Roche (SIX: RO, ROG; OTCQX: RHHBY) today announced that it has signed a definitive agreement to acquire GeneWEAVE BioSciences, Inc. (GeneWEAVE), a privately held company focused on innovative, clinical microbiology diagnostics solutions based in Los Gatos, CA, USA. Under the terms of the agreement, Roche will pay GeneWEAVE shareholders USD 190 million upfront and up to USD 235 million in contingent product related milestones. The transaction is subject to customary closing conditions and, once closed, GeneWEAVE will be integrated into Roche Molecular Diagnostics.
The acquisition provides Roche with GeneWEAVE's Smarticles technology, an innovative class of molecular diagnostics that quickly identifies multidrug-resistant organisms (MDROs) and assesses antibiotic susceptibility directly from clinical samples, without the need for traditional enrichment, culture or sample preparation processes. GeneWEAVE's first system in development is the vivoDx-a fully automated, random-access system designed to meet the needs of laboratories addressing MDRO detection and antibiotic therapy guidance. The technology is currently being evaluated in multiple sites across the U.S.
"With GeneWEAVE, we further strengthen our microbiology diagnostics offerings with cutting-edge technology that will aid in the fight against drug-resistant bacteria. This technology has the potential to provide healthcare professionals access to quick and accurate diagnoses that can lead to rapid, informed treatment decisions," said Roland Diggelmann, COO of Roche Diagnostics. "We welcome GeneWEAVE's employees, who will continue to focus on the development and manufacturing of diagnostics solutions based on the Smarticles? technology."
"We are very excited to continue developing innovative microbiologic diagnostics solutions as part of the Roche Molecular Diagnostics team," said Steve Tablak, Chief Executive Officer of GeneWEAVE. "Roche is the ideal company to deliver on the promise of our Smarticles technology. We are fully committed to the continued success of GeneWEAVE's employees, products and pipeline."
GeneWEAVE, Inc., based in Los Gatos, Calif., is a privately-held in vitro diagnostics company that is advancing clinical microbiology with diagnostic solutions to aid healthcare providers in the fight against drug-resistant bacteria by enabling impactful surveillance programs, early therapy guidance and successful antibiotic stewardship. The company's innovative and proprietary Smarticles technology harnesses the power of biology to rapidly detect drug resistance and measure susceptibility information without the need for enrichment, culture, or sample preparation. We call this new paradigm, "Sample-In/Susceptibility-Out".
Headquartered in Basel, Switzerland, Roche is a leader in research-focused healthcare with combined strengths in pharmaceuticals and diagnostics. Roche is the world's largest biotech company, with truly differentiated medicines in oncology, immunology, infectious diseases, ophthalmology and neuroscience. Roche is also the world leader in in vitro diagnostics and tissue-based cancer diagnostics, and a frontrunner in diabetes management. Roche's personalised healthcare strategy aims at providing medicines and diagnostics that enable tangible improvements in the health, quality of life and survival of patients. Founded in 1896, Roche has been making important contributions to global health for more than a century. Twenty-nine medicines developed by Roche are included in the World Health Organization Model Lists of Essential Medicines, among them life-saving antibiotics, antimalarials and chemotherapy.
In 2014, the Roche Group employed 88,500 people worldwide, invested 8.9 billion Swiss francs in R&D and posted sales of 47.5 billion Swiss francs. Genentech, in the United States, is a wholly owned member of the Roche Group. Roche is the majority shareholder in Chugai Pharmaceutical, Japan. For more information, please visit www.roche.com.