Diaceutics (AIM:DXRX)  has raised £20.5 million to strengthen its balance sheet as the company looks to drive growth and seek out opportunities in commercial diagnostic services. 
 
The Belfast-based data analytics company will use 14,137,931 new ordinary shares at a price of 145p per share to existing and new investors, with the placing done over two tranches. 
 
Chair of Diaceutics, Julie Goonewardene, said the placing was "oversubscribed, underpinning the level of support available for our strategy of strengthening the balance sheet and providing the resource for taking advantage of future opportunities not currently visible". 
 
The placing’s net proceeds are expected to be about £19.3 million, and will be used to strengthen the company’s balance sheet ahead of growth in demand for Diaceutics’ services. 
 
The shares will be admitted to trading on June 16th, with the second tranche of shares due to be admitted on June 30th, if approved by shareholders. 
 
“Our clients in the pharmaceutical industry are facing many challenges with their traditional sales and marketing approaches due to the COVID-19 pandemic,” said Goonewardene. 
 
Shares in Diaceutics opened flat at 150p on Thursday morning. 

The move comes at a time when the company is readying to launch its DXRX platform as the Covid-19 pandemic continues to accelerate the push into digital healthcare transformation.  
 
Diaceutics’ DXRX diagnostic platform will integrate a growing database of 227 million patient testing records and more than 2,500 labs from what is currently a highly fragmented testing ecosystem. 
 
The platform, which aims to support the use of precision medicines, helping to get precision drugs to more patients who will benefit from them, is set to launch in the fourth quarter of 2020 and is expected to ‘significantly enhance the group’s business model.’ 
 
“In taking this additional funding we not only strengthen our balance sheet but also ensure that we can, if required, dramatically increase resources around the new DXRX platform in response to any additional demand from our clients,” commented Goonewardene. 
 
Diaceutics said it has made a good start to FY2020, with trading in line with expectations. 
 
The group’s interim results for the six months ending 30 June 2020 are expected to be announced on 7 September 2020. 
 
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