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Safeguard Scientifics Partner Company Good Start Genetics To Be Acquired By Invitae Corporation

August 2017, subject to customary closing conditions. Safeguard expects to receive initial consideration consisting of $3.8 million of Invitae common stock, based on the 30-day trailing average stock price, and an additional $1.3 million of Invitae common stock which will be held in escrow for up to 13 months.

Invitae is one of the fastest growing genetic information companies in the U.S. whose longer-term strategy is to aggregate most of the world's genetic tests into a single service with higher quality, faster turnaround time, and lower price than many single-gene and panel tests today. The company currently provides a diagnostic service comprising approximately 1,500 genes for a variety of genetic disorders associated with oncology, cardiology, neurology, pediatrics, and other rare disease areas, as well as clinical analysis of a 20,000-gene medical exome.

Stephen T. Zarrilli, Safeguard's President and CEO, said, "From Safeguard's perspective, this outcome represents a significant shortfall based on our return expectations. However, considering the anticipated time and cost required to introduce additional technologies and tests into adjacent markets and to further develop Good Start, we believe that a larger, more financially capable enterprise that is focused on genetic testing was necessary to move Good Start's vision...