Key Highlights

• Healius has agreed to sell Agilex Biolabs to Novotech for an Enterprise value of A$160 million, representing 19.8x FY2026 EBITDA.

• The transaction is expected to generate approximately A$155 million in cash proceeds after separation and transaction costs.

• Completion is subject to FIRB and ACCC approvals, with settlement anticipated during H2 FY2027.

Healius Ltd (ASX:HLS) closed at A$0.495 on 05 November 2026, gaining 1.02% during the session. The broader S&P/ASX 200 index (XJO) advanced 2.61%, adding 230.60 points to reach 9,065.10, while the S&P/ASX 200 Health Care index (XHJ) climbed 3.64%, rising 1,240.30 points to 35,329.10. The gains were underpinned by overnight Wall Street advances following the Democrats' decisive victory in the U.S. midterm elections. Healius is one of Australia's established healthcare companies, providing specialty pathology services through a nationwide footprint of centres and approximately 8,000 employees.

Divestiture of Agilex Biolabs to Novotech

On 25 September 2026, Healius announced it had entered into a binding agreement to sell its wholly owned subsidiary, Agilex Biolabs Pty Ltd, to a subsidiary of Novotech Health Holdings Pte Ltd for an enterprise value of A$160 million. On a pre-AASB16 basis, the transaction represents a multiple of 19.8x Agilex Biolabs' FY2026 EBITDA of $10.7 million, adjusted for $2.6 million in property Lease costs. Cash proceeds from the deal are estimated at approximately A$155 million after all separation and transaction costs, with Healius not expecting to incur any tax on the sale.

The transaction remains subject to customary conditions including approval from the Foreign Investment Review Board and the Australian Competition and Consumer Commission. Healius has indicated it expects completion during the second half of FY2027.

Strategic Rationale and Capital Position

Healius noted that the sale process was initiated in May 2026 following several unsolicited approaches from credible parties. The company determined that a disposal at an attractive price would unlock Shareholder value and enable management to concentrate on the growth of its core pathology operations. Agilex Biolabs operates as a standalone business, and its sale is not expected to impact the pathology division.

Upon completion, Healius has indicated it will be in a net cash position. The company has stated it will continue to assess its capital requirements and provide further details on its intentions regarding the use of sale proceeds closer to completion.

Managing Director and CEO Paul Anderson commented that the sale delivers attractive value for shareholders while providing Agilex Biolabs' customers and team members with the opportunity to join Novotech, an established global clinical research organisation.

About the Company

Healius has operated for over 30 years as one of Australia's prominent healthcare providers. The company is focused on delivering quality, affordable, and accessible diagnostic pathology services to consumers and their referring practitioners across Australia. Following the anticipated divestiture of Agilex Biolabs, Healius will operate as a pure-play pathology business.

Sector Context

The Australian healthcare sector experienced a broadly positive session on 05 November 2026, with the S&P/ASX 200 Health Care index gaining 3.64%. The session reflected broader market optimism following international developments. Healius' modest 1.02% gain trailed the sector benchmark, reflecting the company's ongoing transition as it works through the Agilex Biolabs divestiture process.

Risks

Key risks for Healius include potential delays or complications in obtaining FIRB and ACCC approvals for the Agilex Biolabs sale. The pathology sector faces ongoing reimbursement pressures from government funding decisions. Competition from other pathology providers and changing healthcare delivery models, including the expansion of point-of-care testing, could impact volumes. Additionally, the company's ability to effectively deploy sale proceeds will influence future shareholder returns.

Catalysts on Watch

Investors will be monitoring the progress of regulatory approvals for the Agilex Biolabs sale and the expected completion timeline in H2 FY2027. Details on the intended use of the approximately A$155 million in cash proceeds represent a significant upcoming catalyst. The company's ability to demonstrate Earnings growth and Margin improvement in its core pathology Business following the divestiture will also be closely watched.

The Road Ahead

Healius is positioning itself as a focused pathology business following the planned divestiture of Agilex Biolabs. The transaction, valued at A$160 million, is expected to place the company in a net cash position and simplify its operational structure. As regulatory approvals progress and completion nears, the company's capital allocation decisions and pathology performance will shape the near-term outlook.