Roche To Buy GenMark Diagnostics In $1.8 Bln Cash Deal - Quick Facts

(RTTNews) - Swiss drug major Roche Group (RHHBY) announced Monday its agreement to acquire GenMark Diagnostics (GNMK) for $24.05 per share in an all-cash transaction. The total transaction value would be around $1.8 billion on a fully diluted basis.

The deal price represents a premium of approximately 43% to GenMark's unaffected closing share price on February 10, the last trading day before a media report was published speculating about a potential sale process.

Under the deal terms, Roche will promptly commence a tender offer to buy all of GenMark's common stock. Following the completion of the tender offer, Roche will acquire all remaining shares at $24.05 per share in cash through a second step merger.

The boards of directors of both GenMark and Roche unanimously approved the merger agreement.

The transaction is expected to close in the 2nd quarter of 2021 and is subject to customary closing conditions.

Following the deal closure, GenMark's principal operations will continue at its current location in Carlsbad, California.

Roche expects GenMark's syndromic panel testing portfolio to complement its current molecular diagnostics portfolio and the Roche global network will enable expanded reach for GenMark's products.

In the deal, Citi is acting as financial advisor to Roche, and J.P. Morgan Securities LLC is acting as exclusive financial advisor to GenMark.