Shares of Lucid Diagnostics Inc (NASDAQ:LUCD) rose 12.4% in premarket trading on Wednesday after the company said it had won a contract with the U.S. Department of Veterans Affairs (VA) covering its EsoGuard Esophageal DNA Test.
The deal broadens access to Lucid’s esophageal precancer screening across the VA’s nationwide healthcare network, which provides care to more than nine million enrolled veterans each year. Issued under the VA Federal Supply Schedule, the contract includes pre-negotiated pricing aligned with the existing Medicare reimbursement rate set by the Centers for Medicare & Medicaid Services.
“We are proud to partner with the U.S. Department of Veterans Affairs to expand access to EsoGuard for our nation’s veterans,” said Shaun O’Neil, President and Chief Operating Officer of Lucid Diagnostics. “The VA operates at significant clinical and operational scale, and selection by a healthcare system of this size reflects the strength of the clinical evidence supporting EsoGuard.”
Under the agreement, VA hospitals and medical facilities across the U.S. can procure EsoGuard through a single, national VA purchasing framework, simplifying adoption and deployment. The company said the contract represents a meaningful opportunity to extend its commercial footprint within one of the country’s largest integrated healthcare systems.
Lucid Diagnostics, a subsidiary of PAVmed Inc (NASDAQ:PAVM), commercializes what it describes as the first and only tools available for large-scale early detection of esophageal precancer and cancer: the EsoGuard Esophageal DNA Test and the EsoCheck Esophageal Cell Collection Device. The company targets patients with gastroesophageal reflux disease who face elevated risk of developing esophageal precancer and cancer.