U.S. genetic testing company Illumina will get an order from EU antitrust regulators to sell cancer test maker Grail, a year after the $7.1 billion deal was blocked, a person with direct knowledge of the matter said on Tuesday.
The European Commission vetoed the deal, concerned that Illumina would have an incentive to cut off Grail’s rivals from accessing its technology to develop blood-based early cancer detection tests to compete with Grail.
The EC did not immediately respond to a request for comment.
The EU competition enforcer slapped a record 432 million-euro ($458 million) fine on Illumina in July for closing the deal before securing the regulatory green light.
Illumina has challenged the EU veto of the deal, its decision to examine the deal despite not meeting the EU merger criteria and the EU order to keep Grail separate so that it can unwind the deal.
The U.S. Federal Trade Commission (FTC) has also ordered Illumina to divest Grail, which Illumina has appealed.
