Illumina Buys Verinata Health
By: Leon Castles
on Wednesday, January 09, 2013
San Diego based Illumina Inc has made an announcement that they have acquired Verinata Health Inc that will allow them to get more options in the San Diego market. The company announced that they believe that they need better partners that can allow them to grow in the market in the future and Verinata Health will be a great option by their side. Verinata Health Inc is a fetal chromosome testing company and that will diversify the business portfolio of the firm in the future. The company said that the entire deal will cost them $450 million.
Illumina said that they will be paying $350 million upfront and the rest of the $100 million will be milestone payments through 2015. However, the company did not provided information on how they will make the upfront payments in cash or through stocks. The company said that they will not be able to reveal their financial terms to some extent at the moment. The company did reveal that once the deal is complete Verinata will retain all the management and employees and will work under as Illumina division. Illumina President and CEO Jay Flatley said they need to start looking for better acquisitions that can help them to grow in the future and they believe this acquisition will boost their business profile in the market.