NEW YORK ─ Todos Medical on Monday announced a $3.4 million strategic investment in its business by venture capital firm Yozma Group Korea.
Under the terms of the agreement, Yozma has been issued a one-year, $3.4 million promissory note convertible into common shares at a fixed price of $0.0599 per share, Todos said.
Rehovot, Israel-based Todos said it intends to use the proceeds for general working capital, to retire outstanding convertible notes, and to complete the acquisition of proteomics test developer Provista Diagnostics.
Todos announced more than a year ago that it had entered into an exclusive option agreement to acquire Provista.
Todos is a developer of in vitro diagnostic tests for the detection of cancers and neurodegenerative diseases and has inked agreements to distribute SARS-CoV-2 test kits including PCR- and antibody-based tests.Â
South Korea-based Yozma said in a statement that it sees a "significant opportunity" to fuel Todos' growth with an infusion of capital as it adds "complementary products" to an expanding sales pipeline.
Further, Yozma added that it sees an opportunity to help drive cross-border collaboration for Todos in South Korea.