Aug 22, 2021 - Health

LumiraDx slashes takeover price, citing a slowdown in COVID testing

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Illustration: Aïda Amer/Axios

London-based LumiraDx has slashed $2 billion off the size of a proposed takeover by a SPAC, citing decreases in COVID-19 testing volume.

Why it matters: The move tracks with reduced sales forecasts by industry giants like Abbott and Quest Diagnostics, but also feels like it's on a bit of a lag.

  • On April 7, the day LumiraDx first announced what was supposed to be a $5 billion deal, there were 1.2 million coronavirus tests conducted in the U.S., per Johns Hopkins University data,
  • That number bottomed out in the 150k range in early July, but has since rebounded, topping 2 million U.S. tests on Aug. 16.
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