Roche announced a proposal to acquire all outstanding shares of Illumina, Inc. (NASDAQ: ILMN) for $44.50 per share in cash, or an aggregate of approximately $5.7 billion on a fully diluted basis.
This offer represents a approx. 18% premium to the Jan., 24, 2012 NASDAQ close and a 64% premium over Illumina’s stock price on December 21, 2011 - the day before market rumors about a potential transaction between Roche and Illumina drove Illumina's stock price significantly higher.
Roche said has made multiple efforts to engage with Illumina in order to reach a negotiated transaction, but Illumina has been unwilling to participate in substantive discussions.
Severin Schwan, CEO of Roche Group, said, "Roche's all-cash offer of $44.50 per share represents full and fair value for Illumina and we expect that Illumina’s shareholders will welcome the opportunity to sell their shares at a significant premium to current market prices. It is our strong preference to enter into a negotiated transaction with Illumina, and we remain willing to engage in a constructive dialogue with Illumina to jointly develop an optimal strategy for maximizing the value of our combined business."
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