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.
Follow USA TODAY reporter Kevin McCoy on Twitter: @kmccoynyc
Temperatures Tuesday are near average, continuing to cool through Friday. Gusty winds in the mountains and deserts from the afternoon through evening.
Stretches of state Route 163 will be closed beginning Monday night and continuing through Friday morning for maintenance work and to reduce the height of the overpass at Friars Road, Caltrans announced.
Controversy swirled up again in Encinitas over a staircase project proposed for Beacon’s Beach. The city has long been looking to replace the iconic Switchback Trail leading to Beacon’s Beach with a concrete staircase but many residents are not embracing the idea.
The 22-year-old man who was shot by sheriff's deputies near the ticket window of the Del Mar Thoroughbred Club was arraigned at his hospital bed at Scripps Memorial Hospital in La Jolla on Monday.
Japanese billionaire Yusaku Maezawa said Monday that he plans to blast off on the first-ever commercial trip around the moon and will invite six to eight artists, architects, designers and other creative people on the weeklong journey.
A U.S. citizen was indicted by a federal grand jury in San Diego Monday on charges of stealing nearly $100,000 in Social Security disability benefits by concealing his overseas residency for almost a decade.
A male east African black rhino that was once a resident of San Diego Zoo Safari Park has made quite a journey to help promote breeding of the critically endangered black rhino
The San Diego City Council Monday unanimously approved a plan to revitalize the Midway and Pacific Highway communities by adding parkland, pedestrian pathways and increased capacity for housing and making a series of traffic improvements.
Humans are not the only ones being affected in the aftermath of Hurricane Florence. Rescuers have been working around the clock to save hundreds of pets from dangerous floodwaters.
Write something in ink and you'd better be prepared to live with it for a long time. In Monday’s Zevely Zone, Jeff's in South Park to get acquainted with a famous tattoo artist named Turk and his needle.