Why Ignyta, Inc. Stock Is Soaring Today
Ignyta, Inc. (NASDAQ: RXDX) shareholders are getting an early Christmas present today after the cancer giant Roche (NASDAQOTH: RHHBY) decided to scoop up the company for $1.7 billion. According to the press release, Roche agreed to pay $27 per share for the cancer specialist, representing a 74% premium compared to where Ignyta's shares ended yesterday. The deal is expected to close in the first half of 2018. Ignyta stock is up by 72.67% in pre-market trading in response to this news.
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A nearly $2 billion deal for a clinical-stage biotech might seem like a lot, but this buyout could very well turn out to be a bargain for Roche. Despite the lack of a true late-stage clinical candidate, Ignyta's pipeline of early- to mid-stage cancer drugs are on the absolute cutting edge of their field. Long story short, this deal should significantly advance Roche's goal of becoming a leader in precision anti-cancer therapies.
Source: Fool.com
