Roche increased its offer price for acquiring Illumina to US$ 51.00 per share from its previous offer of $44.50 per share. The new offer of Roche’s totals about $6.5 Billion compared to the previous offer’s value of $5.7 Billion.
Announcing the increases in Roche’s offer, Severin Schwan, CEO of Roche, said that
Based on our discussions with Illumina shareholders we have seen interest to accelerate the takeover process. As a result, we are increasing our offer price to US$ 51.00 per share. Roche’s preference continues to be a negotiated transaction. We look forward to the possibility of a swift completion that offers immediate value to Illumina’s shareholders.
The press release also had the letter that was sent to Illumina’s CEO Jay Flatley. The letter urged the Illumina shareholders to consider the increased offer. In addition, Roche has also threatened that if Illumina does not negotiate with Roche, Roche will have to go hostile and continue its effort to acquire Illumina unitlaterally.
Roche initiated the hostile acquisition process out of the blue early this year. In its hostile bid, Roche offer $5.7 billion to acquire all of Illumina in January. Even after Illumina rejected Roche’s offer, Roche is continuing to pursue its interest to acquire Illumina.