SCWorx Skyrockets After Saying It Has Orders for 2 Million Coronavirus Testing Kits

SCWorx Corp. shares were heading higher on Monday after the healthcare software company announced that it has received a committed purchase order from Rethink My Healthcare for 2 million coronavirus testing kits.

Rethink My Healthcare is a U.S.-based virtual healthcare network. SCWorx will supply the company with IgM/IgG Rapid Detection Kits, which are in-vitro diagnostic tests solely for the qualitative determination of Covid-19’s IgM and IgG antibodies in human whole blood, serum, plasma and fingertip blood.

According to SCWorx, the agreement includes a “provision” for additional weekly orders of 2 million units for 23 weeks, valued at $35 million per week. SCWorx said it expects to receive the first 2 million rapid detection kits within approximately two weeks.

It was at the end of last month that SCWorx announced it had sent 1 million surgical masks to an existing large hospital customer for $390,000, “with additional potential agreements to help hospitals source urgently needed personal protective equipment anticipated,” according to a company statement that day.

“Widespread testing for Covid-19 disease in the United States is absolutely critical for saving lives and reopening our economy,” said Marc Schessel, CEO of SCWorx. He added,“Our substantial purchase order from Rethink My Healthcare will significantly increase the availability of rapid-test kits in the United States. Additional purchase orders currently under negotiation with certain other parties could further increase the U.S. supply of these important tests in the near term.”

SCWorx shares closed up 425% on Monday.

Disclaimer: We have no position in Scworx Corp (NASDAQ: WORX) and we have not been compensated for this article.