Roche acquires the California-based cancer medicine company Ignyta for 1.7 billion USD

RocheSwiss pharmaceutical company Roche acquires the California-based cancer medicine company Ignyta for 1.7 billion USD. With the acquisition of Ignyta’s expertise in rare cases of cancer, Roche strengthens its oncology portfolio. The proposed price of 27 USD per share represents a 74% premium against the closing price of the company on Thursday and 89% of its average per share price over the past 90 days.

The deal was approved unanimously by both companies.

“Cancer is an extremely complex disease and many patients suffer from mutations that are difficult to detect and treat”, said the CEO of Roche Pharmaceuticals, Daniel O’Day. “The agreement with Ignyta supports Roche’s strategy of adapting treatments to patients and allowing Roche to expand and strengthen its cancer portfolio worldwide”, added he.

Roche’s profit has been under pressure recently, as several of its most popular medicines are losing patent protection.

Ignyta will continue to work in San Diego.