Intelligent Bio Solutions Inc. Raises $10 Million Through Private Placement
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 31 2025
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Should l Buy INBS?
Source: Newsfilter
- Financing Agreement Reached: Intelligent Bio Solutions Inc. has signed a securities purchase agreement with two healthcare-focused institutional investors to issue 2,298,850 shares at $4.35 each, aiming to raise approximately $10 million, which will enhance the company's liquidity to support operations.
- Warrant Issuance: The transaction includes Series K-1 and K-2 warrants allowing investors to purchase the same number of shares at an exercise price of $4.10, which not only increases investor engagement but also enhances potential returns.
- Registration Statement Commitment: The company has committed to filing a registration statement with the SEC within 10 days of the agreement to facilitate the trading of warrants, which will help improve market liquidity and attractiveness of the company's stock.
- Clear Use of Funds: The raised funds will be allocated for general working capital and corporate purposes, demonstrating the company's confidence in future growth and strategic planning.
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About INBS
Intelligent Bio Solutions Inc. is a medical technology company focused on developing and delivering intelligent, rapid, non-invasive testing and screening solutions. Its segment includes Commercially available Intelligent Fingerprinting Products and Development Stage Biosensor Platform Technology. Its product portfolio includes Intelligent Fingerprinting Platform that analyzes fingerprint sweat using a one-time cartridge and portable handheld reader, and a two-part system that consists of non-invasive, fingerprint sweat-based diagnostic testing products designed to detect drugs of abuse including opiates, cocaine, methamphetamines, benzodiazepines, cannabis, methadone, and buprenorphine. The Biosensor Platform is designed to detect multiple biological analytes by substituting the top enzyme layer of the biosensor to suit each analyte and to develop a range of Point of Care Tests, including the modalities of clinical chemistry, immunology, tumor markers, allergens, and endocrinology.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
- Earnings Report: Intelligent Bio Solutions reported a Q2 GAAP EPS of -$2.82, indicating ongoing losses despite a significant revenue increase of 45.9% year-over-year to $0.89 million, highlighting challenges in achieving profitability.
- Revenue Growth: The company's revenue rose from $0.61 million in the same quarter last year to $0.89 million, reflecting a 45.9% increase, which suggests improved market demand for its products or services, yet ongoing cost management remains crucial for future profitability.
- Funding Initiative: Intelligent Bio Solutions is launching a $10 million private placement aimed at financing future R&D and market expansion, which could enhance the company's financial flexibility and support long-term growth objectives.
- Market Rating: According to Seeking Alpha's Quant Rating, Intelligent Bio Solutions' market performance is under scrutiny; while revenue growth is notable, persistent losses may undermine investor confidence, necessitating close monitoring of future financial results.
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- Significant Revenue Growth: For the first half of fiscal 2026, Intelligent Bio Solutions reported total revenue exceeding $2 million, reflecting a 36% year-over-year increase, indicating strong demand and sustainable growth potential in the non-invasive drug testing market.
- Doubling of Reader Sales: In Q2, reader sales reached $246,519, up 104% year-over-year, significantly expanding the company's customer base and establishing a solid foundation for future recurring revenue.
- Improved Gross Margins: The gross profit margin for the first half of fiscal 2026 increased to 49%, a 10% improvement from the same period last year, showcasing enhanced operational efficiency and strengthening the company's competitive position.
- Strategic Investments and Partnerships: The company closed a $10 million private placement and formed a strategic alliance with Vlepis Pty Ltd, aiming to enter the rapidly growing consumer health monitoring market and broaden revenue opportunities.
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- Revenue Growth Expectation: Intelligent Bio Solutions anticipates approximately $2.01 million in revenue for fiscal Q2 2026, reflecting a 36% year-over-year increase, indicating strong growth potential across all product categories.
- Surge in Reader Sales: Reader sales are expected to more than double year-over-year in Q2, which not only expands the installed base but also drives sustained recurring revenue, further solidifying the company's razor-razorblade business model.
- Comprehensive Product Growth: For the first half of fiscal 2026, cartridge sales are projected to increase by 38%, while other sales (accessories, training) are expected to rise by 10%, demonstrating the company's competitive strength and ongoing customer demand.
- Enhanced Market Confidence: The CEO emphasized that the ongoing customer adoption and demand for consumables lay a solid foundation for future revenue growth, which is expected to further enhance market share and bolster confidence in the commercial strategy.
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- Clinical Study Launch: Intelligent Bio Solutions has commenced its clinical study program to support the FDA 510(k) submission for its Intelligent Fingerprinting Drug Screening System, with full data analysis expected by the end of March 2026, marking a pivotal step for the company's entry into the U.S. market.
- Partnership with Cliantha: The company has partnered with Cliantha Research, leveraging their extensive regulatory and clinical trial expertise to ensure the study's effectiveness and compliance, thereby enhancing its competitive position in the market.
- Significant Market Potential: The U.S. drug screening market generates billions annually, and the company's non-invasive fingerprint technology offers superior hygiene and convenience compared to traditional urine and blood testing methods, which is expected to attract a broader customer base.
- Distinct Technological Advantages: With over 500,000 tests sold outside the U.S., the Intelligent Fingerprinting Drug Screening System demonstrates unique advantages across multiple high-value segments, such as workplace testing and law enforcement applications, further driving the company's global market expansion.
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- Manufacturing Partnership: INBS's collaboration with Syrma Johari MedTech is expected to reduce annual production costs by 40% and increase gross margins by 20 percentage points while quadrupling manufacturing capacity, positioning the company for a U.S. market launch in 2026.
- Successful Private Placement: The company announced a private placement with two healthcare-focused institutional investors to issue 2.3 million shares of common stock, raising approximately $10 million, thereby strengthening its financial position for future business expansion.
- Strong Stock Surge: INBS stock closed up 132% on December 31, 2025, and surged 337% from the close on December 30, 2025, to January 9, 2026, becoming a favorite among retail traders, indicating robust market interest.
- Nasdaq Compliance Restored: On January 7, 2026, INBS was notified by Nasdaq that it regained compliance to trade, maintaining a closing bid price of $1.00 or higher for 14 consecutive trading days, which bolstered investor confidence.
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- Significant Revenue Growth: Intelligent Bio Solutions reported $1.11 million in revenue for Q1 2025, up from $0.8 million year-over-year, reflecting a more than 28% increase driven by rising demand for drug testing solutions in safety-critical sectors like logistics and transport.
- Financing for Expansion: The company closed a $10 million private placement in early 2026 at market price under Nasdaq rules, bolstering its cash position and providing capital to accelerate commercialization, expand distribution partnerships, and advance R&D initiatives.
- Fingerprint Drug Testing Platform: Its flagship Intelligent Fingerprinting Drug Testing System offers non-invasive screening through sweat collected from fingerprints, delivering results in minutes and detecting substances like opiates, methamphetamine, cocaine, and cannabis, focusing on impairment within a 16-24 hour window.
- Increased Market Attention: With improving quarterly revenue, fresh financing, and growing adoption of its fingerprint testing technology, Intelligent Bio Solutions saw its stock surge by 23% in pre-market trading, indicating strong market interest in its growth potential.
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