Roche buys precision medicine firm Ignyta for $1.7B

Roche, a global pharmaceuticals and diagnostics company, is acquiring Ignyta for $27 per share in an all-cash transaction. This corresponds to a total transaction value of $1.7 billion on a fully diluted basis.

Ignyta is a precision medicine company focused on oncology. It aims to test, identify and treat patients with cancers harboring specific rare mutations. Ignyta's lead molecule entrectinib is an orally bioavailable, CNS-active tyrosine kinase inhibitor targeting tumors that harbor ROS1 or NTRK fusions.

Per the agreement, Roche will commence a tender offer to acquire all of the outstanding shares of Ignyta's common stock. After completion of the tender offer, Roche will acquire all remaining shares through a second step merger.

The deal is expected to close in the first half of 2018.

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