EU Regulators Approve Illumina’s Plan to Divest Grail

One of the most controversial deals in the liquid biopsy space is almost close to becoming undone. EU regulators have now approved a plan by Illumina to divest Grail, a liquid biopsy specialist that was acquired in 2021.

In a release, the company said, “while this does not mean the method of divestment has been finalized, the company is pleased to reach an agreement with the EC on specific divestment options as it represents an important milestone in the process.”

 Illumina said it continues to explore divesting Grail through either a trade sale or a capital markets transaction, each of which are contemplated by the plan approved today.

The San Diego, CA-based company said it was hoping to settle final terms of the divestment plan by 2Q24.

Illumina defied anti-trust probes when it acquired Grail for $7 billion nearly three years ago. That action set off a chain of events that led to a hefty fine and caused a heated proxy battle with investors that eventually led to Francis deSouza, Illumina’s CEO, resigning.

In December of 2023, Illumina announced that it would divest Grail. It should be noted that Illumina spun off Grail in 2016.