Madison-based cancer diagnostics company Exact Sciences Corp. completed its $2.8 billion cash-and-stock deal with Redwood City, California-based Genomic Health, the company announced.
Exact Sciences produces Cologuard, a noninvasive, at-home screening test that detects the presence of colon cancer in stool samples. Genomic Health develops Oncotype IQ, a portfolio of genomic tests and services that check for various cancers, including breast and prostate.
“Today marks a pivotal step toward building the world’s leading advanced cancer diagnostics company,” said Kevin Conroy, chairman and CEO of Exact Sciences. “We’re excited to bring together some of the greatest minds in cancer diagnostics and continue to deliver advanced tests to providers and patients along their cancer journey.”
As a combined entity, the companies expect to generate revenue of about $1.6 billion and a gross profit of about $1.2 billion in 2020. The deal is expected to generate annualized cost synergies of about $25 million within the third full year, the companies said. Read the full story here.