EchoIQ (ASX: EIQ) — Pro Medicus backed them with up to $20M. FDA decision on EchoSolv HF still pending. DD + thoughts inside.
Been watching this one closely and wanted to put the pieces together for anyone else tracking it.
The Pro Medicus deal (25 June 2026)-
Pro Medicus (ASX: PME) — one of the most respected names in health imaging software globally — signed a binding Heads of Agreement with EchoIQ covering:
• An initial A$10M investment via secured convertible notes, with an option for a further A$10M if EchoIQ’s EchoSolv HF gets FDA clearance
• Notes carry 12.5% interest, convert at a A$1.05 cap (or lower via 5-day VWAP), plus 0.75 options per note struck at A$1.35
• PME becomes a US reseller of EchoSolv, giving EIQ access to PME’s existing network of US health systems, academic medical centres, and enterprise healthcare customers via Visage 7 Cardiology
• Definitive legal agreements were due within 20 business days of signing — worth checking ASX announcements for confirmation this has been finalised
What’s happened since
• 1 July: EchoIQ raised A$110M at A$1.45/share from institutional and retail investors — company says it’s now fully funded for US commercialisation
• New CFO and a structural-heart specialist added to the clinical network
• Stock has run from well under A$1 to the \~A$1.60 range on the back of all this
The pending catalyst-
The big one is FDA clearance for EchoSolv HF (heart failure algorithm) — this is what unlocks PME’s second A$10M tranche and is the main re-rating catalyst people are watching for. Per the company’s own announcement, clearance “remains subject to regulatory review” with no guaranteed timeframe.
My take-
The PME tie-up is a real validation — PME doesn’t have to do deals like this, and getting picked as a reseller partner plus an equity backer says something about how they view EchoSolv’s clinical utility. Combined with the funding round, EIQ looks well capitalised to execute regardless of near-term dilution from the notes/options.
That said — worth being clear-eyed:
• FDA clearance is not guaranteed and timing on these things slips often
• Even with clearance, reimbursement (CPT coding) and actual uptake through PME’s channel are separate unproven steps
• The reseller agreement itself was still pending “definitive legal documentation” as of the HOA signing
• Stock has already re-rated a long way — a lot of good news may already be priced in
This is a binary, catalyst-driven microcap, not a “set and forget.” Sizing accordingly matters.
Disclosure: I hold EIQ. Not financial advice — do your own research.