Roche inks $2.4B deal to buy out Foundation Medicine
Roche will spend $2.4B to buy genomic profiling company Foundation Medicine. The deal will further Roche’s precision medicine plans while allowing Foundation to continue to work with other biopharmas.
This move comes three years after Roche paid $1B for a 56% stake in Foundation. Over the past year, Foundation secured an FDA nod and Medicare coverage for pan-cancer FoundationOne CDx diagnostic. With Foundation trading at more than three times its 52-week low, Roche decided to make its move by offering $137. Foundation has agreed to the merger, which values it at $5.3B.
In return, Roche will reap the benefits of owning a firm that can address the testing component of the growing precision medicine sector.
