August 15, 2023: The Securities and Exchange Commission is examining Illumina over its controversial $7.1 billion purchase of cancer test creator Grail, the DNA sequencing company stated in a security filing on Thursday.
The previous month, the SEC informed Illumina near the probe and requested documents and communications related to the agreement. According to the filing, the agency also asked for statements and disclosures about the “conduct and compensation” of certain Illumina and Grail management members.
Shares of Illumina decreases by 4% on Friday.
The SEC’s probe only stresses Illumina, which has lost significant sums since closing the deal in August 2021. The company’s market value has decreased to roughly $28 billion from around $75 billion the month the agreement closed.
Illumina’s Grail deal has also met heavy scrutiny from U.S. and European Union antitrust regulators.
The European Commission, the EU’s executive body, fined Illumina a record $476 million in the previous month for closing the acquisition without first securing regulatory approval.
The fine came after the commission stopped the deal in September over concerns it would stifle innovation and consumer choice in the emerging market for cancer detection tests.
Illumina has appealed the European Commission’s decision, arguing that the body lacks jurisdiction to block the merger between the two U.S. firms.
Illumina expects a final decision on an appeal in late 2023 or early 2024. That’s also when the company anticipates it will hear an outcome of its appeal of a similar order by the U.S. Federal Trade Commission.
Illumina has stated that it will divest Grail if it loses either request.
Illumina’s conclusion to keep Grail sparked a heated representative showdown with activist investor Carl Icahn, who holds a 1.4% stake in the company.
Illumina thinks it can expand Grail’s Galleri test’s availability, affordability, and profitability, which can screen for over 50 types of cancers through a single blood draw.
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Systems thinking is an approach that focuses on understanding how different parts of a system interact and influence one another within a whole. It is a holistic framework considering interrelationships and patterns rather than static snapshots. By expanding perspectives, systems thinking clarifies complex situations and can spur innovation.
A definite ‘NO’ to the question if struggling families had child care asked by a group of committed volunteers in the San Fernando Valley in 1974, urged the volunteers to look for a way to support families struggling to find quality child care, development, and education services for their families. That year, the San Fernando Valley Child Care Consortium and the Mayor’s Child Care and Junior Task Force proposed the first child care resource center in the San Fernando Valley. Doris McLain was elected chairperson as Mayor Bradley accepted the proposal and gave the newly founded Child Care Resource Center (CCRC) space in Van Nuys City Hall Center. CCRC began 45 years to help working moms find child care.
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