Invitae Accelerates Personalized Oncology Testing With Genosity Acquisition

Invitae Corp NVTA has agreed to acquire Genosity Inc, a genomics company offering software and laboratory solutions to enable the development and deployment of complex sequencing-based tests.
Deal consideration of approximately $200 million includes roughly $120 million in cash and roughly $80 million in Invitae common stock.
Invitae is currently developing its Personalized Cancer Monitoring (PCM) platform as an in vitro diagnostic.
The acquisition would bring Genosity's specialized capabilities onto the Invitae platform to accelerate its personalized oncology offerings.
PCM analyzes a patient's genetic profile of their specific cancer and uses it to monitor their blood to detect cancer recurrence early when it is most curable.
Invitae's PCM test, if approved for use, will be augmented by Genosity technology and capabilities to distribute PCM globally.
In connection with the transaction, Invitae will grant restricted stock units of up to $15 million to certain continuing employees of Genosity.
Additionally, SoftBank Group Corp SFTBY plans to lead an investment of nearly $1.15 billion into Invitae in the form of convertible debt.
The notes have an initial conversion price of $43.18 per share.
Price Action: NVTA shares are up 9.5% at $42.9 on the last check Monday.