• $14.5 million successfully secured from existing and new investors
• Sonic Healthcare investing up to A$8.3 million, with A$4.16 million as part of the Placement
• Funds to drive expanded clinical adoption of microbiome testing products

Microba Life Sciences Ltd (ASX: MAP) has successfully secured $14.5 million in funding, comprising a $12.5 million two-tranche placement and a $2 million fully underwritten Share Purchase Plan. The funding was supported by existing and new institutional and sophisticated investors, including Microba's major strategic partner and shareholder, Sonic Healthcare Limited, which is investing up to A$8.3 million (£4 million). Microba's Board and Management have also committed to contribute approximately A$290,000 under the Placement. The funds raised will be used to drive expanded clinical adoption of the company's core microbiome testing products, with a focus on advancing the product development roadmap, scaling sales and commercial operations, and developing targeted clinical evidence. Microba has also signed an exclusive Commercial Laboratory Processing Agreement with The Doctors Laboratory, a wholly-owned subsidiary of Sonic Healthcare Limited, to provide laboratory processing services for Microba in the UK. Additionally, Microba has narrowed its FY25 revenue guidance to $15.4 - $16 million and expects to achieve regional break-even points in Australia and the United Kingdom by the end of FY26, with a strategic objective to target group breakeven in approximately 3 years.

Microba has narrowed its FY25 revenue guidance to $15.4 - $16 million. By the end of FY26, Microba expects to achieve regional break-even points in Australia and the United Kingdom, based on the assumption of expanding clinical adoption with core test volumes >24,000 to deliver >100% year-on-year core test growth. Microba has also set a strategic objective to target group breakeven in approximately 3 years, subject to continued strong penetration of innovator and early adopter clinicians across 4 core regions.

Microba is focused on driving expanded clinical adoption of its core microbiome testing products, with a focus on advancing the product development roadmap, scaling sales and commercial operations, and developing targeted clinical evidence to support its growth initiatives. The company is also building a beneficial operating partnership with Sonic Healthcare in the UK market, which will enable Microba to focus on scaling its international growth as a software company without the need for laboratory CAPEX and associated operational overheads.