ProPhase Labs moves forward with sale of Nebula Genomics

The Company has engaged ThinkEquity to pursue strategic alternatives for ProPhase’s wholly-owned subsidiary Nebula Genomics. Under new leadership from Jason Karkus, Nebula has been strategically restructured, now allowing for the potential sale at an attractive valuation. The pitch deck and supporting materials have been created and outreach to a significant number of potential acquirers has already been completed. The Company believes that one or more LOIs could be forthcoming in the coming weeks and that a sale could occur within 3-4 months, if not sooner. The Company believes that Nebula is a compelling acquisition candidate, offering a uniquely diverse 16-petabyte DNA dataset, with samples spanning 130 countries. We believe that Nebula’s dataset is one of the largest and most diverse genomic datasets in the world. Nebula delivers full WGS coverage and proprietary bioinformatics, generating over 350 personalized health, wellness and advanced ancestry reports. Its scalable, subscription-based revenue model, with strong margins on renewals, further enhances its commercial appeal.