Throughout Illumina’s four-year effort to acquire liquid biopsy company Grail, the company argued that European regulatory opposition had no legal basis. Europe’s highest judicial body has now sided with Illumina, stating that the proposed acquisition should not have fallen under the European Commission’s review. While this decision eliminates a significant fine of €432 million ($476 million) for Illumina, it comes too late to reverse the spin-off of Grail, which is now a publicly traded independent company. The European Commission had initially imposed the fine because Illumina closed the Grail deal before the regulatory review was complete. The court’s ruling determined that Grail’s business, with no European revenue, did not meet the criteria for such an examination by the Commission. In response, European Commission Executive Vice-President Margarethe Vestager maintained that even low-revenue mergers can pose competitive risks, and close scrutiny would continue to be required. Illumina retains a 14.5% stake in Grail and remains a supplier to the company. The annulment of the hefty fine means the European Commission must cover Illumina and Grail’s court costs.
Biotechnology, Healthcare, Regulatory Affairs,European Union, United States
https://mergersacquisitions.einnews.com/article/740473565/hu7k7a4xIzQhNkL7?ref=rss&ecode=Q1vNcweEggLWKz7L