Hong Kong's AID Partners buys Israel's GeneSort

According to a regulatory filing, AID will make the purchase through its wholly-owned subsidiary Honour Best Holdings that in turn will create a special-purpose vehicle to buy a 100% stake in GeneSort. Honour Best will hold 74% of the acquisition vehicle, with the remainder to be held by four existing GeneSort shareholders, who will also take a 13% stake in AID comprising newly issued shares in the GP worth about $14 million.

GeneSort, founded in 2013, provides molecular diagnostic services for the evaluation and treatment of cancer and hereditary diseases. It analyzes patients’ genomes in order to help physicians develop treatments tailored to their unique genetic profile, particularly genetic mutations that could impact the effectiveness of treatment.

The purchase will provide an exit for Singulariteam, a VC firm headed by Israeli entrepreneur Moshe Hogeg whose LPs include China’s Tencent Holdings and Renren. Singulariteam invested $2.2 million in Genesort from its most recent fund.

With the global cancer diagnostics market expected to grow from $7.1 billion in 2015 to $13.1 billion by 2020, AID’s purchase is aimed at giving the GP an entry into the sector. The firm will also support GeneSort in developing relationships with researchers, suppliers, hospitals and laboratories in Asia.

Investments in the healthcare sector are rare for AID, which primarily works in the mobile and internet, media and entertainment, consumables, retail, and fashion sectors. Currently its only other healthcare-focused portfolio company is Boston-based biopharmaceutical developer Intarcia Therapeutics.

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• Topics
• MENA
• Greater China
• Healthcare
• Technology
• Buyouts
• Trade sale
• Hong Kong (China)
• AID Partners