SALT LAKE CITY - Myriad Genetics , Inc. (NASDAQ: NASDAQ:MYGN), a company specializing in genetic testing and precision medicine, announced Monday a strategic reorganization of its European operations. The restructuring includes the sale of its EndoPredict business to Eurobio Scientific, a prominent French diagnostics group, and a licensing agreement for Eurobio to sell Prolaris in vitro diagnostic kits outside the United States.
The move is aimed at aligning the company's resources more effectively with its domestic market while maintaining its international presence through strategic partnerships. Myriad Genetics will retain the rights to produce and sell EndoPredict as a Laboratory Developed Test (LDT) within the U.S., integrating it into its Precise Oncology Solutions suite.
Paul J. Diaz, president and CEO of Myriad Genetics, stated that this reorganization would foster growth opportunities for EndoPredict in Europe through Eurobio's strong market presence. Additionally, it enables Myriad to enhance its growth in other global businesses more efficiently.
EndoPredict is a prognostic test for breast cancer that aids in assessing the risk of recurrence, helping patients decide on the necessity of chemotherapy. Prolaris is a molecular diagnostic test providing personalized information on the aggressiveness of prostate cancer.
The transaction is expected to close in the second or third quarter of 2024, subject to standard closing conditions. Myriad Genetics continues to focus on genetic tests that assess disease risk, progression, and treatment guidance across various medical specialties, aiming to improve patient care and reduce healthcare costs.
The information in this article is based on a press release.
InvestingPro Insights
As Myriad Genetics, Inc. (NASDAQ: MYGN) navigates through its strategic reorganization in Europe, investors and stakeholders are closely monitoring the company's financial metrics and market performance. According to real-time data from InvestingPro, Myriad Genetics currently holds a market capitalization of $1.81 billion. Despite not being profitable over the last twelve months, the company has shown a significant revenue growth rate of 11.03% during the same period, indicating potential in its restructuring strategy.
The company's stock price has experienced volatility, which is a crucial consideration for investors. An InvestingPro Tip indicates that stock price movements for Myriad Genetics are quite volatile, which may influence investment decisions especially around strategic moves like the recent reorganization.
Additionally, analysts predict that Myriad Genetics will turn profitable this year, which could be a pivotal point for the company following its decision to streamline operations and focus on its domestic market while leveraging partnerships in Europe. Another InvestingPro Tip highlights that the company operates with a moderate level of debt, which could provide some financial flexibility in executing its strategic plans.
For those looking to delve deeper into the financial health and future prospects of Myriad Genetics, InvestingPro offers further insights and tips. There are additional InvestingPro Tips available for Myriad Genetics, which can be accessed by visiting https://www.investing.com/pro/MYGN. To enhance your experience, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.