The acquisition of the Cambridge, Massachusetts-based company, which specializes in using genomic profiling to treat cancers, continues Roche's effort to tap into promising biotechnology as a strategy to drive financial growth.
Endorsed by both companies' boards of directors, the agreement is worth $137 per share in cash, a nearly 29% premium to the $106.45 closing price of Foundation Medicine's (FMI) shares on June 18, the companies said.
The deal, scheduled to wrap up in the second half of 2018, represents a total company value of $5.3 billion on a fully diluted basis, the companies said.
"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, Roche CEO Daniel O'Day said in a statement issued with the announcement.
Troy Cox, Foundation Medicine's CEO, said partnering with Roche would increase patient access to the U.S. company's full suite of comprehensive genomic profiling to identify alterations that cause cancer.
Foundation Medicine's shares soared 28.2 percent higher, to $136.45, in late morning trading Tuesday.
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A fire that started in a garage badly damaged a home in Scripps Ranch on Sunday morning, a fire official said.
A seemingly wayward hot air balloon landed in a Ramona field on Sunday much to the surprise of on-lookers.
Several residents of an apartment complex in El Cajon were displaced Sunday after a driver accidentally crashed into their building.
An allegedly-intoxicated driver crashed down an embankment after trying to evade a pursuing sheriff's deputy Saturday night.
San Diegans are going online to raise money to help make ends meet amid a partial government shutdown prolonged by a impasse over President Trump's demand for a wall along the U.S.-Mexico border.
Waterfront Park in downtown San Diego played host to thousands of people demonstrating in the third annual Women's March, which also took place in dozens of other cities across the country.
Three people robbed a San Carlos jewelry store on Saturday afternoon, then fled before officers were able to arrive, police said.