Exact Sciences Corporation [NASDAQ: EXAS] disclosed that it has purchased PreventionGenetics which is a genetic testing laboratory. The company has bought genetic testing laboratory to complete its sophisticated cancer diagnostics portfolio and back its entry into hereditary cancer testing (HCT).
After the acquisition, PreventionGenetics will offer the clinical lab, specialized knowledge, and the basic technology needed to speed up the accessibility of HCT and support more patients understanding their germline risk of cancer and other diseases. Presently, around 300,000 health care specialists and more than 200 large U.S. health systems have confidence in Exact Sciences’ Cologuard and Oncotype DX tests in primary care, women’s health, oncology, and other specialties.
Furthermore, after the acquisition of PreventionGenetics Exact Sciences is intending to take advantage of its unparalleled commercial reach in diagnostics to grow hereditary cancer and genetic testing throughout the U.S. and all around the world. PreventionGenetics is a CLIA-certified and CAP-accredited clinical DNA testing laboratory. It is offering more than 5,000 predefined genetic tests for nearly all clinically relevant genes, additional custom panels, and thorough germline whole exome and whole genome sequencing tests.
In addition, the PreventionGenetics team is uncompromising in their quest for quality just like Exact Sciences. This focus, coupled with a best-in-class customer experience and processing times, won PreventionGenetics a good reputation and brand recognition among genetics specialists and counselors.
As per the agreement, PreventionGenetics earned a total payment of $190 million. It consists of 50% in Exact Sciences common stock and 50% in cash. PreventionGenetics anticipates preliminary, unaudited 2021 revenue of nearly $36 million and $3 million in adjusted EBITDA.