Lucira Health Seeks Strategic Partner For FDA-Approved Test

By Dia Gill

Lucira Health Inc. is seeking a strategic or financial partner to aid resumption of manufacturing for its Covid-19 & Flu test, which received emergency authorization from the U.S. Food and Drug Administration on Friday.

The medical technology company's call for strategic partners comes after it filed for Chapter 11 bankruptcy ahead of the FDA's approval.

"We regret that we had no option but to file for Chapter 11 bankruptcy and that this occurred days before we received regulatory authorization, " said President and CEO of Lucira Health Erik Engelson. "Unfortunately we were unable to bridge what became a protracted authorization cycle time within our current capital structure and it remained unclear to us when the regulatory authorization would come through, despite working closely with FDA."

At the time of its bankruptcy filing, the Emeryville, Calif.-based company said it would continue its operations during the Chapter 11 process, while seeking a sale of the business.

The company's stock more than doubled in the hours after the FDA's authorization on Friday, climbing more than 150% in after-hours trading.

Lucira's Covid-19 & Flu test is the first at-home test able to detect the flu, and the first test able to detect and differentiate between the flu and Covid-19. The test relies on a single nasal swab and provides results in less than 30 minutes.

The company said that the test has the potential to play a large role in future flu seasons when rates of transmission for Covid-19 and the flu are higher than normal.

Write to Dia Gill at [e-mail]

(END) Dow Jones Newswires

February 27, 2023 09:04 ET (14:04 GMT)

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