Roche Diagnostics Teams Up with New NGS Partner

Not to be stopped from entering and likely building a leadership position in the “nex-gen sequencing” (NGS) market following a failed attempt at acquiring Illumina, Roche has announced a partnership with Pacific Biosciences (NASDAQ: PACB) to develop diagnostic products based on PacBio’s SMART technology. The potential deal is worth more than $75 million to PacBio in upfront and supply agreement revenue. PacBio shares closed up today at $5.98 (+72.83%).

[protected]The NGS segment bears striking similarities to the PCR market evolution, which continues to be led by Roche. NGS is rapidly making the transition from the research lab into routine clinical diagnostics and as it does, so does the acquisition of small medium and larger companies involved in sequencing. Examples include Thermo Fisher’s (NYSE: TMO) $13.6 billion dollar acquisition of Life Technologies (NASDAQ: LIFE) and Illumina’s (NASDAQ: ILMN) purchase of Helixis and prenatal test maker Verinata Health to name just a few.

The $52 billion dollar global clinical diagnostic market is full of examples of company partnerships that lead to eventual acquisitions as companies deepen their relationships and discover the synergistic benefits of combining.

For more information on the NGS space, competitors, reimbursement and regulatory issues, please contact your Atheneum Partners representative and schedule an individual consult today.[/protected]

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Ken Powell

About Ken Powell

Ken Powell is the President of Genesis Business Development, a global health care consultancy. Mr. Powell has experience in the identification, acquisition, and commercialization of intellectual property, new businesses, and products in the clinical diagnostics, life sciences and medical device market segments. He has knowledge about emerging technologies, industry consolidation, personalized medicine, molecular diagnostics, hospital, commercial reference and physician labs, clinical lab systems, point-of-care, genomics, proteomics, life sciences, lab distributors and medical devices. He has provided Expert Witness testimony in an international lawsuit at the Royal Court of High Justice, London, England. Mr. Powell is also knowledgeable about evolving clinical diagnostic regulatory (FDA, CLIA, Congressional) and reimbursement issues. He has held senior management positions with Becton Dickinson, Roche Diagnostics, Technicon (Revlon Healthcare), Armour Pharmaceuticals, and Upjohn Clinical Laboratory Procedures. Mr. Powell is conversant in all aspects of clinical diagnostics, life sciences segments, current and emerging companies and select medical device segments. He has provided Expert Witness testimony in an international lawsuit involving infectious disease diagnostic technologies at the Royal Court of Justice in London, England.