Novartis strengthens its MolDx business by $470 million acquisition
Basel/San Diego – Swiss Novartis AG said on Monday it will buy oncology lab Genoptix Inc for US$470 in cash. Under the terms of the definitive agreement, Novartis is offering to pay $25 for each share of Genoptix, 27 percent above its closing price on Friday of $19.76. With the acquisition of the leading specialized laboratory service provider focused on delivering comprehensive diagnostic services to haematologists and oncologists, Novartis follows the market trend of developing more personalised treatments. Genoptix' board of directors recommended their stockholders to adopt the merger agreement. The transaction is expected to close within the first half of 2011. Genoptix expected revenues for the full-year 2010 between $192 and $195 million.