Renalytix surges on takeover approach

Renalytix surged on Monday after saying it had received an unsolicited takeover approach from "a large and well-capitalised publicly listed strategic diagnostics company".

The artificial intelligence-enabled in vitro diagnostics company said the firm was currently in the process of evaluating an acquisition.

As a result, Renalytix has begun a review of all available options and has started a formal sale process.

"The formal sale process will enable the board and its advisers to conduct an orderly process and engage more widely with all potentially interested parties, with a view to optimising the outcome for Renalytix's shareholders," it said.

The company also said that as part of a review of funding options currently being explored, its directors are considering possible sources of funding, including equity and debt.

"The company is in advanced discussions with certain existing shareholders as well as potential new equity and debt providers," it said.

As at 3 March, Renalytix has cash on hand of $2.3m and marketable securities of about $1.4m.

At 1135 GMT, the shares were up 63% at 65.2p.