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FTC Backs Off Cytyc-Digene Injunction While Digene Rethinks Options

NEW YORK, June 26-Cytyc has agreed to provide the Federal Trade Commission with 10 business days' notice before moving ahead with its proposed acquisition of Digene, the company said today. In exchange, the FTC has agreed not to file an injunction blocking the acquisition before it receives this notice.

 

On June 24, the FTC said it would seek an injunctionagainst Cytyc to prevent the company from acquiring Digene, on the grounds that the purchase would lead to anti-trust violations.

 

Digene Corporation said in a statement yesterday that it is still in favor of the deal, but may decide to terminate the merger if it is not consummated on or before Friday, June 28.

 

Cytyc dominates the market for liquid Pap tests for cervical cancer. Digene is the only U.S. supplier of gene-based tests for human papillomavirus, the cause of most cervical cancers.

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