Roche has agreed to acquire remaining shares in Foundation Medicine (FMI), a US molecular and genomic analysis company, for $2.4bn.
Image: Roche and Foundation Medicine sign definitive merger agreement to accelerate broad availability of comprehensive genomic profiling in oncology. Photo: courtesy of F. Hoffmann-La Roche Ltd.
FMI is engaged in the development, manufacture and sale of genomic analysis diagnostics for solid and circulating cancers.
Together, Roche and FMI will use expertise in genomics and molecular information to improve the development of personalized medicines and care for cancer patients.
Roche Pharmaceuticals CEO Daniel O’Day said: “This is important to our personalised healthcare strategy as we believe molecular insights and the broad availability of high quality comprehensive genomic profiling are key enablers for the development of, and access to, new cancer treatments. We will preserve FMI’s autonomy while supporting them in accelerating their progress.”
FMI offers a range of genomic profiling assays to identify the molecular changes in a patient’s cancer and match them with appropriate targeted therapies, immunotherapies and clinical trials.
The company’s molecular information platform intends to enhance day-to-day care for patients by serving the requirements of clinicians, academic researchers and drug developers to help advance the science of molecular medicine in cancer.
As per the merger deal terms, Roche will start a tender offer to buy all of the outstanding shares of FMI’s common stock it does not already own at a price of $ 137.00 per share in cash.
The transaction, which is subject to customary closing conditions, is expected to close in the second half of 2018.
The merger focuses on driving ubiquity of FMI’s comprehensive genomic profiling (CGP) testing and innovative data services to realize Roche’s personalized healthcare vision.
FMI will continue its operations as a separate and autonomous legal entity.
Last month, FMI has established immuno-oncology companion diagnostics collaboration with Merck.
The partnership will develop companion diagnostic tests for use with Keytruda (pembrolizumab), Merck’s anti-PD-1 therapy and the first approved immunotherapy for microsatellite instability (MSI) high or mismatch repair deficient solid tumors.