Business
Twist Bioscience Spins Out DNA Data Storage as Independent Company
Spin out expected to unlock value by accelerating data storage technology development and allowing each company to focus strategically on its unique
About this update from Twist Bioscience Corporation
[{"type":"text","content":"\nSpin out expected to unlock value by accelerating data storage technology development and allowing each company to focus strategically on its unique products, customers and investors\n\nAtlas Data Storage, a newly formed company, will focus solely on DNA data storage technology and commercialization, with $155 million in seed financing round including ARCH Venture Partners, Deerfield Management, Bezos Expeditions, Tao Capital Partners, Earth Foundry, Rsquared VC, In-Q-Tel (IQT), and other undisclosed investors\n\nVarun Mehta, previously founder of Nimble Storage, to serve as CEO of Atlas Data Storage\n\nTwist remains focused on serving customers across the life sciences spectrum and expanding revenue and gross margin while driving toward adjusted EBITDA breakeven, now expected by the end of fiscal 2026\n\nTwist to retain minority ownership in Atlas Data Storage\n\nCompany to discuss news during earnings call and webcast today at 8:00am ET\n\n SOUTH SAN FRANCISCO, Calif.--(BUSINESS WIRE)--\nTwist Bioscience Corporation (NASDAQ: TWST), a core mid-cap growth and value equity company in the life sciences segment of the health care sector, today announced that the company has spun out its DNA data storage technology application as an independent company, named Atlas Data Storage (“Atlas”).\n\n“There are many applications of synthetic DNA with the potential to have an incredible impact on the world. With this spin out, both Twist and Atlas are able to move with full force in growing those applications,” said Emily M. Leproust, Ph.D., CEO and co-founder of Twist. “With this transaction and a pure-play DNA data storage focused business, Atlas receives the investment needed to accelerate technology development and drive toward early access customer engagement while Twist continues to share in the upside opportunity for DNA data storage. This transaction also allows Twist to focus on continued revenue growth and our objective of achieving adjusted EBITDA breakeven and profitability. With the launch of Atlas, we now expect to achieve adjusted EBITDA breakeven by the end of fiscal 2026.”\n\nUnder the terms of the contribution and license agreements, Twist assigned and licensed its DNA data storage technology to Atlas in exchange for Twist receiving a minority ownership interest upon close, an upfront cash payment and a secured promissory ...