Genetic testing company Cardio Diagnostics has agreed to sell and issue convertible debentures to an investment fund managed by Yorkville Advisors Global, called YA II PN, Ltd. The gross aggregate principal amount of the debentures is at a maximum of USD 11.2 million, as per the terms of the Securities Purchase Agreement between the two companies.

The company will be entitled to 90% of the proceeds and USD 5 million upon initial closing. Cardio has already received USD 4.5 million from this debenture.

The funds will be used to speed up the adoption of its PrecisionCHD and Epi+Gen CHD clinical tests and pursue payor coverage. Additionally, the company aims to utilize its AI-driven Integrated Epigenetic-Genetic Engine to create and launch more tests for various cardiovascular diseases and related health conditions.

Chicago-based Cardio Diagnostics specializes in developing and providing clinical diagnostic tests for cardiovascular diseases. Their tests include PrecisionCHD and Epi+Gen CHD, which are designed to detect and assess the risk of cardiovascular diseases using advanced technologies such as epigenetics and genetics. It also uses AI and machine learning in its diagnostic process to improve the precision and reliability of its tests.