Exact Sciences to Acquire Genomic Health for $2.8 Billion to Expand Cancer Diagnostics Portfolio

On July 29, 2019, VCBeat (WeChat ID: vcbeat) learned from foreign media reports that molecular diagnostics company Exact Sciences plans to acquire genetic testing company Genomic Health for $2.8 billion. The acquisition agreement is expected to be signed in the coming days.

Genomic Health, founded in 2000 and headquartered in California, USA, is a leading biotechnology company. The company primarily develops genomic testing technologies to provide treatment solutions for patients with early-stage cancer. Genomic Health went public on the NASDAQ in September 2005, employs nearly 1,000 people, and maintains offices across North America and Europe.

Genomic Health develops molecular diagnostic technologies based on its world-class expertise and research facilities to improve patient outcomes. The company is dedicated to analyzing complex genomic information, enabling large-scale genetic data to serve clinical treatment. This medical model is based on individual genomic information, combined with related internal environment data such as proteomics and metabolomics, to customize the best Personalized Medicine plans for patients, aiming to maximize treatment efficacy and minimize side effects.

Genomic Health developed the Oncotype DX assay for breast, colorectal, and prostate cancers. Leveraging advanced genomics, this technology analyzes patients’ DNA to assess the risk of cancer recurrence and assist physicians in determining optimal treatment plans. The Oncotype DX assay has helped many patients avoid unnecessary surgeries and chemotherapy, saving the healthcare system billions of dollars in medical costs.

More than 1 million patients in over 90 countries and regions worldwide have benefited from the Oncotype DX testing technology. Currently, the Oncotype DX test for prostate cancer has been included in the U.S. Medicare reimbursement coverage, providing nearly 60,000 prostate cancer patients with access to personalized cancer care services.

Genomic Health adheres to the requirements of the Clinical Laboratory Improvement Amendments (CLIA) and the College of American Pathologists (CAP), consistently maintaining a highly specialized technology development process to provide patients with testing technologies of the highest standard.

A leader at Genomic Health stated, “Genetic testing technology provides patients with more reliable treatment pathways. I recommend that physicians obtain patients’ genetic information before determining a treatment plan.”

Exact Sciences, founded in 1995 and headquartered in Madison, Wisconsin, USA, is a molecular diagnostics company. The company primarily leverages molecular biology technologies for the early detection of colorectal cancer. Exact Sciences went public on the NASDAQ in January 2001. In 2016, its Cologuard molecular screening test received the Prix Galien Award for Best Medical Technology Product.

Molecular diagnostic technology is a technique that uses DNA and RNA as materials to detect the presence, defects, or abnormal expression of genes through molecular biology methods, thereby enabling the diagnosis of human diseases. The fundamental principle of this technology lies in detecting whether there are changes in the structure or quantity of DNA or RNA, as well as abnormalities in their expression functions, to determine if an individual has genetic-level anomalies. Molecular diagnostic technology holds significant importance for disease prediction, diagnosis, prevention, and treatment.

Cologuard molecular testing is a non-invasive screening technology. This technology is primarily based on principles of biology, chemistry, and molecular biology, encompassing fecal DNA extraction, DNA stabilization techniques, detection of DNA biomarkers, detection and stabilization of hemoglobin biomarkers, and related data analysis.

(Compiled by Xu Xiaoxue)