Laboratory Corp. of America Holdings (NYSE:LH) has recently confirmed the cash tender offer of $2.40 per share for all outstanding shares of Sequenom, Inc. (NASDAQ:SQNM), which is to be made by its wholly-owned subsidiary, Savoy Acquisition Corp. in pursuant of an acquisition offer filed to the Securities and Exchange Commission (SEC) on Tuesday.
Acquisition Deal
Sequenom and Laboratory Corp. of America Holdings has announced entering into an acquisition deal late in July. The companies have disclosed an equity value of more than $300 million, which is equivalent to the cash tender offer filed earlier this week.
Sequenom’s Board of Directors believe that the deal with the latter serves the best interests of the company and all of its investors. Consequently, all shareholders of Sequenom are highly encouraged to tender their shares.
According to the terms of the agreement, the tender offer and withdrawal rights will expire on September 7 unless extensions have been agreed upon prior.
Resulting Merger
Once the tender offer has been fulfilled, Savoy Acquisition and Sequenom will merge without any voting rights entitled to the latter’s shareholders. Subject to regulatory requirements, the merger is expected to be completed by the end of the year.
David King, Laboratory Corp. of America Holdings Chairman and CEO, noted that the partnership between two industry leaders is an ideal strategic plan. Combining the top-of-the-line solutions of Sequenom with the extensive portfolio in women’s health of Laboratory Corp. of America Holdings will better equip and provide for women healthcare. King further explained that Sequenom will enable the company to expand its reach globally, especially in the European and Asia-Pacific regions.
Similarly, Dirk van den Boom, Ph.D., Sequenom CEO and President, is enthusiastic to work together with Laboratory Corp. of America Holdings as the two companies continue to bring exceptional diagnostic solutions around the world. He reiterated that Laboratory Corp. of America Holdings, as a leader in healthcare diagnostics, perfectly complements the world-class non-invasive prenatal testing (NIPT) solutions offered by Sequenom.
