Why is the Atomo Diagnostics (ASX:AT1) share price halted?

Atomo shares currently sit in a requested trading halt. Read on for more details.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Atomo Diagnostics Ltd (ASX: AT1) share price has stepped into the green today.

Atomo shares are currently in a requested trading halt, however, just prior to this announcement, were trading 1.5% higher on the day at 34 cents apiece.

Read on for more details.

woman sitting at desk holding hand up in stop motion

Image source: Getty Images

Why is the Atomo Diagnostics share price halted?

Atomo advised just after lunchtime that trading of its shares is halted "pending a market update announcement (from the company) regarding its commercial arrangements with Access Bio Inc".

The trading halt will remain in effect until 6 October, unless Atomo decides to make the announcement prior to this.

Access Bio is a manufacturer of test-tube diagnostic tests, with specialties in rapid diagnostic tests for malaria and pregnancy.

Recall that Atomo had announced agreements with Access Bio last year to commercialise its rapid antigen COVID-19 tests in the Australian and North American markets.

It has since received regulatory approval in Australia and the US, using Atomo's Galileo platform to produce a test called CareStart EZ Covid-19 IgM/IgG.

In Q1 of this year, Atomo entered a partnership with Access for the company's rapid diagnostic COVID-19 tests in the North American Market, with the first product to be delivered in Q3 FY21.

So far the company has sold 1.1 million testing units to Access Bio and other partners for both the European and North American markets under this arrangement.

With the demand for rapid antibody testing for COVID-19 increasing markedly in the last few months, the company is positioned on the supply side in order to match this surge.

As it stands, more than 50 countries are using Atomo's antigen tests across a broad range of public and private sectors, according to the company.

There is yet to be any word on when Atomo will make its announcement, if or when before the 6 October.

Atomo Diagnostics share price snapshot

The Atomo Diagnostics share price has had a choppy year to date, posting a return of 11.5% since January 1.

It's rallied 58% this past month and is up a further 17% in the last week.

Despite this, Atomo shares are 9% in the red over the past 12 months, well behind the S&P/ASX 200 index (ASX: XJO)'s climb of about 25% in this time.

The author Zach Bristow has no positions in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Healthcare Shares

Cropped shot of a young female scientist working on her computer in the laboratory.
Healthcare Shares

Could Telix shares be a millionaire-maker stock?

Telix looks a compelling growth story, with brokers eyeing more than 150% upside.

Read more »

A child covering his eyes hiding from a toy bear.
Healthcare Shares

Down 20% in 2026, is now the time to buy CSL shares?

CSL shares hit a new multi-year low as the 2026 decline deepens.

Read more »

Scientists in white coats look disappointed.
Healthcare Shares

Down 87% since Thursday, why is this ASX 300 healthcare stock sliding again today?

The ASX healthcare share has plunged more than 87% in five trading days.

Read more »

Female scientist working in a laboratory.
Healthcare Shares

Which ASX biotech's shares have jumped more than 10% on positive clinical trial news?

A potential cancer treatment is progressing.

Read more »

Man jumps for joy in front of a background of a rising stocks graphic.
Healthcare Shares

3 ASX healthcare stocks tipped to soar over 100% higher this year

These ASX shares are on my radar this week.

Read more »

Scientists working in the laboratory and examining results.
Opinions

3 reasons to buy CSL shares today

The ASX biotech company has great growth potential this year.

Read more »

a man lies on his back on grass with his eyes shut and a contented look on his face as though he is dreaming
Broker Notes

With global populations ageing, are ResMed shares a good buy today?

A leading expert delivers his verdict on the outlook for ResMed shares.

Read more »

Wife and husband with a laptop on a sofa over the moon at good news.
Healthcare Shares

Why are Telix shares racing 8% higher today?

Telix shares are now 11% higher for the year-to-date.

Read more »