EU orders biotech giant Illumina to unwind $7.1 billion purchase of cancer-screening company Grail

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The European Union is ordering U.S. biotech giant Illumina to undo its $7.1 billion purchase of cancer-screening company Grail because it closed the deal without approval of regulators. The 27-nation bloc already slapped a $475 million fine on Illumina over the summer for jumping the gun on the acquisition without its consent.

BRUSSELS — The European Union on Thursday ordered U.S. biotech giant Illumina to undo its $7.1 billion purchase of cancer-screening company Grail because it closed the deal without approval of regulators in the 27-nation bloc.over the summer for jumping the gun on the acquisition without its consent. Now, the order to unwind the deal “restores competition in the development of early cancer detection tests,” EU antitrust Commissioner Didier Reynders said.

Illumina said it is reviewing the order to sell Grail. The company also has previously asked the EU’s highest court to rule on its challenge to the bloc’s ability to review the merger.Crane is brought in to remove a tree by Hadrian’s Wall in England that was cut in act of vandalismAllowing the deal to stand would have undermined the credibility of EU regulators.

The EU accused Illumina and Grail of knowingly and deliberately merging before getting clearance in what amounted to a vital infringement of the rules. Regulators worldwide have targeted the deal. The Federal Trade Commission ordered Illumina to sell Grail earlier this year after finding the merger would “stifle competition and innovation in the U.S. market for life-saving cancer tests.”

 

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