Interpace Biosciences completes the sale of its pharmaceutical services business to Flagship Biosciences, Inc.

Interpace Biosciences, Inc.

  • Interpaces transitions to concentrate Molecular diagnostic activity

  • Provision of pharmaceutical services Expected at Iimprove the Operating Cash Flow of almost $5 million Aannually

PARSIPPANY, NJ, Aug. 31, 2022 (GLOBE NEWSWIRE) — Interpace Biosciences, Inc. (OTCQX:IDXG) (“Interpace” or the “Company”), a leader in personalized medicine, announced that it has entered into a definitive asset purchase agreement under which Flagship Biosciences , Inc. acquired the Pharma Services Business (Interpace Pharma Solutions). The Company will use the proceeds of the transaction for working capital requirements and investments to help drive the growth of its molecular diagnostics business.

“With the closing of the transaction, we expect the company’s operating cash flow to improve by nearly $5 million per year. We will be a focused molecular diagnostics company offering the best solutions in its category and diagnostic information, to determine the presence of certain cancers to clinicians and We believe that eliminating the burden of negative cash flow from the Pharma Services business will allow the company and management to spend time and resources to product expansion, improved clinical utility of existing and new products, incremental revenue growth through increased customer acquisition, and reimbursement increases due to the ‘improvement in contracts and billing, resulting in substantial improvement in margins,’ said Dr. Thomas Burnell, President and CEO.

“Further,” continued Dr. Burnell, “I believe that focusing our resources and attention solely on innovative enhancements and growth of the Diagnostics business will provide the greatest benefit to our current and new customers as well as to our shareholders.

About Interpace Biosciences

Interpace Biosciences is an emerging leader in advancing personalized medicine, offering specialized services across the therapeutic value chain, including early diagnosis and prognostic planning.

Clinical Services, through Interpace Diagnostics, provides clinically useful molecular diagnostic tests, bioinformatics and pathology services to assess cancer risk by leveraging the latest technologies in personalized medicine to improve diagnosis and patient management. Interpace has five commercialized molecular tests and one test in the clinical evaluation program (CEP): PancraGEN® for the diagnosis and prognosis of pancreatic cancer from pancreatic cysts; PanDNA, a “molecular only” version of PancraGEN® which provides physicians with a snapshot of a limited number of factors; ThyGenNEXT® for the diagnosis of thyroid cancer from thyroid nodules using a next-generation sequencing test; ThyraMIR® for the diagnosis of thyroid cancer from thyroid nodules using a proprietary gene expression test; and RespriDX® which differentiates lung cancer of primary origin versus metastatic. Additionally, BarreGEN®a molecular test that helps resolve the risk of Barrett’s esophagus progressing to esophageal cancer, is currently undergoing a clinical evaluation program (CEP) where we are collecting information from physicians using BarreGEN® to help us gather clinical evidence relating to the safety and performance of the test and also to provide data that will potentially support payer reimbursement.

For more information, please visit the Interpace Biosciences website at www.interpace.com.

Forward-looking statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, relating to the future financial and operating performance of the Company. . The Company has attempted to identify forward-looking statements by using terminology that includes “believes”, “estimates”, “anticipates”, “expects”, “plans”, “projects”, “intends to “, “potential”, “may”, “could”, “”could”, “will”, “should”, “approximately”, or other words that convey uncertainty of future events or results to identify these statements These statements are based on current expectations, assumptions and uncertainties involving judgments regarding, among other things, future economic, competitive and market conditions and future business decisions, all of which are difficult or impossible to accurately predict and many of which are beyond the Company’s control. These statements also involve known and unknown risks, uncertainties and other factors that could cause the Company’s actual results to differ materially from those expected. rhymed or implied by forward-looking statements, including, but not limited to, the Company’s test reimbursement being subject to review by CMS, the adverse impact of the COVID-19 pandemic on operations and revenues of the Company, substantial doubt as to the Company’s ability to continue as a going concern, the possibility that the Company’s estimates of future revenues, cash flows and EBITDA may prove to be materially inaccurate , the Company’s history of operating losses, the Company’s ability to adequately finance its operations and seek other sources of financing, the Company’s ability to repay its borrowings from Comerica Bank and BroadOak, the Company’s dependence on sales and reimbursements of its clinical services, the Company’s ability to retain or obtain reimbursement, including its reliance on third parties to process and trans put claims to payers and the adverse impact of any delay, loss of data or other disruption in the processing or transmission of such claims, and the Company’s revenue recognition being based in part on estimates for future recoveries, which estimates may turn out to be incorrect. In addition, all forward-looking statements are subject to the “Risk Factors” detailed from time to time in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2021, as amended, Current Reports on Form 8-K and Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission. Due to these and other risks, uncertainties and assumptions, undue reliance should not be placed on these forward-looking statements. Further, such statements speak only as of the date of this press release and, except as required by law, the Company undertakes no obligation to publicly revise or update any forward-looking statements for any reason. it would be.

Interpace Biosciences contacts:
Investor Relations
Interpace Biosciences, Inc.
(855) 776-6419
[email protected]

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