Business
Avalon GloboCare Signs Definitive Agreement for Transformational Acquisition of Leading Laboratory with 2021 Unaudited Revenue in Excess of $25 Million
Company to acquire a majority interest in Laboratory Services MSO, LLC, a leading reference laboratory with 2021 unaudited revenue in excess of $25 million,
About this update from Avalon Globocare Corp.
[{"type":"text","content":"Company to acquire a majority interest in Laboratory Services MSO, LLC, a leading reference laboratory with 2021 unaudited revenue in excess of $25 million, net income in excess of $10 million and over 600,000 tests completed since inception Cash portion to be financed with a private placement of $15 million of Avalon preferred stock, convertible at a floor of $1.00 per share, with leak-out provisions, no warrants and a 9-month lock up Company to Begin Trading under New Symbol “ALBT” on November 10, 2022 FREEHOLD, N.J., Nov. 08, 2022 (GLOBE NEWSWIRE) -- Avalon GloboCare Corp. (“Avalon” or the “Company”)(NASDAQ: AVCO), a leading global developer of innovative cell-based technologies and therapeutics, today announced that it has signed a definitive acquisition agreement (the “Acquisition Agreement”) to acquire a 60% interest in Laboratory Services MSO, LLC, a premier reference laboratory. In connection with the transaction, and to reflect the expanded focus on lab testing and services, Avalon will be changing its ticker symbol from “AVCO” to “ALBT.” Shares of Avalon’s common stock will begin trading under the new ticker symbol “ALBT” on the Nasdaq Capital Market on Thursday, November 10, 2022. Until such time, Avalon’s common stock will continue to trade under the symbol “AVCO.” Headquartered in Costa Mesa California, Laboratory Services provides a broad portfolio of diagnostic tests including drug testing, toxicology, and a broad array of test services, from general bloodwork to anatomic pathology, and urine toxicology. Specific capabilities include STAT blood testing, qualitative drug screening, genetic testing, urinary testing, sexually transmitted disease testing and more. Laboratory Services has developed a premier reputation for customer service and fast turnaround times in the industry. Laboratory Services has completed over 450,000 tests since inception, operates with 2021 unaudited annual revenue in excess of $25 million and has two locations in California. Total consideration for the acquisition will be $31 million, consisting of (i) $15 million in cash, (ii) $15 million in shares of the Company’s Series B preferred stock and (iii) $1,000,000 payable on the first anniversary of the closing date. The preferred shares will be restricted from conversion for 12 months and thereafter will have leak-out provisions restricting ...