Renovaro Biosciences' Merger with Predictive Oncology Hits Roadblock, Highlighting AI Integration Challenges in Biotech

Renovaro Biosciences faces merger setback with Predictive Oncology By Investing.com

LOS ANGELES - Renovaro Biosciences Inc. (NASDAQ: RENB), a company at the forefront of biotechnology and artificial intelligence integration, has hit a roadblock in its planned merger with Predictive Oncology Inc. (NASDAQ: POAI). On Thursday, Renovaro announced that it had received a termination email from Predictive Oncology concerning their merger transaction. According to InvestingPro data, Predictive Oncology, currently trading at $1.25 with a market cap of $9.91M, has shown concerning financial metrics with an overall weak health score. The merger, initially set in motion by a binding agreement on January 1, 2025, and later supplemented on February 28, 2025, was aimed at consolidating AI/ML platform technologies and expanding laboratory and business development efforts across Europe and the United States. Renovaro claims that Predictive Oncology is in breach of the binding agreements and has indicated that it has caused significant damage to the company. Renovaro asserts that Predictive Oncology must adhere to the obligations and enter into an exclusive License Agreement as stipulated in the agreements. The company has set a deadline of April 10, 2025, for Predictive Oncology to commit to the License Agreement terms outlined in the Binding Agreement. Failure to do so will lead Renovaro to pursue legal action to recover damages and seek further remedies for the breach. Renovaro, known for its work in precision medicine, operates RenovaroBio, which focuses on cell-gene immunotherapy, and RenovaroCube, leveraging AI for diagnostics and drug development. The press release includes forward-looking statements regarding the company's pipeline, platform, and fundraising efforts, which are subject to risks and uncertainties. These statements are based on projections and current expectations, and actual results may differ materially. This news comes as a significant development for Renovaro Biosciences, which aims to accelerate personalized medicine through its AI and biotechnology platforms. The company's position is based on a press release statement, and the situation continues to unfold as the April 10 deadline approaches. Investors seeking deeper insights into Predictive Oncology's financial health and future prospects can access comprehensive analysis through InvestingPro, which offers exclusive access to detailed financial metrics, Fair Value estimates, and expert ProTips. In other recent news, Predictive Oncology Inc. announced its plan to launch the ChemoFx® live cell drug response assay in Europe, aiming to expand its availability in the United States as well. The assay helps determine how tumor cells from ovarian and other gynecological cancers respond to different chemotherapy treatments. This expansion signifies the company's commitment to integrating AI into personalized cancer treatment options. Additionally, Predictive Oncology held its Annual Meeting of Stockholders, where shareholders elected Raymond F. Vennare and Veena Rao, Ph.D., as Class III directors. The meeting also ratified KPMG LLP as the company's independent registered public accounting firm for the year. However, a non-binding advisory resolution on executive compensation did not pass. Shareholders approved the 2024 Equity Incentive Plan, which could influence the company's strategic direction. These developments highlight the company's ongoing initiatives and governance changes.

Renovaro Provides Update to Definitive Agreement with Predictive Oncology

LOS ANGELES, April 04, 2025 (GLOBE NEWSWIRE) -- Renovaro Biosciences Inc. (NASDAQ: RENB), a TechBio leader focused on next-generation diagnostics, drug discovery, and genetically enhanced cancer therapies, today provided an update regarding its Definitive Agreement with Predictive Oncology Predictive Oncology, Inc. (NASDAQ: POAI) to initiate the previously announced integration of AI/ML platform technologies, core laboratory capabilities and business development efforts in Europe and the United States. Renovaro entered into a binding agreement merger agreement with Predictive Oncology, Inc. ("POI") dated January 1, 2025, and supplemented with the Extension Agreement dated February 28, 2025 (collectively, the "Binding Agreements"). On April 3, 2025, Renovaro received an email from POI terminating the merger transaction. Renovaro's position is that POI must comply with the binding obligations thereunder and enter into an exclusive License Agreement as required in each of the Binding Agreements. Renovaro notes that POI is in breach of the Binding Agreements and has caused substantial damage to Renovaro for which it will seek redress. Failure to enter into an exclusive License Agreement on the terms set forth in the Binding Agreement on or before April 10, 2025, will cause Renovaro to seek all its legal remedies to recover all its damages and/or seek additional remedies to fully redress the breaches. About Renovaro Renovaro https://renovarogroup.com/ aims to accelerate precision and personalized medicine for longevity powered by mutually reinforcing AI and biotechnology platforms for early diagnosis, better-targeted treatments, and drug discovery. Renovaro Inc. includes RenovaroBio with its advanced cell-gene immunotherapy company and RenovaroCube that is leveraging AI for multi-omic diagnostics and drug development. For more information, visit www.renovarogroup.com. Forward-Looking Statements Statements in this press release that are not strictly historical in nature are forward-looking statements. These statements are only predictions based on current information and expectations and involve a number of risks and uncertainties, including but not limited to the success or efficacy of our pipeline, platform and fundraising. All statements other than historical facts are forward-looking statements, which can be identified by the use of forward-looking terminology such as "believes," "plans," "expects," "aims," "intends," "potential," or similar expressions. Actual events or results may differ materially from those projected in any of such statements due to various uncertainties, including as set forth in Renovaro's most recent Annual Report on Form 10-K filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. All forward-looking statements are qualified in their entirety by this cautionary statement, and Renovaro Inc. undertakes no obligation to revise or update this press release to reflect events or circumstances after the date hereof.