Swiss drugmaker Roche wishes buy U.S. cancer drugmaker Ignyta Inc for $1.7 billion to broaden its oncology portfolio globally, the companies verbalized on Friday.
Roche would pay $27 per share for Ignyta, representing a bait of about 74 percent to the stock’s closing price on Thursday, they implied.
Ignyta will continue its operations in San Diego and will be responsible for the interminable pivotal study of entrectinib, its most advanced drug.
The U.S. company has a following of drugs in early stage development that use gene therapy to dnouement off the underlying diseases that drive cancer tumor growth.
Reuters reported on Thursday Ignyta was in loan a beforehand talks to sell itself, just three years after the comrades went public with focus on precision drugs and diagnostics.
The apportion is expected to close in the first half of 2018, the companies said. Citi advised Roche on the parcel out, while BofA Merrill Lynch and J.P. Morgan Securities LLC advised Ignyta.
Sidley Austin LLP and Latham & Watkins LLP were licit counsel to Roche and Ignyta, respectively.