NGeneBio attracts ₩5 billion investment from UAE-based Euro Alliance

NGeneBio, a Korean NGS precision diagnostic platform company, announced Tuesday that it decided to raise 5 billion won ($3.6 million) through a third-party allotment capital increase to finance operations and the acquisition of other companies. This decision was made during a board meeting held on May 31.

A total of 1,766,785 shares will be issued through the capital increase, which will be fully subscribed by Euro Alliance, a strategic investor based in the UAE. Euro Alliance is a technology group specializing in investment and medical technology commercialization, with bases in Dubai, UAE, and Switzerland.

On April 26, Euro Alliance signed a technology transfer agreement with NGeneBio to secure an NGS business facility in India's largest medical technology park, AMTZ. Additionally, Euro Alliance is pursuing product registration with local licensing authorities to promote NGeneBio's precision diagnostics business in India and the UAE.

Following the latest investment, NGeneBio and Euro Alliance will establish joint ventures in India and the UAE to pursue precision diagnostics and healthcare businesses using NGS technology. NGeneBio stated it will use the funds raised through the capital increase to expand its business in India and the Middle East, including establishing JVs and covering operating expenses for overseas business promotion.

"This capital increase is a result of the recognition of NGeneBio’s best technology in the field of NGS, and we expect a full-scale increase in sales in the Indian and UAE markets from the second half of the year," said Choi Dae-chul, CEO of NGeneBio. "Strategic investment and business cooperation with Euro Alliance, which has a diverse business network in India and the UAE, can greatly increase the likelihood of business success while eliminating all the risks of overseas expansion for domestic companies. We are already considering various business agreements."

He added, "By analyzing genomic data and providing precision diagnostic services, especially targeting the 1.4 billion population in India, we aim to grow into a leading global precision diagnostics company."