Labcorp Agrees to Buy Myriad Genetics Prenatal Business for More Than $210 Million

Labcorp has agreed to acquire Myriad Genetics’ prenatal health testing business for more than $210 million in cash, adding a second acquisition agreement to its diagnostics business within days.

The companies announced the transaction Oct. 20. Myriad shares gained more than 20% in premarket trading that day.

The agreement follows a separate Labcorp transaction announced Oct. 15. In that deal, Labcorp agreed to buy selected BioReference Health assets, including more than 80 patient service centers and the 4Kscore Test. A revenue-based adjustment could change the $722 million cash payment Labcorp is due to make at closing.

The BioReference agreement also provides for a possible earnout of up to $150 million based on revenue from the 4Kscore Test. The 4Kscore blood test gauges the risk of aggressive prostate cancer as a patient considers a biopsy. Labcorp expects those assets to generate about $250 million in revenue in their first year after closing.