seven-year, unsecured junior convertible note for $20 million, with a fixed interest rate of 1.5% and an ADS conversion price of $3.24 per ADS. 
• The company intends to use the funds primarily to repay a portion of its $81.25 million term loan, which is expected to reduce its annual interest cost by approximately $4 million each year. 
• The company reported FY21 sales of $92.96 million, down 8.8% Y/Y.
• Point-of-Care revenues increased 12.2% to $10.3 million, driven by higher HIV sales in Africa.
• Clinical Laboratory revenues decreased 10.9% to $82.6 million, mainly due to lower PCR Viral Transport Media sales.
• Price Action: TRIB shares are up 37.7% at $1.35 during the market session on the last check Monday.