Biotech Values

[DewDiligence]

ABT acquires EXAS for $105/sh cash—a 51% premium to Tuesday’s closing price (before Bloomberg leaked the deal on Wednesday):

https://www.prnewswire.com/news-releases/abbott-to-acquire-exact-sciences-a-leader-in-large-and-fast-growing-cancer-screening-and-precision-oncology-diagnostics-segments-302621643.html

• Acquisition adds a new growth vertical to Abbott's already high single-digit growth profile, gaining leadership in the fast-growing $60 billion U.S. cancer screening and precision oncology diagnostics segments.

• Acquisition will be immediately accretive to Abbott's revenue growth and gross margin.

But it will not be accretive to EPS immediately or in the near future.

The nominal deal value (including assumed debt) is $23B.