Deal terminated by RedPath Integrated

PITTSBURGH, US: RedPath Integrated Pathology, Inc., a cancer molecular diagnostics company headquartered in Pittsburgh, PA, has terminated the Combination Agreement dated as of April 26, 2010, as amended by Extension Agreement dated as of August 1, 2010.

RedPath’s Board of Directors agreed that the firm would be better served to begin seeking alternative strategic and financial options.

RedPath’s unique DNA-based technology platform, PathFinderTG is claimed to be a powerful diagnostic tool that can improve the way physicians diagnose, manage and treat patients when traditional diagnostic tests produce “indeterminate” or “indefinite” results.

RedPath adds that it has successfully developed and launched PathFinderTG Technology in the United States and, effective November 5, 2010, has been awarded a Local Coverage Determination (LCD) by Highmark Medicare Services, Inc., the contractor that administers Medicare programs for providers in Pennsylvania, New Jersey, Maryland, Delaware and the District of Columbia. This LCD applies to all Medicare patients in the United States.

This positive LCD for RedPath’s PathFinderTG Technology for pancreatic cancer, cysts, and masses means that PathFinderTG tests will be covered as a “reasonable and necessary” service for the analysis of pancreatic cysts and masses when traditional diagnostic evaluations are inconclusive.

Inconclusive diagnostic evaluations occur from indeterminate cytology results and inconsistent or conflicting results from fluid chemistry tests, imaging studies, and cytology.