San Diego startup AltheaDx, which developed a molecular test designed to guide therapy for depression and anxiety based on a patient’s genetics, is being acquired for $65 million in stock and cash.
“The upside for us is it a low penetrated category today,” said Derek Maetzold, Castle’s president and chief executive officer, in a conference call with Wall Street analysts. “It is more about patients who have not been given access to pharmacogenomics testing to improve treatment selection the first time they are starting out on therapies.”
Since the fall of 2020, Medicare has reimbursed for the IDgenetix test for depression. Moreover, its accredited lab is cleared to provide testing in 50 states. AltheaDx filed for an initial public stock offering in December 2014 but shelved the proposed stock sale in early 2015. “Precision medicine solutions, such as IDgenetix, have great potential as clinical decision support tools by providing critical genetic information to healthcare providers in pursuit of personalized care,” said David Nikodem, chief executive of AltheaDx. “Castle Biosciences has strong expertise in providing advanced tests that improve health and guide patient care, and we are excited to join the team.