Genetic Signatures (GSS) investor relations material

Merger overview and strategic rationale

• A merger is proposed between two Australian diagnostics firms, creating a scaled, cash-backed ASX-listed group focused on gastrointestinal and infectious disease diagnostics.

• The merger is structured as a scheme of arrangement, with Microba shareholders receiving 0.654 new shares for each Microba share, resulting in 67% ownership for Microba shareholders and 33% for GSS shareholders.

• The combined entity will have approximately $30 million in FY26 revenue, 149 employees, and products in over 30 countries.

• The transaction is funded entirely in scrip, with no new debt or cash consideration, and is unanimously recommended by both boards.

• The merger combines complementary diagnostic technologies, expanding offerings and leveraging both companies’ customer relationships, distribution networks, and regulatory capabilities.

Financial and operational benefits

• The merger is expected to deliver a minimum of $2.5–3.0 million in annualised gross cost synergies, mainly from eliminating duplicated corporate and listed-company costs.

• The combined group will have a stronger balance sheet with approximately $30 million in cash and term deposits as of June 2026.

• Each company brings complementary customer bases and distribution channels, expanding market reach without overlap.

• The merged group aims to reach profitability on a single cost base and is positioned for future growth with a differentiated end-to-end gastrointestinal offering.

• Further synergy opportunities may exist in procurement, manufacturing, laboratory operations, and shared technical capabilities.

Market presence and growth prospects

• Microba brings strong growth in clinical testing, with FY26 core testing volume up 78% and revenue up 92% year-on-year.

• The group will have established platforms in Australia, the UK, Europe, and the US, with the UK being the fastest-growing market.

• Microba’s relationships with Sonic Healthcare and SYNLAB, and GSS’s hospital and reference laboratory customers, provide access to new customer segments.

• Creates a larger, diversified diagnostics group with an expanded international commercial platform and broader product portfolio.